Moody's Implications Sample Clauses
The "Moody's Implications" clause defines how changes in credit ratings assigned by Moody's Investors Service affect the rights and obligations of the parties under the agreement. Typically, this clause outlines specific actions or consequences that are triggered if Moody's downgrades or upgrades a party's credit rating, such as requiring additional collateral, adjusting interest rates, or even allowing for early termination of the contract. Its core practical function is to manage and allocate the risk associated with creditworthiness fluctuations, ensuring that both parties are protected against adverse changes in financial stability as assessed by Moody's.
Moody's Implications. Notwithstanding any other provision of this Agreement, an Event of Default will occur with respect to Party A if on any Valuation Date, the Second Rating Trigger Requirements apply and at least 30 Local Business Days have elapsed since the last time the Second Rating Trigger Requirements did not apply, and Party A fails to post sufficient collateral to satisfy its obligations under the Credit Support Annex and such failure is not remedied on or before the third Local Business Day after notice of such failure is given to Party A.
Moody's Implications. An Additional Termination Event shall occur with Party A as Affected Party if (A) the Transfer Trigger Requirements apply and 30 or more Local Business Days have elapsed since the last time the Transfer Trigger Requirements did not apply and
Moody's Implications. Any failure by Party A to comply with or perform any obligation to be complied with or performed by Party A under the Credit Support Annex in accordance with the Moody’s provisions shall not be an Event of Default unless (A) no Relevant Entity has the Required Ratings and at least 30 or more Local Business Days have elapsed since the last time a Relevant Entity had the Required Rating and (B) such failure is not remedied on or before the third Local Business Day after notice of such failure is given to Party A.
Moody's Implications. An Additional Termination Event shall occur with Party A as Affected Party if (A) the Transfer Trigger Requirements apply and 30 or more Local Business Days have elapsed since the last time the Transfer Trigger Requirements did not apply and (B) at least one Moody's Eligible Replacement has made a Firm Offer that would, assuming the occurrence of an Early Termination Date, qualify as a Market Quotation (on the basis that paragraphs (i) and (ii) in Part 5(p) below (Close-Out Calculations) apply) and which remains capable of becoming legally binding upon acceptance.