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So, the [[Bank of International Settlements]] hastily made up some rules to make sure banks were diligently applying netting treatment. You must have a [[legal opinion]] assuring you that netting would work in insolvency in all relevant jurisdictions. This seemed harmless enough in 1981, rather like it seemed harmless in 1865 to [[Locomotive Act|require someone to walk in front of those new-fangled “automobiles” waving a red flag to warn unsuspecting passers by]]. And that day a cottage industry was born which, to this day, employs literally tens of thousands of people and wastes hundreds of millions of pounds in compliance each year.

*[[Locomotive Act|Red Flag Act]]

*[[Netting]]