Template:Isda 1 summ
Section {{{{{1}}}|1}} is a gentle introduction indeed to the dappled world of the ISDA Master Agreement: much coming from the “goes without saying, but let’s say it anyway” dept of legal wordwrightery — a large department indeed, in the annals of modern legal practice. It starts getting a bit tasty in Section {{{{{1}}}|1(c)}} with the {{{{{1}}}|Single Agreement}}, but it’s not until the Section {{{{{1}}}|2(a)(iii)}} flawed asset provision that you’re properly in the ISDA ninja twilight zone.
In a nutshell: DO NOT ADJUST THIS PROVISION. It does no-one any harm. How could it?
...Unless you are writing an ISDA Master Agreement for a repackaging vehicle issuing segregated, secured, limited recourse obligations. In that case you — and here I am supposing that “you” are the inhouse legal eagle at the arranging bank, or someone advising her — will have multiple {{{{{1}}}|Transaction}}s nominally between the same two entities — your employer and the SPV — but economically being totally distinct, relating as they do to discrete ring-fenced “Series” issued by the SPV and you absolutely do not want these to form a single agreement with each other, or net, or do anything ostensibly desirable like that.
Each {{{{{1}}}|Transaction}} (or set of {{{{{1}}}|Transaction}}s, if more than one {{{{{1}}}|Transaction}} attaches to a single Series) stands quite alone, should not be accelerated, cross-defaulted, DUSTed, closed out or heaven forbid netted, just because some other {{{{{1}}}|Transaction}}, relating to another series, has gone arriba. Treat them as if each Series had its own distinct ISDA Master Agreement, completely isolated, air-gapped and insulated against misadventure occurring in other ISDA Master Agreements the SPV has entered with you relating to other Series.[1]