TERMIUM Plus®

The Government of Canada’s terminology and linguistic data bank.

closeout netting [1 record]

Record 1 2011-11-17

English

Subject field(s)
  • Finance
  • Loans
CONT

Closeout netting is the stipulation that if default occurs, only the net amount is owed. This greatly reduces the credit risk by reducing the amount of cash owed by a defaulting party by the amount owed to it.

CONT

Closeout netting is intended to reduce exposures on open contracts if one party meets certain conditions specified by the contract (e.g. becomes subject to insolvency procedures) before the settlement date.

OBS

close-out netting: term published in the Journal officiel by the Commission générale de terminologie et de néologie of the Government of France.

Key term(s)
  • close out netting

French

Domaine(s)
  • Finances
  • Prêts et emprunts
DEF

Technique contractuelle de compensation selon laquelle l'ensemble des obligations réciproques des parties au contrat devient exigible si l'une des parties manque à ses engagements ou si un autre événement déclencheur se produit.

OBS

Le solde net de toutes les obligations impayées est alors établi et il doit être réglé en un seul paiement.

OBS

compensation avec déchéance du terme : terme publié au Journal officiel par la Commission générale de terminologie et de néologie du gouvernement de la France.

Spanish

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