Second Method - ISDA Provision: Difference between revisions

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===Comparison with the {{isdaprov|First Method}}===
===Comparison with the {{isdaprov|First Method}}===
Not generally used, under the {{isdaprov|First Method}}, a payment is only ever made by the {{isdaprov|Defaulting Party}} to the {{isdaprov|Non-defaulting Party}}. Which is a bit rubbish, and plays havoc with capital adequacy calculations. The {{isdaprov|First Method}} is thus a back door to withhold payments due under the {{isdama}} and set those off with other (possible) defaulted payments and is therefore undesirable.
{{first method}}
===See also===
===See also===
*{{isdaprov|General Conditions}} - the ominous subject of Section {{isdaprov|2(a)(iii)}} and the [[Metavante]] case.
*{{isdaprov|General Conditions}} - the ominous subject of Section {{isdaprov|2(a)(iii)}} and the [[Metavante]] case.
*{{isdaprov|Close-out Amount}} - the {{2002ma}} equivalent.
*{{isdaprov|Close-out Amount}} - the {{2002ma}} equivalent.
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