Default interest - GMRA Provision

2000 Global Master Repurchase Agreement A Jolly Contrarian owner’s manual™ Resources and navigation Resources: 2010 GMRA: Full wikitext · Nutshell wikitext Navigation 2000 GMRA Table of Contents · 1 · 2 · 3 · 4 · 5 · 6 · 7 · 8 · 9 · 10 · 11 · 12 · 13 · 14 · 15 · 16 · 17 · 18 · 19 · 20 · 21 · Schedule · Equities Annex: EA 1 · EA 2 · EA 3 · EA 4 · EA 5 · Buy/Sellback Annex · BSA 1 · BSA 2 · BSA 3 · BSA 4 · BNA 5 Index: Click ᐅ to expand: GMRA Clause 10(f) in a Nutshell™ Use at your own risk, campers! 10(f) The Defaulting Party must pay the non-Defaulting Party its reasonable professional expenses incurred in connection with an Event of Default plus interest calculated at LIBOR or, if the expense relates to a particular Transaction, the higher of LIBOR and the Pricing Rate for that Transaction. view template Full text of Clause 10(f) 10(f) The Defaulting Party shall be liable to the non-Defaulting Party for the amount of all reasonable legal and other professional expenses incurred by the non-Defaulting Party in connection with or as a consequence of an Event of Default, together with interest thereon at LIBOR or, in the case of an expense attributable to a particular Transaction, the Pricing Rate for the relevant Transaction if that Pricing Rate is greater than LIBOR. view template Related agreements and comparisons Related agreements: Click here for the same clause in the 1996 MRA, when we get round to finding out the first thing about it. Comparison: Template:Gmradiff 11(h) Tell me more Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

Content and comparisons

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Summary

Note reference to dramatic look gopher — LIBOR. LIBOR also applies directly to default payments through Clause 12, but the in-through-the-out-door, reference non-default scenarios too is not quite as pronounced as it is in the 2010 GMSLA, but this will not stop your five-year, thousand-strong LIBOR remediation regulatory change juggernaut tying you up in months trying to work out how badly you must care about LIBOR in the Global Master Repurchase Agreement.

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General discussion

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See also

• Default Interest under the 2010 GMSLA, which is similar in basic thrust in that, curiously, interest seems to attach only to incurred legal expenses in effecting a close-out.

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