Transaction - ISDA Provision

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ISDA Anatomy™
incorporating our exclusive ISDA in a Nutshell™


1992 ISDA
(Multicurrency — Cross Border)

ISDA ®
International Swap Dealers Associations, Inc.


Dated as of ……………………



…………………… and …………………

have entered and/or anticipate entering into one or more transactions (each a “Transaction”) that are or will be governed by this Master Agreement, which includes the schedule (the “Schedule”), and the documents and other confirming evidence (each a “Confirmation”) exchanged between the parties confirming those Transactions.
Accordingly, the parties agree as follows: —

(view template)

2002 ISDA

ISDA ®
International Swaps and Derivatives Association, Inc.


Dated as of ……………………



…………………… (“Party A”) and ………………… (“Party B”)

have entered and/or anticipate entering into one or more transactions (each a “Transaction”) that are or will be governed by this 2002 Master Agreement, which includes the schedule (the “Schedule”), and the documents and other confirming evidence (each a “Confirmation”) exchanged between the parties or otherwise effective for the purpose of confirming or evidencing those Transactions. This 2002 Master Agreement and the Schedule are together referred to as this “Master Agreement”.
Accordingly, the parties agree as follows:―

(view template)


Index: Click to expand:Navigation
The Varieties of ISDA Experience
Subject 2002 (wikitext) 1992 (wikitext) 1987 (wikitext)
Preamble Pre Pre Pre
Interpretation 1 1 1
Obligns/Payment 2 2 2
Representations 3 3 3
Agreements 4 4 4
EODs & Term Events 5

Events of Default
FTPDBreachCSDMisrepDUSTCross DefaultBankruptcyMWA
Termination Events
IllegalityTax EventTEUMCEUMATE

5

Events of Default
FTPDBreachCSDMisrepDUSTCross DefaultBankruptcyMWA
Termination Events
IllegalityTax EventTEUMCEUMATE

5

Events of Default
FTPDBreachCSDMisrepDUSTCross DefaultBankruptcyMWA
Termination Events
IllegalityFMTax EventTEUMCEUMATE

Early Termination 6

Early Termination
ET right on EODET right on TEEffect of DesignationCalculations

6

Early Termination
ET right on EODET right on TEEffect of DesignationCalculationsSet-off

6

Early Termination
ET right on EODET right on TEEffect of DesignationCalculationsSet-off

Transfer 7 7 7
Contractual Currency 8 8 8
Miscellaneous 9 9 9
Offices; Multibranch Parties 10 10 10
Expenses 11 11 11
Notices 12 12 12
Governing Law 13 13 13
Definitions 14 14 14
Schedule Schedule Schedule Schedule
Termination Provisions Part 1 Part 1 Part 1
Tax Representations Part 2 Part 2 Part 2
Documents for Delivery Part 3 Part 3 Part 3
Miscellaneous Part 4 Part 4 Part 4
Other Provisions Part 5 Part 5 Part 5

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What exactly counts as a Transaction under an ISDA Master Agreement is a matter of some moment, because it will determine what you need to take into account when applying close-out netting, and (unless you’ve specified a narrower range of Covered Transactions) the values you need to calculate when making collateral calls under a 1995 CSA.

Unusually, for a document so outrageously verbose in most other respects, the ISDA Master Agreement has little to say on the subject, the 1992 ISDA leaving it entirely to the preamble:

... one or more transactions (each a “Transaction”) that are or will be governed by this Master Agreement.

And the 2002 ISDA not going much further.

Transaction” has the meaning specified in the preamble.

The 2002 ISDA Equity Derivatives Definitions also define “Transaction”, to no apparent point.

Template:Eqderivsnap

Netting

These are the types of transaction that are contemplated for netting purposes in the ISDA opinion (for England)