Default Risk Sample Clauses
The Default Risk clause defines the responsibilities and consequences if one party fails to meet its contractual obligations, such as missing payments or breaching terms. Typically, this clause outlines what constitutes a default, the process for notifying the defaulting party, and the remedies available to the non-defaulting party, which may include penalties, interest, or the right to terminate the agreement. Its core function is to allocate risk and provide a clear framework for addressing non-performance, thereby protecting both parties and ensuring contract enforcement.
Default Risk. Debt Securities are subject to default risk, which is the risk that an issuer of Debt Securities fails to meet its debt obligations. In such circumstances the entire investment in a Debt Security may become worthless.
Default Risk. 4.2.1.1 This is a risk that issuer may fail to pay bondholder the interest or principal as scheduled.
Default Risk. Virtually all purchases and sales of HELVETIA Gold Ounces are made through Finemetal AG, which in turn uses the Swiss federal refinery Argor-Heraeus SA. One or both of these parties might become illiquid and unable to meet its contractual obligations. Thus the advance payments made by AIF could be jeopardised by any such default. Moreover, the funds in the current account held with the Depositary are not subject to separation in insolvency.
Default Risk. Where Third Party Security Interests are created there is the risk that where we (or any other person whose obligations are secured by, or set-off against pursuant to, such Third Party Security Interests) defaults on our obligations towards the relevant Third Party, or in other circumstances, including without limitation, where the Third Party anticipates that such obligor may default on its obligations (including, for example, due to the onset or potential onset of insolvency proceedings), then such Third Party may enforce its rights over (or set-off its obligations against) your Custody Assets and, as a consequence, you may lose and not be able to recover such assets from us or from the Third Party, regardless of whether you are in actual or potential default of your obligations to us or any other person.
Default Risk. Default risk refers to the risk that a company that issues a convertible or debt security will be unable to fulfill its obligations to repay principal and interest. The lower a debt security is rated, the greater its default risk. As a result, the Fund may incur cost and delays in enforcing its rights against the defaulting issuer. See “Risk Factors —
Default Risk. Default risk refers to the risk that a company that issues a convertible or debt security will be unable to fulfill its obligations to repay principal and interest. The lower a debt security is rated, the greater its default risk. As a result, the Fund may incur cost and delays in enforcing its rights against the defaulting issuer. Derivatives Risk. Generally, derivatives are financial contracts whose value depends on, or is derived from, the value of an underlying asset, reference rate or index, and may relate to individual debt or equity instruments, interest rates, currencies or currency exchange rates, commodities, related indexes and other assets. The Fund may utilize a variety of derivative instruments including, but not limited to, interest rate swaps, convertible securities, synthetic convertible instruments, options on individual securities, index options, long calls, covered calls, long puts, cash-secured short puts and protective puts for hedging, risk management and investment purposes. The Fund’s use of derivative instruments involves investment risks and transaction costs to which the Fund would not be subject absent the use of these instruments and, accordingly, may result in losses greater than if they had not been used. The use of derivative instruments may have risks including, among others, leverage risk, duration mismatch risk, correlation risk, liquidity risk, interest rate risk, volatility risk, credit risk, management risk and counterparty risk. The use of derivatives may also have the following risks:
Default Risk. If the Issuer fails to make the scheduled principal and/or interest payment(s) on the Securities in a timely manner, a default will occur, which negatively affects the Issuer’s ability to get financing for other needs.
Default Risk. If the Issue r fails to make the scheduled principal and/or interest payment(s) on the Securities in a timely manner, a default will occur, which negatively affects the Issuer’s ability to get financing for other needs.
Default Risk. The chance that the bond issuer will not make the required coupon payments or principal repayment to its bondholders.
Default Risk. The Proposed Joint Venture is also subject to the Parties’ continued fulfilment of their respective obligations, covenants and duties set out in the Agreement. Any breach of material obligations, amongst others, is an event of default and may entitle the non- defaulting party to terminate the Agreement and the non-defaulting party could take actions necessary to claim damages or seek other remedies for any losses incurred as a result of the default or breach. As such, there is no assurance that APSB will realise the anticipated benefits from the Proposed Joint Venture and/or recover all costs or losses incurred arising from the termination. APSB shall endeavour to ensure that it is in continued compliance with its obligations, covenants and duties set out in the Agreement. In the event that CCPSB commits a material breach of the Agreement, the recourse available to APSB includes the enforcement of specific performance and/or the right to terminate subject to the provisions of the Agreement and to take over the completion of the Project. Please refer to Section 3.4.2 above for further information on the effects of termination as a result of default by CCPSB.