TARGET Settlement Day Clause Samples

The TARGET Settlement Day clause defines the specific days on which payments or settlements must be made in accordance with the TARGET (Trans-European Automated Real-time Gross Settlement Express Transfer) system calendar. In practice, this means that any financial obligations, such as payments or deliveries under the agreement, are scheduled to occur only on days when the TARGET system is operational, typically excluding weekends and certain public holidays. This clause ensures that all parties have a clear and consistent understanding of when settlements are to be executed, thereby reducing confusion and minimizing the risk of failed or delayed payments due to non-business days.