Conversion and recharacterization Sample Clauses
The "Conversion and recharacterization" clause defines the process by which certain financial instruments or contractual rights may be transformed into a different form or reclassified for legal or regulatory purposes. In practice, this clause might allow, for example, a loan to be converted into equity, or a transaction initially structured as a sale to be recharacterized as a secured loan if required by law or regulatory authorities. Its core function is to provide flexibility and legal clarity, ensuring that the parties' intentions are preserved even if the legal or regulatory environment changes, thereby mitigating risks associated with reclassification or regulatory scrutiny.
Conversion and recharacterization. If the Depositor maintains an Individual Retirement Account under Code Section 408(a), Depositor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ under Code Section 408A using the UMB, n.
a. ▇▇▇▇ ▇▇▇ Adoption Agreement by completing and executing the Adoption Agreement and giving suitable directions to the Custodian and the custodian or trustee of such other IRA.
Conversion and recharacterization. If the Depositor maintains an Individual Retirement Account under Code Section 408(a), Depositor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ under Code Section 408A using the terms of this Agreement and the Adoption Agreement by completing and executing the Adoption Agreement and giving suitable directions to the Custodian and the custodian or trustee of such other IRA. Alternatively, the Depositor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ by use of a reply card or by telephonic, computer or electronic means in accordance with procedures adopted by the Custodian or Service Company intended to meet the requirements of Code Section 408A, and the Depositor will be deemed to have executed the Adoption Agreement and adopted the provisions of this Agreement and the Adoption Agreement in accordance with such procedures. In accordance with the requirements of Code section 408A(d)(6) and regulations thereunder, the Depositor may recharacterize a contribution to a Traditional IRA as a contribution to a ▇▇▇▇ ▇▇▇, or may recharacterize a contribution to a ▇▇▇▇ ▇▇▇ as a contribution to a Traditional IRA, but the option to recharacterize a ▇▇▇▇ ▇▇▇ conversion is repealed by law, effective in 2018. The Depositor agrees to observe any limitations imposed by the Service Company on the number of such transactions in any year (or any such limitations or other restrictions that may be imposed by the Service Company or the IRS).
Conversion and recharacterization. If the Depositor maintains an Individual Retirement Account under Code Section 408(a), Depositor may convert or transfer such other ▇▇▇ to a ▇▇▇▇ ▇▇▇ under Code Section 408A using the terms of this Agreement and the Adoption Agreement by completing and executing the Adoption Agreement and giving suitable directions to the Custodian and the custodian or trustee of such other ▇▇▇. Alternatively, the Depositor may convert or transfer such other ▇▇▇ to a ▇▇▇▇ ▇▇▇ by use of a reply card or by telephonic, computer or electronic means in accordance with procedures adopted by the Custodian or Service Company intended to meet the requirements of Code Section 408A, and the Depositor will be deemed to have executed the Adoption Agreement and adopted the provisions of this Agreement and the Adoption Agreement in accordance with such procedures. In accordance with the requirements of section 408A(d)(6) and regulations thereunder, the Depositor may recharacterize a contribution to a Traditional ▇▇▇ as a contribution to a ▇▇▇▇ ▇▇▇, or may recharacterize a contribution to a ▇▇▇▇ ▇▇▇ as a contribution to a Traditional ▇▇▇. The Depositor agrees to observe any limitations imposed by the Service Company on the number of such transactions in any year (or any such limitations or other restrictions that may be imposed by the Service Company or the IRS).
Conversion and recharacterization. If the Depositor maintains an Individual Retirement Account under Code Section 408(a), Depositor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ under Code Section 408A using the terms of this Agreement and the Adoption Agreement by completing and executing the Adoption Agreement and giving suitable directions to the Custodian and the custodian or trustee of such other IRA. Alternatively, the Depositor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ by use of a reply card or by telephonic, computer or electronic means in accordance with pro- cedures adopted by the Custodian or Service Company intended to meet the requirements of Code Section 408A, and the Depositor will be deemed to have executed the Adoption Agreement and adopted the provisions of this Agreement and the Adoption Agreement in accordance with such procedures. In accordance with the requirements of Code section 408A(d)(6) and regulations thereunder, the Depositor may recharacterize a contri- bution to a Traditional IRA as a contribution to a ▇▇▇▇ ▇▇▇, or may recharacterize a contribution to a ▇▇▇▇ ▇▇▇ as a contribution to a Tra- ditional IRA, but the option to recharacterize a ▇▇▇▇ ▇▇▇ conversion is repealed by law, effective in 2018. The Depositor agrees to observe any limitations imposed by the Service Company on the number of such transactions in any year (or any such limitations or other restric- tions that may be imposed by the Service Company or the IRS).
Conversion and recharacterization. If the Investor maintains an Individual Retirement Account under Code Section 408(a), Investor may convert or transfer such other IRA to a ▇▇▇▇ ▇▇▇ under Code Section 408A using the terms of this Agreement and the Adoption Agreement by completing and executing