Netting of Financial Agreements Act 2015 · s 3

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s 3Enforceability of netting provision in qualified financial agreement

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.