Template:M summ Pledge GMSLA 9.2: Difference between revisions

 

Note also the clear exclusion of indirect and [[consequential loss]]es, as well as losses to which the Transferee is contributorily [[negligent]]. <ref>If you are thinking I just made up the [[adjective]] “contributorily”, and were about to conclude I’m maybe a bit ''[[reckless]]'' you might be interested to know it is actually a [https://en.wiktionary.org/wiki/contributorily word].</ref>

Are references here to [[interest]] to, like ''default'' interest under Clause {{gmslaprov|11.7}}? And if so are we in a world of {{t|LIBOR}} remediation?

Well, this old fellow’s opinion is ''no''. Clause {{gmslaprov|11.7}} of the {{gmsla}} is specific to costs following ''actual'' [[close out]] on an {{gmslaprov|Event of Default}} (a {{gmslaprov|Buy-in}} ''isn’t'' an {{gmslaprov|Event of Default}}), and only on professional expenses. The vibe here is ''you reimburse me my ''actual'' costs''. So, the ''actual interest'' cost I incurred in funding the securities I bought in, rather than some abstract derivative notion of my costs represented by a [[benchmark]].

Does it make sense to replace this clause with some convoluted shtick about the costs of {{isdaprov|Replacement Transaction}}s or otherwise hedging the innocent party’s exposure? To determine follow this flow chart:  

[[File:GS Tree.png|frameless|470px|center|Not called the [[vampire squid]] for nothing, you know.]]