Common use of FORCED LIQUIDATION Clause in Contracts

FORCED LIQUIDATION. a) The Client is required to maintain a sufficient level of Margin. Moonance reserves its rights to close out all Open Positions: i. if at any time the Deposit held by Moonance is approaching or is no longer sufficient to cover the negative mark to market value of any or all Open Positions that the Client has open with Moonance; or ii. at any time, and from time to time, Moonance determines that the value of all of the Client’s Open Positions represents a substantial net unrealized loss to the Client such that, in Moonance’ belief, the continued trading, or failure to Close Out, one or more of the Client’s Open Positions will or is likely to materially prejudice the Client’s Account Value. b) Moonance shall have the right, at our sole discretion, to determine the Mark to Market value from time to time. c) In addition to other remedies available to Moonance, if the Client fails to pay any amount when due under this Agreement, or if a Default Event occurs, Moonance has the right to terminate (by either buying or selling) any or all of the Client’s Open Positions.