Cross-default | Practical Law

Cross-default | Practical Law

Cross-default

Cross-default

Practical Law UK Glossary 9-107-6023 (Approx. 2 pages)

Glossary

Cross-default.

A clause which operates by automatically defaulting a party under Agreement A where it has defaulted under Agreement B. A cross-default provision effectively gives the non-defaulting party under Agreement A the benefit of the default provisions in Agreement B. Cross-default provisions therefore have a domino effect.