Close-Out Netting and Setoff Sample Clauses

The Close-Out Netting and Setoff clause allows parties to consolidate and offset mutual obligations in the event of a default or termination of the agreement. In practice, this means that if one party defaults, all outstanding amounts owed between the parties under the agreement are aggregated, and only the net balance is payable by one party to the other. This mechanism streamlines the settlement process, reduces credit risk, and ensures that neither party is required to pay more than the net amount owed, thereby protecting both parties from potential losses due to insolvency or default.
Close-Out Netting and Setoff. A. Upon termination of this Agreement, without limiting any other provision of this Agreement or any Transaction Document, any member of the ACC Group may aggregate, setoff and net against any Obligations of any Luminent Entity any Collateral, or the value thereof, pledged by or required to be delivered or paid by any Luminent Entity to any member of the ACC Group in connection with such terminated Transactions. In addition, upon termination under this Section, any member of the ACC Group may aggregate, setoff and net against any Obligations of any Luminent Entity any Collateral, or the value thereof, pledged by or required to be delivered or paid by any member of the ACC Group to any Luminent Entity in connection with such terminated Transactions. Thereupon, the only delivery obligation of any of the parties in connection with such Transactions will be for the parties to deliver such Collateral or a net cash payment, as the case may be, as may be required after giving effect to such aggregation, netting and setoff. B. The method by which the parties hereto will value such Collateral for such netting and setoff purposes will be determined by the method prescribed in the applicable agreement or, in the absence of a prescribed method, by the ACC Entities in a commercially reasonable manner. C. In the alternative, the ACC Group may net and setoff amounts pursuant to this Section in accordance with the netting and setoff rights specified in Section 3. D. Each ACC Entity shall aggregate any gains, losses and costs with respect to all transactions into a single net amount (the “Settlement Amount”). It is expressly agreed that the ACC Entities shall not be required to enter into replacement transactions in order to determine the Settlement Amount. The ACC Group and the Luminent Group will provide one another with a statement showing, in reasonable detail, their calculations of gains, losses and costs, including all relevant quotations and specifying any amount payable, and giving details of the relevant account to which any amount payable is to be paid.
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Related to Close-Out Netting and Setoff

  • Netting and Set-Off 23.1. If the aggregate amount payable by the Client is equal to the aggregate amount payable by the Company, then automatically the mutual obligations to make payment are set-off and cancel each other. 23.2. If the aggregate amount payable by one party exceeds the aggregate amount payable by the other party, then the party with the larger aggregate amount shall pay the excess to the other party and all obligations to make payment will be automatically satisfied and discharged. 23.3. The Company has the right to combine all or any Client Accounts opened in the Client name and to consolidate the Balances in such accounts and to set-off such Balances in the event of termination of the Agreement.

  • Close Out Upon the Close-out of any Contract, the Close-out Amount for such Contract shall be due. If, however, Applicable Law would stay or otherwise impair the enforcement of the provisions of this Agreement or any Contract upon the occurrence of an insolvency related Close-out or Event of Default, then Close-out shall automatically occur immediately prior to the occurrence of such insolvency related Close-out or Event of Default.

  • Account Close–Out Fees The Transfer Agent may receive any fees reasonably related to the cost incurred by the Transfer Agent to close out a shareholder’s Account in an all-inclusive fee fund or any retirement corporate record kept account or any retirement tax–exempt record kept account serviced by the division or divisions of the transfer agent or any sub-transfer agents that service Accounts within employer-sponsored retirement plans, including not limited to, 401(k) and 403(b) plans, or in any prototype or similar retirement account which is part of a retirement account program sponsored by Fidelity Investments.

  • CLOSING AND SETTLEMENT Seller/Landlord shall determine the title company at which settlement shall occur and shall inform Buyer/Tenant of this location in writing. Buyer/Tenant agrees that closing costs in their entirety, including any points, fees, and other charges required by the third-party lender, shall be the sole responsibility of Buyer/Tenant. The only expense related to closing costs apportioned to Seller/Landlord shall be the pro-rated share of the ad valorem taxes due at the time of closing, for which Seller/Landlord is solely responsible.

  • Mitigation and Set-Off The Executive shall not be required to mitigate the amount of any payment provided for in this Agreement by seeking other employment or otherwise. The Company shall not be entitled to set off against the amounts payable to the Executive under this Agreement any amounts owed to the Company by the Executive, any amounts earned by the Executive in other employment after termination of his employment with the Company, or any amounts which might have been earned by the Executive in other employment had he sought such other employment.