Template:2002 ISDA Equity Derivatives Definitions 12.9(b)(vi): Difference between revisions

:{{eqderivprov|12.9(b)(vi)}} If “'''{{eqderivprov|Increased Cost of Hedging}}'''” is specified in the related {{eqderivprov|Confirmation}} to be applicable to a {{eqderivprov|Transaction}}, then upon the occurrence of such an event the {{eqderivprov|Hedging Party}} will give prompt notice to the {{eqderivprov|Non-Hedging Party}} that such increased costs have been incurred and that a {{eqderivprov|Price Adjustment}} will be made to the {{eqderivprov|Transaction}}. The {{eqderivprov|Non-Hedging Party}} shall, within two {{eqderivprov|Scheduled Trading Days}} of receipt of the notice of {{eqderivprov|Increased Cost of Hedging}} and corresponding {{eqderivprov|Price Adjustment}}, notify the {{eqderivprov|Hedging Party}} that it elects to (A) agree to amend the relevant {{eqderivprov|Transaction}} to take into account the {{eqderivprov|Price Adjustment}}, (B) pay the {{eqderivprov|Hedging Party}} an amount determined by the {{eqderivprov|Calculation Agent}} that corresponds to the {{eqderivprov|Price Adjustment}} or (C) terminate the {{eqderivprov|Transaction}} as of that second {{eqderivprov|Scheduled Trading Day}}. If such notice is not given by the end of that second {{eqderivprov|Scheduled Trading Day}}, then the {{eqderivprov|Hedging Party}} may give notice that it elects to terminate the {{eqderivprov|Transaction}}, specifying the date of such termination, which may be the same day that the notice of termination is effective. If either party elects to terminate the {{eqderivprov|Transaction}}, the {{eqderivprov|Determining Party}} will determine the {{eqderivprov|Cancellation Amount}} payable by one party to the other. <br>