OSLA Anatomy

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OSLA Anatomy

1. Interpretation
2. Loans of Securities
3. Delivery of Securities
4. Rights and Title
5. Rates
6. Collateral
7. Redelivery of Equivalent Securities
8. Set-off etc.
9. Taxation
10. Lender’s Warranties
11. Borrower’s Warranties
12. Events of Default
13. Outstanding Payments
14. Transactions Entered into as Agent
15. Termination of Course of Dealings by Notice
16. Governing Practices
17. Observance of Procedures
18. Severance
19. Specific Performance
20. Notices
21. Assignment
22. Non-Waiver
23. Arbitration and Jurisdiction
24. Time
25. Recording
26. Governing Law
Resources
2010 GMSLA: Full wikitext · Nutshell wikitext |
2000 GMSLA: Full wikitext · Nutshell wikitext |
Pledge GMSLA: Hard copy (ISLA) · Full wikitext · Nutshell wikitext |
1995 OSLA: Full wikitext · Nutshell wikitext | GMSLA Netting
Let me Google that for you: Guide to equity finance | ISLA’s guide to securities lending for regulators and policy makers
Navigation (1995 OSLA): 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 |

Stock Lending Anatomies: GMSLA Anatomy | Pledge GMSLA Anatomy | 2000 GMSLA Anatomy | OSLA Anatomy

The 1995 Overseas Securities Lender's Agreement (OSLA) is the predecessor to the 2010 GMSLA. It is not widely used these days, though there are still versions kicking around and we do need to know about it, though because ISLA has — a litle petulantly, in my humble opinion — decided to stop supporting netting opinions, you can expect those to die out in fairly short order. Here is the currently and probably now for ever, sketchy OSLA Anatomy, but unless you are looking at an existing agreement that can’t be changed, your much better bet is to look at the 2010 GMSLA and its pledgy cousin, the Pledge GMSLA], and study the anatomy of that document.

Interesting features

OSLA Anatomy

1995 OSLA
Recital
1 Interpretation

Act of Insolvency
Agent
Alternative Collateral
Appropriate Tax Vouchers
Approved UK Collecting Agent
Approved Intermediary
Assured Payment
Assured Payment Agreement
Base Currency
Bid Price
Bid Value
Borrower
Borrowing Request
Business Day
Cash Collateral
Central Gilts Office
CGO
CGO Collateral
CGO Rules
Close of Business
Collateral
Defaulting Party
Equivalent Collateral
Collateral equivalent to
Equivalent Securities
Event of Default
Income
Income Payment Date
Lender
Manufactured Dividend
Margin
Nominee
Non-Defaulting Party
Offer Price
Offer Value
Parties
Performance Date
Principal
Reference Price
Relevant Payment Date
Rules
Securities
Settlement Bank
Settlement Date
Stock Exchange
Value

2 Loans of Securities
3 Delivery of Securities
4. Rights and title
a(A) (Documents of title)
4(B) (Income)

4(B)(i) (Income Payment Dates)
4(B)(ii) (Manufactured Dividends)
4(B)(iii) (Tax deductions on Manufactured Dividends)
4(B)(iv) (Payment through an Approved UK Intermediary or Approved UK Collecting Agent)
4(B)(v) (Interest)
4(B)(vi) (Voting rights)
4(B)(vii) (Conversion rights, etc.)
4(B)(viii) (Payments under this Clause)

5 Rates
6 Collateral
7. Redelivery of Equivalent Securities

7(A) Borrower’s undertaking to redeliver Equivalent Securities
7(B) Lender’s right to call for redelivery of Equivalent Securities
7(C) Lender’s election where Borrower does not return Equivalent Securities
7(D) Borrower to pay reasonable costs of any Buy-in
7(E) Borrower’s right to terminate loans
7(F) Redelivery of Talisman certificates

8 Set-off etc.

8(A) Redelivery on the Performance Date
8(B) Acceleration on Event of Default
8(C) Relevant Value
8(D) Bid Value and Offer Value
8(E) Buy Ins
8(F) Non Cash Securities as Collateral
8(G) Event of Default on failure to redeliver
8(H) Waiver in case of practical difficulties redelivering

9 Taxation
10 Lender’s Warranties
11 Borrower’s Warranties
12 Events of Default
13 Outstanding Payments
14 Transactions Entered Into As Agent
15 Termination of Course of Dealings by Notice
16 Governing Practices
17 Observance of Procedures
18 Severance
19 Specific Performance
20 Notices
21 Assignment
22 Non-Waiver
23 Arbitration and Jurisdiction
24 Time
25 Recording
26 Governing Law