Local Business Day - VM CSA Provision

2016 VM CSA Anatomy™ →Go uptown In a Nutshell™ Section Local Business Day: “Local Business Day” means: (i) Dematerialised securities: for securities transfers inside a clearance system, a day on which that clearance system executes settlement instructions; (ii) Cash and other property: for cash and other transfers, a day on which commercial banks are open where the relevant account is located and in the principal financial centre for any relevant currency; (iii) Resolution Time: for a Resolution Time, a day on which commercial banks are open in at least one Valuation Date Location for each Party; and (iv) Notices: for any communication, a day on which commercial banks are open in the place specified for the recipient in the notices section. view template 2016 VM CSA full text of Section Local Business Day: “Local Business Day”, unless otherwise specified in Paragraph 11(k), means: (i) in relation to a transfer of cash or other property (other than securities) under this Annex, a day on which commercial banks are open for business (including dealings in foreign exchange and foreign currency deposits) in the place where the relevant account is located and, if different, in the principal financial centre, if any, of the currency of such payment; (ii) in relation to a transfer of securities under this Annex, a day on which the clearance system agreed between the parties for delivery of the securities is open for the acceptance and execution of settlement instructions or, if delivery of the securities is contemplated by other means, a day on which commercial banks are open for business (including dealings in foreign exchange and foreign currency deposits) in the place(s) agreed between the parties for this purpose; (iii) in relation to the Resolution Time, a day on which commercial banks are open for business (including dealings in foreign exchange and foreign currency deposits) in at least one Valuation Date Location for Party A and at least one Valuation Date Location for Party B; and (iv) in relation to any notice or other communication under this Annex, a day on which commercial banks are open for business (including dealings in foreign exchange and foreign currency deposits) in the place specified in the address for notice most recently provided by the recipient. view template Related Agreements Click here for the text of Section Local Business Day in the 1995 English Law CSA Click here for the text of Section Local Business Day in the 2016 English Law VM CSA Click [[{{{3}}} - NY VM CSA Provision|here]] for the text of the equivalent, Section [[{{{3}}} - NY VM CSA Provision|{{{3}}}]] in the 2016 NY Law VM CSA Comparisons 1995 CSA and 2016 VM CSA: click for comparison {{nycsadiff {{{3}}}}} Resources Full wikitext | Nutshell wikitext Navigation 1 (Interpretation) | 2 (Credit Support Obligations) | 3 (Transfers, Calculations and Exchanges) | 4 (Dispute Resolution) | 5 (Title Transfer etc) | 6 (Default) | 7 (Representation) | 8 (Expenses) | 9 (Miscellaneous) | 10 (Definitions) | 11 (Elections and Variables) Index: Click ᐅ to expand: 2016 VM CSA 2018 CSD 1995 CSA Tell me more Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

See also Local Business Day in the ISDA Master Agreement. The many gorgeous, multi-hued variations on the business day can be enjoyed as follows:

• Business day - a general, cynical review;
• Business Day - GMSLA Provision

ISDA extended universe

• Local Business Day
• General Business Day (2002 only)
• Local Delivery Day (2002 only)
• Local Delivery Day (and its friends and relations)

How the business days work for demands under a Credit Support Annex

1. Valuation and demand: A 2016 VM CSA may demand a 2016 VM CSA (Para 2016 VM CSA) or a 2016 VM CSA Para 2016 VM CSA) “on or promptly following a 2016 VM CSA”.
2. Valuation Date: A “2016 VM CSA” means a day on which banks are open in at least one 2016 VM CSA for each party.
   1. Each party can specify however many 2016 VM CSAs it likes.
   2. Tip: the fewer you specifiy, the greater the chance none will be open on a given day, and you will be excused from a margin call, so don’t overdo it. One should be ample.
3. Settlement: Any 2016 VM CSA or 2016 VM CSA must be settled (Para 2016 VM CSA) by the close of business on the 2016 VM CSA relating to the date such demand is received (if received before the 2016 VM CSA (spoiler: usually 11 am, noon or 1pm)), or the 2016 VM CSA relating to the day after the date such demand is received (if received after the 2016 VM CSA).
4. Regular Settlement Day: A “2016 VM CSA” means the same 2016 VM CSA — careful: as defined in the 1995 CSA, not the ISDA Master Agreement — on which the demand is made.
5. Local Business Day: A “2016 VM CSA” (under the 1995 CSA) means, in the case of notices, a day on which banks are open in the address for the notice most recently specified by the Recipient. What if demand is made on a day that is not a 2016 VM CSA? Simple: by dint of Section 12 of the ISDA Master Agreement, the notice will be deemed given on the next Local Business Day (as defined in the ISDA Master Agreement, not the 1995 CSA).

Easy.