What Legal Framework Supports the Enforceability of Novation in Different Jurisdictions? ▴ Learn

What Legal Framework Supports the Enforceability of Novation in Different Jurisdictions?

The enforceability of novation relies on specific national and international legal frameworks that recognize the clearing house as a valid Central Counterparty (CCP). These frameworks ensure that in the event of a member's bankruptcy, the CCP's right to net and close out positions takes precedence over general creditor claims, which is vital for maintaining market stability.

What Is the Primary Difference between “Bilateral Netting” and “Multilateral Netting”?

How Does the ISDA Framework Address the Issue of Multiple Jurisdictions?

How Does the Enforceability of Netting Vary across International Jurisdictions?

How Does the Enforceability of an ISDA Agreement Vary across Different Jurisdictions?