Template:M summ 2016 NY CSA 7: Difference between revisions

Latest revision as of 13:42, 13 January 2022

Quite different to the default provision under the 2016 VM CSA, because the NY version is not a Transaction. This means it needs to have its own Events of Default clause, rather than piggy-backing off the ISDA Master Agreement. It also has its own grace period, which defaults to two Local Business Days.

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-Some interesting things here:
+[[7 - NY VM CSA Provision|Quite]] different to the default provision under the {{vmcsa}}, because the NY version is not a {{isdaprov|Transaction}}. This means it needs to have its own {{nyvmcsaprov|Events of Default}} clause, rather than piggy-backing off the {{isdama}}. It also has its own [[grace period]], which defaults to two {{nyvmcsaprov|Local Business Day}}s.
-{{nyvmcsaprov|7(i)}}: '''Failure to Transfer Collateral''': {{csa grace periods}}
-{{nyvmcsaprov|7(ii)}}: '''Impermissable dealing''': this one is a doozy: the document, as standard, ''allows'' parties to [[rehypothecate]]. This default triggers if you have amended the document to say you cannot rehypothecate, but then you do anyway. Way to go, {{icds}}.
-{{nyvmcsaprov|7(iii)}}: '''Other breach of Annex''': this is an analogue to the {{isdama}}’s sweep-up “{{isdaprov|Breach of Agreement}}” under Section {{isdaprov|5(a)(ii)}} — this is the Event of Default you use if you don’t really need to use an Event of Default. Why would ''anyone'' wait 30 days?