Template:Isda Credit Event Upon Merger summ

Known among the cognoscenti as “CEUM”, the same way Tax Event Upon Merger is a “TEUM”. No idea how you pronounce it, but since ISDA ninjas communicate only in long, appended, multicoloured emails and never actually speak to each other, it doesn’t matter.

Pay attention to the interplay between this section and Section {{{{{1}}}|7(a)}} ({{{{{1}}}|Transfer}}). You should not need to amend Section {{{{{1}}}|7(a)}} (for example to require equivalence of credit quality of any transferee entity etc., because that is managed by {{{{{1}}}|CEUM}}.

Note also the interrelationship between CEUM and a {{{{{1}}}|Ratings Downgrade}} {{{{{1}}}|Additional Termination Event}}, should there be one. One can be forgiven for feeling a little ambivalent about {{{{{1}}}|CEUM}} because it is either caught by {{{{{1}}}|Ratings Downgrade}} or, if there is no requirement for a general {{{{{1}}}|Ratings Downgrade}}, insisting on {{{{{1}}}|CEUM}} seems a bit arbitrary (i.e. why do you care about a downgrade as a result of a merger, but not any other ratings downgrade?)