Template:M comp disc EUA Annex Suspension

Suspension Event procedure

You will notice similarities between the way a Suspension Event and a Settlement Disruption Event. One can, and we do, bellyache about the way ISDA’s crack drafting squad™ goes about the task of rendering its fantastical ideas in the language of Shakespeare and Milton, but you can’t really fault them for consistency.

Here, in counterpoint to a normal Settlement Disruption Event if there is delayed performance the payment obligation is adjusted to include a Cost of Carry Amount.

Definition of Suspension Event

This a limited thing — some would say, arbitrarily limited — where regulatory/government fiat at the heart of the European Union stops the system functioning as it should, but not permanently. So, taking the Union Registry offline, an Administrator Event — but not some other regulatory driven externalities. It doesn’t include Abandonment of Scheme or an “executive decision” (however unlikely) that Phase 3 Allowances are no longer elibigle for surrender in Phase 4.

You may never thank us for producing this diagram of how the various Suspension Events and Disruption Events do, or don’t interact with each other: it is probably wrong and we will never get that two hours back. But here it is for whatever small crumb of enlightenment it may bring.

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