Common use of NETTING OF PAYMENT OBLIGATIONS Clause in Contracts

NETTING OF PAYMENT OBLIGATIONS. If on any date, amounts would otherwise be payable in the same currency by the Client to the Bank, and by the Bank to the Client in respect of two or more FX Transactions, then, on such date, the Client’s obligation and the Bank’s obligation to make payments of any such amount will be automatically satisfied and discharged and, if applicable, replaced by an obligation upon the Party by which the larger amount would have been payable to pay to the other Party the excess of the larger amount over the smaller amount.