Section 2(a)(iii): expired transactions not included in ISDA® Early Termination calculations (High Court) | Practical Law

Section 2(a)(iii): expired transactions not included in ISDA® Early Termination calculations (High Court) | Practical Law

In Pioneer Freight Futures Company Ltd v Cosco Bulk Carrier Company Ltd [2011] EWHC 1692 (Comm), the High Court has considered the effect of section 2(a)(iii) and the Automatic Early Termination, Loss and Second Method provisions of a 1992 ISDA Master Agreement to determine which transactions are to be brought into the close-out calculations following Automatic Early Termination.

Section 2(a)(iii): expired transactions not included in ISDA® Early Termination calculations (High Court)

Practical Law UK Legal Update Case Report 4-506-8318 (Approx. 8 pages)

Section 2(a)(iii): expired transactions not included in ISDA® Early Termination calculations (High Court)

by PLC Finance
Published on 11 Aug 2011 • England, Wales
In Pioneer Freight Futures Company Ltd v Cosco Bulk Carrier Company Ltd [2011] EWHC 1692 (Comm), the High Court has considered the effect of section 2(a)(iii) and the Automatic Early Termination, Loss and Second Method provisions of a 1992 ISDA Master Agreement to determine which transactions are to be brought into the close-out calculations following Automatic Early Termination.
NOTE: this case was overturned by the Court of Appeal on 3 April 2012, see Legal update, Section 2(a)(iii) ISDA Master Agreement: Court of Appeal judgment on four appeals.