Limitation on Designation of Early Termination Date

Description

This smart field captures the limitation that, if there is an event of default, a potential event of default or a termination event, the non-defaulting party must designate an early termination date within a certain period of time after receiving notice of such event; otherwise, it forfeits its right to terminate based on such event. It also captures the qualification that the condition precedent that no event of default or potential event of default has occurred and is continuing is subject to the foregoing limitation (i.e., this condition precedent will cease to be applicable where the non-defaulting party has failed to respond to such event within a certain period). This smart field was trained on International Swaps and Derivatives Association agreements.