Event of Default and Illegality. If an event or circumstance which would otherwise constitute or give rise to an Event of Default also constitutes an Illegality, it will be treated as an Illegality and will not constitute an Event of Default.
Event of Default and Illegality. In an event or circumstance which would otherwise constitute or give rise to an Event of Default also constitutes an Illegality, it will be treated as an Illegality and will not constitute an Event of Default.
Event of Default and Illegality. If an event or circumstance which would otherwise constitute or give rise to an Event of Default also constitutes an Illegality, it will be treated as an Illegality and will not constitute an Event of Default. Section 5(b)(v) Section 5(b)(v) of the Agreement has been added so that parties may specify Additional Termination Events in Part 1(h) of the Schedule or any Confirmation and any Affected Party or Affected Parties for such Additional Termination Events. It is assumed that where an Additional Termination Event arises, all Transactions will be Affected Transactions and the non-Affected Party will be entitled to terminate them. Many Additional Termination Events are credit related (e.g. rating agency downgrades of a party’s outstanding long-term debt securities below a minimum rating or the cancellation of a rating by a credit ratings agency) and therefore impact the entire contractual relationship between the parties and not just a particular group of Transactions. A Change of Ownership clause and full prepayment of a loan linked to a swap are other common examples of an Additional Termination Event.
