Section 2(a)(iii) - ISDA Provision: Difference between revisions

Section 2(a)(iii) - ISDA Provision (view source)

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 Still, the revised language raises a few concerns:
-*'''Incurable {{isdaprov|Events of Default}}''': [[ISDA]] was looking to apply the time restriction only in respect of "incurable" {{isdaprov|Events of Default}}'''". Not actually sure the list was sufficiently comprehensive to achieve that. Others have suggested to limit to {{isdaprov|Bankruptcy}}. Anyway, does not matter because none of that works under English law for capital reasons and so [[ISDA]] will be changing to apply the language to all {{isdaprov|Events of Default}} ([[FSA]] will require this).
+*'''Incurable {{isdaprov|Events of Default}}''': [[ISDA]] was looking to apply the time restriction only to "incurable" {{isdaprov|Events of Default}}. Not sure the list was sufficiently comprehensive to achieve that. Others have suggested to limit it to {{isdaprov|Bankruptcy}}. Anyway, none of that works under English law for capital reasons and so [[ISDA]] will be changing to apply the language to all {{isdaprov|Events of Default}} ([[FCA]] will require this).
 *The language is problematic where, for example, a {{isdaprov|Defaulting Party}} informs the {{isdaprov|Non-defaulting Party}} of a {{isdaprov|Misrepresentation}}. {{isdaprov|Non-defaulting Party}} waives the misrep and then the "defaulter" experiences a {{isdaprov|Default Under Specified Transaction}}. Would leave a gap on the CP.