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| [[6(b) - ISDA Provision|There]] is a difference between:
| | {{isda 6(b) summ|isdaprov}} |
| *'''Non-catastrophic {{isdaprov|Termination Events}}''': {{isdaprov|Termination Event}}s that affect one, some, or just a subset of {{isdaprov|Transaction}}s under the {{isdama}} — these might be caused by, say, a {{isdaprov|Tax Event}} or a local {{isdaprov|Illegality}}, but in any weather they are not much about the [[solvency]], [[creditworthiness]] or mendacity of your counterparty (and might have nothing to do with your counterparty at all); and
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| *'''Catastrophic {{isdaprov|Termination Events}}: those {{isdaprov|Termination Event}}s which by their nature affect — that is, “[[Affected Transaction - 1992 ISDA Provision|Affect]]” — ''all {{isdaprov|Transactions}}''. These generally are the bespoke ones your credit department insisted on, they ''will'' have something to do with the naughtiness of lack of fibre of one or other of the counterparty, and these function for most respects a lot more like {{isdaprov|Events of Default}}.
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| Thus, in the drafting of ISDA Schedules, CSAs and so on, you will often find laboured reference to {{isdaprov|Events of Default}} [[and/or]] {{isdaprov|Termination Events}} which lead to {{isdaprov|Early Termination Date}}s ''with respect to all outstanding {{isdaprov|Transaction}}s'' as some kind of special, hyper-exciting, class of {{isdaprov|Termination Event}}.
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