Template:Failure to pay procedure: Difference between revisions

At the expiry of the Section {{{{{1}}}|5(a)(i)}} [[grace period]], you finally have a fully operational {{{{{1}}}|Event of Default}}. Now Section {{{{{1}}}|6(a)}} allows you, by ''not more than 20 days’ notice''<ref name="20days">See discussion on at Section {{{{{1}}}|6(a)}} about the silliness of that time limit.</ref> to designate an {{{{{1}}}|Early Termination Date}} for all outstanding {{{{{1}}}|Transaction}}s.  

So, at some point in the next twenty days<ref name="20days"/> outstanding {{{{{1}}}|Transaction}}s will be at an end.<ref> By a striking oversight, not actually so named in the {{1992ma}}.</ref> Now this is a different thing from knowing what the amounts will be, much less knowing when they will be paid: this is the date ''by reference to which'' termination amounts will be calculated.  

Your in-house metaphysicians having calculated your {{isdaprov|Close-out Amount}}s,<ref name="close out amounts"/> and assembled all the values into an {{{{{1}}}|Early Termination Amount}}<ref>Or, in the {{1992ma}}’s estimable prose, “the amount, if any, payable in respect of an {{isdaprov|Early Termination Date}} and determined pursuant to this Section”.</ref> the party who owes it must pay the {{{{{1}}}|Early Termination Amount}}. With {{icds}} yen for infinite fiddlarity, this will depend on whether the Early Termination Date follows an Event of Default or an Termination Event. If the former, the {{{{{1}}}|Early Termination Amount}} is payable at once, as soon as the {{{{{1}}}|6(d)}} statement is deemed delivered; if a {{{{{1}}}|Termination Event}}, only two {{{{{1}}}|Local Business Day}}s {{ikr}} after the {{{{{1}}}|6(d)}} statement is delivered (or, where there are ''two'' {{{{{1}}}|Affected Parties}} and both are delivering each other {{{{{1}}}|6(d)}} statements {{ikr}} after both have done so).