Default of the Bank Clause Samples

The 'Default of the Bank' clause defines the circumstances under which a bank is considered to have failed to meet its contractual obligations. Typically, this clause outlines specific events such as insolvency, failure to make payments, or breaches of regulatory requirements that would constitute a default. In practice, it may trigger certain rights for the other party, such as the ability to terminate the agreement or demand immediate repayment. The core function of this clause is to protect counterparties by clearly identifying what constitutes a bank default and specifying the remedies available, thereby managing risk and ensuring certainty in the event of financial distress or misconduct by the bank.
Default of the Bank. If the Bank is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall terminate as of the date of default, but this provision shall not affect any vested rights of the contracting parties.
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Default of the Bank. (1) Where the Rules and Regulations or the Client Clearing Agreement provide in respect of an agreed segregation model in the context of Indirect Clearing that upon the occurrence of an event of default in respect of the Bank some or all Client Clearing Transactions entered into by the Bank are terminated, the Transactions which correspond to the terminated Client Clearing Transactions shall, in deviation from Section 4 of the Framework Agreement, terminate simultaneously without notice upon termination of the Client Clearing Transactions. For these Transactions, Section 7 paragraph (1) sentences 2 to 4 and paragraph (3) of the Framework Agreement apply, provided that references to Contracts, the Rules and Regulations and collateral are to be replaced with references to Client Clearing Transactions, the Client Clearing Agreement and collateral pursuant to the Client Clearing Agreement. (2) Section 7 paragraph (2) sentence 1 of the Framework Agreement applies correspondingly to Transactions in the context of Indirect Clearing, unless such inclusion conflicts with the relevant agreed protection of client positions pursuant to the respective segregation model. In case of an individual client segregation or a gross omnibus client segregation model, the Bank agrees to a direct transfer by the respective Clearing Member to the Counterparty in performance of the compensation claim for non-performance of the Counterparty against the Bank pursuant to paragraph (1) in conjunction with Section 7 paragraph (1) of the Framework Agreement. (3) In order to enable the transfer of Transactions to a Clearing Member or a different client of a Clearing Member, the Counterparty may request that the Bank takes all actions and legal measures necessary pursuant to applicable laws, the Rules and Regulations of the respective central counterparty and the Client Clearing Agreement to effect such transfer. (4) Section 5 applies without limitation in case of a default of the Bank. (5) In case of the Bank's insolvency, Section 4 paragraph (2) of the Framework Agreement does not apply to Transactions for which a segregation model has been chosen. In such case, this Section 3 shall apply exclusively.
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Default of the Bank. If any banking subsidiary of the Corporation is in default (as defined in Section 3(x)(1) of the FDIA, 12 U.S.C. § 1813(x)(1)), all obligations under this Agreement will terminate as of the date of default, but vested rights of the contracting parties will not be affected.
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Default of the Bank. If any banking subsidiary of GLB is in default (as defined in Section 3(x)(1) of the FDIA, 12 U.S.C. § 1813(x)(1)), all obligations under this Agreement will terminate as of the date of default, but vested rights of the Parties will not be affected.
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Default of the Bank. (1) Where the Contracting PartyCounterparty has elected omnibus client segregation or individual client segregation or a comparable segregation model, and where the relevant Rules and Regulations provide in this case that some or all of the Contracts entered into by the Bank are to be terminated in the event of a default of the Bank within the meaning of such Rules and Regulations, the Transactions corresponding to the Contracts which have been terminated shall, in deviation from Section 4, terminate simultaneously with such termination of the Contracts and without any declaration of termination. Section 4 paragraph (3) and SectionsSection 5 and 6 shall apply to these Transactions subject to the proviso that separate compensation claims for non-performance are to be determined in relation to each segregation model (to the extent so provided by the Rules and Regulation) on the basis of the valuations of the central counterparty for the Contracts and collateral. These separate compensation claims for non-performance between the Bank and the Contracting PartyCounterparty shall arise simultaneously with the compensation claims for non-performance determined by the central counterparty arising as a consequence of the termination of the Contracts. Where Contracts are terminated in accordance with more than one set of Rules and Regulations, the above provisions of this paragraph shall apply separately in relation to each central counterparty. ▪ Provision governing the default of the Bank: The provision addresses the account segregation and establishes special rules which supersede the general netting provisions under Section 4 to 5, inter alia by establishing − that separate claims-for non-performance will be determined in relation to each segregation model and − that such separate claims are netted against each other however, only where this does not conflict with the client protection measures of the CCP (thereby giving precedence to such CCP client protection measures – which is one further consequence of the principle that the rules and regulations prevail over the framework agreement in case of conflict). ▪ Modifications: New terminology (“claim for non-performances” replacing “compensation claim” reflecting new approach to netting provisions). (2) Separate compensation claims for non-performance determined in accordance with the paragraph (1) shall be netted against each other in accordance with Section 5 paragraph (1) sentence 7 and included into the singl...
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Default of the Bank. If the Bank is in default (as defined in section 3(x)(1) of the Federal Deposit Insurance Act), all obligations under this Agreement shall terminate as of the date of default, and shall be considered a termination of Executive by the Bank for Just Cause.
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Related to Default of the Bank

