83,357
edits
Amwelladmin (talk | contribs) No edit summary |
Amwelladmin (talk | contribs) No edit summary |
||
Line 24: | Line 24: | ||
{{Quote|“An individual BBA LIBOR Contributor Panel Bank will contribute the ''lowest'' rate at which it could borrow funds ...}} | {{Quote|“An individual BBA LIBOR Contributor Panel Bank will contribute the ''lowest'' rate at which it could borrow funds ...}} | ||
And the argument here is not about economic reality, but legal meaning, and legal meaning follows natural, | And the argument here is not about economic reality, but legal meaning, and legal meaning follows natural, ordinary meanings, and in the world of contractual interpretation, they tend to be construed from the perspective of the person endeavouring to perform the contract and [[Contra proferentem|against the draftsperson’s interest]], giving the benefit of the doubt to the reader. | ||
To conclude | As a matter of plain English, the court openly concedes that “could” does not logically rule out a higher rate, but implies it: “a borrower ''can'' always borrow at a higher rate than the lowest one on offer”. | ||
But — per the wording in the LIBOR definition — there is not an unlimited upper bound to that: it is delimited by the range of “inter-bank offers in reasonable market size just prior to 1100”. | |||
A submitted could not submit a rate higher than that actually offered range any more than it could submit a rate lower than the actually offered range. | |||
To conclude this “could” does not mean that, therefore, involves ''implying'' a term into the contract. Inserting an adjective that the drafters of the rules could easily have included ''but chose not to''. | |||
Evidence was not led as to how the rules were drafted, and what flexibility the British Bankers’ Association had in mind. and after all, history has borne out that, sometimes, there are times where Banks and their regulators are rightly motivated by considerations other than the actual (lowest) rate at which one could borrow. | |||
{{sa}} | |||
*[[LIBOR]] | *[[LIBOR]] | ||
{{ref}} | {{ref}} |