and Derivatives Association
has sent out
a second draft of its proposed master agreement.
Kimberly Summe, general
counsel at ISDA in New York, said it received approximately 40
comment letters from banks, law firms and end users in response to
its first draft and has incorporated these into a new version. The
second draft will be discussed at a meeting in London and New York
on March 12 or 14, with comments due in about a week
Summe said firms unanimously agreed to include a
new clause, know as force majeuer, which allows for the suspension
of payments and deliveries in the event of circumstances, such as
terrorism, natural disasters and labor riots.
ISDA started reviewing the master agreement late
last year and plans to have a new one in place by year-end (DW,