  • Default of Tenant Each of the following shall constitute a default by Tenant under this Lease: (a) Tenant fails to pay any amount required under this Lease as and when the same becomes due and said failure is not cured within ten (10) days after written notice thereof from Landlord; (b) Tenant fails to perform any other term, condition, or obligation under this Lease and said failure is not cured within thirty (30) days after written notice thereof from Landlord. Upon the occurrence of any such default by Tenant, Landlord shall have the option to pursue any one or more of the following remedies without any additional notice or demand whatsoever: terminate this Lease, in which event Tenant shall immediately surrender the Leased Premises to Landlord, and if Tenant fails to do so Landlord may, without prejudice to any other remedy which Landlord may have for omission or arrearages in Rent, enter upon and take possession of the Leased Premises and expel or remove Tenant and any other person who may be occupying the Leased Premises or any part thereof, without being liable for prosecution or any claim of damages therefor; or enter upon and take possession of the Leased Premises and expel or remove Tenant and any other person who may be occupying the Leased Premises or any part thereof without being liable for prosecution or any claim for damages therefor, with or without having terminated this Lease. In addition to the other remedies provided in this Lease, and anything contained herein to the contrary notwithstanding, Landlord shall be entitled to restrain any default or violation, or attempted or threatened default or violation of any of the terms, covenants, conditions or other provisions of this Lease, by injunction, order of specific performance or other appropriate equitable relief. The remedies provided to Landlord hereunder are intended to be cumulative, and may be exercised by Landlord in any order, or simultaneously, without such exercise being a waiver by Landlord of its right to exercise any other remedy granted to Landlord hereunder (or under applicable Laws) with respect to the same default. Exercise by Landlord of any one or more remedies hereunder granted or otherwise available shall not be deemed to be an acceptance or surrender of the Leased Premises by ▇▇▇▇▇▇, whether by agreement or by operation of law, it being understood that such surrender can be affected only by the written agreement of Landlord and ▇▇▇▇▇▇.

  • Default or Event of Default Seller shall notify Buyer of the occurrence of any Default or Event of Default with respect to Seller as soon as possible but in no event later than two (2) Business Days after obtaining Knowledge of such event.

  • Notice of Default or Event of Default promptly, and in any event within five days after a Responsible Officer becoming aware of the existence of any Default or Event of Default or that any Person has given any notice or taken any action with respect to a claimed default hereunder or that any Person has given any notice or taken any action with respect to a claimed default of the type referred to in Section 11(f), a written notice specifying the nature and period of existence thereof and what action the Company is taking or proposes to take with respect thereto;

  • Default of Indebtedness No Borrower is in default in the payment of the principal of or interest on any Indebtedness or under any instrument or agreement under or subject to which any Indebtedness has been issued and no event has occurred under the provisions of any such instrument or agreement which with or without the lapse of time or the giving of notice, or both, constitutes or would constitute an event of default thereunder.

  • No Default or Event of Default No Default or Event of Default shall have occurred and be continuing on such date or after giving effect to the Extension of Credit to be made on such date unless such Default or Event of Default shall have been waived in accordance with this Agreement.