On November 10, 2011, the Quebec Minister for Finance introduced an amendment to Bill 7 presently before the Committee on Public Finance of the National Assembly which contemplates an amendment to the Derivatives Act (Quebec). The intent of the proposed rule is to give more clarity and certainty to the effectiveness of a contractual right of set-off in respect of cash given as credit support in connection with agreements including derivatives, securities lending and repurchase agreements (as well as under related master agreements) and dealings between a derivatives clear agency and its members. A more in-depth note will follow next week.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
