Template:ISDA English Law Credit Support Deed 2018 13(i): Difference between revisions
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{{ | {{imcsdprov|13(i)}} '''{{imcsdprov|Notice of Exclusive Control}}'''. Each party as the {{imcsdprov|Secured Party}} covenants to the other party as the {{imcsdprov|Chargor}} that: <br> | ||
:(i) it will not give a {{imcsdprov|Notice of Exclusive Control}} under the {{imcsdprov|Control Agreement}} unless and until an {{imcsdprov|NEC Event}} occurs and is continuing and that it will deliver a copy of the {{imcsdprov|Notice of Exclusive Control}} to the {{imcsdprov|Chargor}} when it is delivered to the {{imcsdprov|Custodian (IM)}}; and | |||
:(ii) it will not exercise any rights of access in respect of the {{imcsdprov|Posted Credit Support (IM)}} held by the {{imcsdprov|Custodian (IM)}} arising from delivery of such {{imcsdprov|Notice of Exclusive Control}} unless and until a {{imcsdprov|Secured Party Rights Event}} occurs and is continuing. <br> | |||
{{ISDA English Law Credit Support Deed 2018 NEC Event}} | |||
{{ISDA English Law Credit Support Deed 2018 Notice of Exclusive Control}} | |||
Notwithstanding the foregoing, if “{{imcsdprov|Control Agreement NEC Event}}” is specified as applicable here with respect to a party as the {{imcsdprov|Chargor}}, a “{{imcsdprov|NEC Event}}” will only occur upon the occurrence of one or more of the events that the {{imcsdprov|Chargor}} and the {{imcsdprov|Secured Party}} have agreed, in the {{imcsdprov|Control Agreement}} or otherwise, will permit the {{imcsdprov|Secured Party}} to deliver a {{imcsdprov|Notice of Exclusive Control}} under the {{imcsdprov|Control Agreement}}: | |||
With respect to Party A acting in its capacity as the {{imcsdprov|Chargor}} and Party B acting in its capacity as the {{imcsdprov|Secured Party}}: {{imcsdprov|Control Agreement NEC Event}} is {{na}}. | |||
With respect to Party B acting in its capacity as the {{imcsdprov|Chargor}} and Party A acting in its capacity as the {{imcsdprov|Secured Party}}: {{imcsdprov|Control Agreement NEC Event}} is {{na}}.<br> | |||
Latest revision as of 15:52, 18 March 2022
13(i) Notice of Exclusive Control. Each party as the Secured Party covenants to the other party as the Chargor that:
- (i) it will not give a Notice of Exclusive Control under the Control Agreement unless and until an NEC Event occurs and is continuing and that it will deliver a copy of the Notice of Exclusive Control to the Chargor when it is delivered to the Custodian (IM); and
- (ii) it will not exercise any rights of access in respect of the Posted Credit Support (IM) held by the Custodian (IM) arising from delivery of such Notice of Exclusive Control unless and until a Secured Party Rights Event occurs and is continuing.
- “NEC Event” means:
- (A) if the Control Agreement permits delivery of a Notice of Exclusive Control separately from instructions from the Secured Party to the Custodian (IM) regarding the transfer of assets from the relevant Segregated Account:
- (1) an Event of Default or Access Condition with respect to the Chargor has occurred and is continuing or
- (2) an Early Termination Date in respect of all Transactions has occurred or been designated as the result of an Event of Default or Access Condition with respect to the Chargor; or
- (B) otherwise, a Secured Party Rights Event has occurred and is continuing.
- (A) if the Control Agreement permits delivery of a Notice of Exclusive Control separately from instructions from the Secured Party to the Custodian (IM) regarding the transfer of assets from the relevant Segregated Account:
- “Notice of Exclusive Control” means a notice that a secured party is entitled to give under the Control Agreement that has or will have the effect of giving such party the exclusive right to direct the Custodian (IM) to block withdrawals or to control the Posted Credit Support (IM).
Notwithstanding the foregoing, if “Control Agreement NEC Event” is specified as applicable here with respect to a party as the Chargor, a “NEC Event” will only occur upon the occurrence of one or more of the events that the Chargor and the Secured Party have agreed, in the Control Agreement or otherwise, will permit the Secured Party to deliver a Notice of Exclusive Control under the Control Agreement:
With respect to Party A acting in its capacity as the Chargor and Party B acting in its capacity as the Secured Party: Control Agreement NEC Event is [Applicable/Not Applicable].
With respect to Party B acting in its capacity as the Chargor and Party A acting in its capacity as the Secured Party: Control Agreement NEC Event is [Applicable/Not Applicable].