Fish or cut bait

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“Use it or lose it”, to use an easier vernacular.

When you have a good maul going forward, but momentum stalls, and it looks like someone might have their hands on your ball, the referee might call fish or cut bait to stop your additional termination event hanging on indefinitely and freaking your client out.

So, for example, you would have to exercise your rights following a NAV trigger within, say, 30 days.

Fish or cut bait clauses are a pain on the proverbial because the cut-off time is inevitably arbitrary, will be ambiguous (30 days from the event, or when you were actually aware of the event, or when you ought reasonably to have been aware of the event and so on), and undoubtedly some bright spark will want to have a grace period, and in any case will contrive enough confusion, angst and resentment to delay the closing of the deal for three weeks.

Since no-one exercises NAV triggers anyway - well - have you ever? You are best to just shoot yourself, before the negotiation starts.