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{{fullanat|isda|2(c)|2002}} | |||
In the context of an {{isdama}} is the ability, vouchsaved in Section {{isdaprov|2(c)}} of the {{isdama}}, to offset cashflows due between parties to the agreement on the same day in the same currency but in respect of different {{isdaprov|Transactions}}. | In the context of an {{isdama}} is the ability, vouchsaved in Section {{isdaprov|2(c)}} of the {{isdama}}, to offset cashflows due between parties to the agreement on the same day in the same currency but in respect of different {{isdaprov|Transactions}}. | ||
===Caution=== | ===Caution=== | ||
Settlement {{tag|netting}} should not be, but routinely is, confused with the much more drastic [[close-out netting]], which is the termination of all outstanding transactions and the calculation of a single net {{isdaprov|Early Termination Amount}} under section {{isdaprov|6(e)}} of the {{isdama}}, which is something that only happens in the unhappy situation that one or other party has terminated following an {{isdaprov|Event of Default}} under Section {{isdaprov|5(a)}} or a {{isdaprov|Termination Event}} under Section {{isdaprov|5(b)}}. A {{tag|trick for young players}} there. | Settlement {{tag|netting}} should not be, but routinely is, confused with the much more drastic [[close-out netting]], which is the termination of all outstanding transactions and the calculation of a single net {{isdaprov|Early Termination Amount}} under section {{isdaprov|6(e)}} of the {{isdama}}, which is something that only happens in the unhappy situation that one or other party has terminated following an {{isdaprov|Event of Default}} under Section {{isdaprov|5(a)}} or a {{isdaprov|Termination Event}} under Section {{isdaprov|5(b)}}. A {{tag|trick for young players}} there. | ||