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Master Netting Agreement
"Need a Master Netting Agreement under Indian law for our investment bank's derivatives trading operations with a major commercial bank, including provisions for cross-border transactions and electronic trading platforms to be implemented by March 2025."
1. Parties: Identification of the contracting parties and their legal status
2. Background: Context of the agreement and relationship between parties
3. Definitions and Interpretation: Comprehensive definitions of terms used and interpretation rules
4. Scope of Agreement: Types of transactions covered and application of netting provisions
5. Netting Arrangements: Detailed mechanisms for payment netting, close-out netting, and set-off rights
6. Events of Default: Comprehensive list of default triggers and consequences
7. Early Termination: Procedures and calculations for early termination scenarios
8. Close-out Amount: Methodology for calculating settlement amounts upon close-out
9. Set-off Rights: Rights and procedures for setting off obligations
10. Representations and Warranties: Standard and specific representations by both parties
11. Covenants: Ongoing obligations of the parties
12. Transfer and Assignment: Rules regarding transfer of rights and obligations
13. Notices: Communication procedures and contact details
14. Governing Law and Jurisdiction: Choice of Indian law and jurisdiction provisions
15. Dispute Resolution: Procedures for resolving disputes
16. General Provisions: Standard boilerplate clauses including severability, amendments, etc.
1. Multi-branch Provisions: Required when parties operate through multiple branches or offices
2. Credit Support Arrangements: Include when parties agree to provide collateral or other credit support
3. Special Entity Provisions: Required when one party is a regulated entity like a bank or insurance company
4. Foreign Exchange Provisions: Include for cross-border transactions subject to FEMA regulations
5. Tax Provisions: Detailed tax clauses needed for complex cross-border arrangements
6. Electronic Trading Provisions: Include when parties engage in electronic trading platforms
7. Agent Provisions: Required when any party acts through an agent
1. Schedule 1 - Transaction Types: List and specifications of covered transaction types
2. Schedule 2 - Offices: List of authorized offices/branches for each party
3. Schedule 3 - Events of Default and Termination Events: Detailed listing of triggers and consequences
4. Schedule 4 - Close-out Amount Calculations: Detailed methodology for close-out calculations
5. Schedule 5 - Contact Details: Comprehensive contact information for notices
6. Appendix A - Form of Confirmation: Standard form for transaction confirmations
7. Appendix B - Credit Support Documentation: Forms and procedures for credit support arrangements
8. Appendix C - Local Law Provisions: Specific provisions required under Indian law
Authors
Agreement
Automatic Early Termination
Business Day
Close-out Amount
Close-out Netting
Confirmation
Credit Support
Default Interest
Default Rate
Defaulting Party
Early Termination Amount
Early Termination Date
Event of Default
Governing Law
Indian Business Day
Local Business Day
Loss
Market Quotation
Netting
Non-defaulting Party
Notice of Early Termination
Office
Payment Date
Payment Netting
Potential Event of Default
Proceedings
Qualified Financial Contract
Reference Market-makers
Relevant Jurisdiction
Set-off Rights
Specified Condition
Specified Entity
Specified Indebtedness
Specified Transaction
Stamp Duty
Termination Currency
Termination Currency Equivalent
Termination Event
Threshold Amount
Transaction
Transfer
Unpaid Amounts
Waiting Period
Close-out Netting
Payment Netting
Set-off Rights
Events of Default
Early Termination
Representations and Warranties
Covenants
Payment Obligations
Calculation Agent
Default Interest
Credit Support
Transfer and Assignment
Governing Law
Jurisdiction
Dispute Resolution
Notices
Confidentiality
Force Majeure
Severability
Amendments
Entire Agreement
Counterparts
Term and Termination
Regulatory Compliance
Tax Provisions
Recording of Communications
Electronic Trading
Branch Provisions
Agent Provisions
Currency Provisions
Settlement
Default Remedies
Indemnification
Limitation of Liability
Banking
Financial Services
Insurance
Investment Management
Securities Trading
Corporate Treasury
Asset Management
Risk Management
Capital Markets
Financial Technology
Legal
Treasury
Risk Management
Compliance
Trading
Operations
Finance
Regulatory Affairs
Investment
Credit Risk
Chief Financial Officer
Treasury Manager
Risk Management Officer
Legal Counsel
Compliance Officer
Trading Manager
Financial Controller
Head of Operations
Chief Risk Officer
Derivatives Trader
Senior Legal Counsel
Head of Treasury
Regulatory Compliance Manager
Investment Manager
Portfolio Manager
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