Template:Isda 13(b) summ

On the disapplication of {{{{{1}}}|13(b)(iii)}}

Where you wish to elect the exclusive jurisdiction of (say) English courts in your {{{{{1}}}|Schedule}}, you may wish to explicitly disapply the proviso to {{{{{1}}}|13(b)}} which provides that nothing in this clause precludes the bringing of {{{{{1}}}|Proceedings}} in another jurisdiction (in the flush language of the 1992 ISDA version; in {{{{{1}}}|13(b)(iii)}} of the 2002 ISDA version).

Strictly speaking you shouldn't need to do this: Section {{{{{1}}}|1(b)}} provides that the inconsistency created by the use of the expression “exclusive jurisdiction” in the Schedule will prevail over the text the Master Agreement. But that won’t stop officious attorneys the world over trying.

But, counselor, be warned: if you do try to explicitly override it — you know, for good measure and everything — and your counterparty pushes back, having deliberately taken the clarifying language out of a draft, you may be in a ;;worse position when interpreting the meaning of “exclusive jurisdiction", precisely because the counterparty refused to rule out the use of other jurisdictions. A cracking example of the anal paradox at work.

Don’t be too clever by half, in other words.