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| Some interesting things here:
| | [[7 - NY VM CSA Provision|Quite]] different to the default provision under the {{vmcsa}}, because the NY version is not a {{isdaprov|Transaction}}. This means it needs to have its own {{nyvmcsaprov|Events of Default}} clause, rather than piggy-backing off the {{isdama}}. It also has its own [[grace period]], which defaults to two {{nyvmcsaprov|Local Business Day}}s. |
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| {{nyvmcsaprov|7(i)}}: '''Failure to Transfer Collateral''': note the {{nyvmcsa}} bakes in a two {{nyvmcsaprov|Local Business Day}} grace period. This is one LBD ''longer'' than the standard [[grace period]] baked into the {{2002ma}}, and one {{nyvmcsaprov|Local Business Day}} ''shorter'' that the standard [[grace period]] baked into the {{1992ma}}. Which is nice. The English law CSAs don’t have this problem, since they are deemed to be {{isdaprov|Transaction}}s under the ISDA, and therefore inherit the {{isdama}}’s Section {{isdaprov|5(a)(i)}} [[grace period]]s. Which, you would have thought, ''has'' to be the more preferable arrangement. But anyway, Americans (and those of you Brits with {{imcsd}}s, the same goes for you, thanks to Section {{imcsdprov|7}} I am afraid) '''your grace periods might not match'''.
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| {{nyvmcsaprov|7(ii)}}: '''Impermissable dealing''': this one is a doozy: the document, as standard, ''allows'' parties to [[rehypothecate]]. This default triggers if you have amended the document to say you cannot rehypothecate, but then you do anyway. Way to go, {{icds}}.
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| {{nyvmcsaprov|7(iii)}}: '''Other breach of Annex''': this is an analogue to the {{isdama}}’s sweep-up “{{isdaprov|Breach of Agreement}}” under Section {{isdaprov|5(a)(ii)}} — this is the Event of Default you use if you don’t really need to use an Event of Default. Why would ''anyone'' wait 30 days? | |
Latest revision as of 13:42, 13 January 2022
Quite different to the default provision under the 2016 VM CSA, because the NY version is not a Transaction. This means it needs to have its own Events of Default clause, rather than piggy-backing off the ISDA Master Agreement. It also has its own grace period, which defaults to two Local Business Days.