Common use of Client Default Clause in Contracts

Client Default. 5.1 If the Client fails to comply with any of the Client’s obligations and/or to meet the Client’s liabilities under this Client Agreement including this Schedule, including without limitation failure to provide Margin, without prejudice to any other rights KGI Asia may have, KGI Asia shall have the right to: (a) decline to accept further Instructions from the Client in respect of Exchange Traded Options Business; (b) offset, close out and/or cancel some or all of the Client’s Client Contracts with KGI Asia; (c) enter into any Contracts, or into any transactions in Securities, futures or commodities, in order to settle obligations arising or to hedge the risks to which KGI Asia is exposed in relation to the Client’s failure or default; and/or (d) dispose of any or all of the Margin, and apply the proceeds thereof to discharge the Client’s liabilities to KGI Asia, and any proceeds remaining after discharge of all the Client’s liabilities to KGI Asia should be paid to the Client.