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Key Issues in OTC Derivatives Contracts as COVID-19 Disrupts Global Financial Markets

The Energy Law Blog

Derivatives contracts typically provide for standard fallback mechanisms in the event of a disruption, including no-fault termination, but parties should confirm if the standard fallbacks have been modified in a confirmation or other documentation. . Force Majeure and Impossibility.

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Derivatives: ISDA Announces 2016 New York Law Variation Margin Credit Support Annex

The Energy Law Blog

For over 20 years, the existing 1994 CSA has been the preferred instrument for detailing credit support arrangements related to New York law ISDA contracts. Initial margin requirements are excluded from the 2016 CSA and, if applicable, would be addressed in a separate instrument.