Template:ISDA English Law Credit Support Annex 1995 6: Difference between revisions
Amwelladmin (talk | contribs) No edit summary |
Amwelladmin (talk | contribs) m Text replacement - "For the avoidance of doubt" to "{{f|For the avoidance of doubt}}" |
||
| Line 1: | Line 1: | ||
If an {{isdaprov|Early Termination Date}} is designated or deemed to occur as a result of an {{isdaprov|Event of Default}} in relation <br>to a party, an amount equal to the {{csaprov|Value}} of the {{csaprov|Credit Support Balance}}, determined as though the Early <br>Termination Date were a {{csaprov|Valuation Date}}, will be deemed to be an {{isdaprov|Unpaid Amount}} due to the {{csaprov|Transferor}} <br>(which may or may not be the {{isdaprov|Defaulting Party}}) for purposes of Section {{isdaprov|6(e)}}. For the avoidance of doubt, <br>if {{isdaprov|Market Quotation}} is the applicable payment measure for purposes of Section {{isdaprov|6(e)}}, then the Market <br>Quotation determined under Section {{isdaprov|6(e)}} in relation to the {{isdaprov|Transaction}} constituted by this {{csaprov|Annex}} will be <br>deemed to be zero, and, if {{isdaprov|Loss}} is the applicable payment measure for purposes of Section {{isdaprov|6(e)}}, then the <br>{{isdaprov|Loss}} determined under Section {{isdaprov|6(e)}} in relation to the {{isdaprov|Transaction}} will be limited to the {{isdaprov|Unpaid Amount}} <br>representing the {{csaprov|Value}} of the {{csaprov|Credit Support Balance}}. <br> | If an {{isdaprov|Early Termination Date}} is designated or deemed to occur as a result of an {{isdaprov|Event of Default}} in relation <br>to a party, an amount equal to the {{csaprov|Value}} of the {{csaprov|Credit Support Balance}}, determined as though the Early <br>Termination Date were a {{csaprov|Valuation Date}}, will be deemed to be an {{isdaprov|Unpaid Amount}} due to the {{csaprov|Transferor}} <br>(which may or may not be the {{isdaprov|Defaulting Party}}) for purposes of Section {{isdaprov|6(e)}}. {{f|For the avoidance of doubt}}, <br>if {{isdaprov|Market Quotation}} is the applicable payment measure for purposes of Section {{isdaprov|6(e)}}, then the Market <br>Quotation determined under Section {{isdaprov|6(e)}} in relation to the {{isdaprov|Transaction}} constituted by this {{csaprov|Annex}} will be <br>deemed to be zero, and, if {{isdaprov|Loss}} is the applicable payment measure for purposes of Section {{isdaprov|6(e)}}, then the <br>{{isdaprov|Loss}} determined under Section {{isdaprov|6(e)}} in relation to the {{isdaprov|Transaction}} will be limited to the {{isdaprov|Unpaid Amount}} <br>representing the {{csaprov|Value}} of the {{csaprov|Credit Support Balance}}. <br> | ||
Revision as of 12:27, 14 November 2016
If an Early Termination Date is designated or deemed to occur as a result of an Event of Default in relation
to a party, an amount equal to the Value of the Credit Support Balance, determined as though the Early
Termination Date were a Valuation Date, will be deemed to be an Unpaid Amount due to the Transferor
(which may or may not be the Defaulting Party) for purposes of Section 6(e). For the avoidance of doubt,
if Market Quotation is the applicable payment measure for purposes of Section 6(e), then the Market
Quotation determined under Section 6(e) in relation to the Transaction constituted by this Annex will be
deemed to be zero, and, if Loss is the applicable payment measure for purposes of Section 6(e), then the
Loss determined under Section 6(e) in relation to the Transaction will be limited to the Unpaid Amount
representing the Value of the Credit Support Balance.