Malaysia legislation

Section 3

of NETTING OF FINANCIAL AGREEMENTS ACT 2015

Section 3

Notwithstanding the provisions specified in Part I of the

Schedule, the netting provision in a qualified financial agreement in respect of the qualified financial transactions referred to in section 5 shall be enforceable in accordance with the terms of the qualified financial agreement which may involve the following steps:

(a)

termination of qualified financial transactions entered into under the qualified financial agreement;

(b)

calculation of termination values owed by the parties to each other in respect of each of the qualified financial transactions under paragraph (a); and

(c)

determination of a single net amount of the termination values under paragraph (b) which becomes payable by one party to the other.

Form of financial collateral