Template:Nutshell 1995 CSA 4(a)

4(a) Disputed Calculations or Valuations. If a Disputing Party disputes any collateral call (the Value of either the Exposure or the Credit Support being transferred):

• it must give notice by close of business on the following Local Business Day:
• it must transfer any undisputed amount by close of business on the following Settlement Day;
• the parties will try resolve the dispute. If by the Resolution Time they haven’t:
  • Disputes as to Exposure: the Valuation Agent will recalculate any disputed Exposure as of the Recalculation Date by averaging the mid-market quotations from those Reference Market-makers who will provide one (if none will, the Valuation Agent’s original calculations will stand); and calculating the outstanding Credit Support Balance as per Paragraph 11(e)(ii);
  • Disputes as to the Value of Credit Support recalculating the Value as of the date of transfer under Paragraph 11(e)(ii).
    

The Valuation Agent will notify each party by the Notification Time on the Local Business Day following the Resolution Time. Then the appropriate transfer has to be made.