Whole Section

  • 6B.9 Safekeeping Indemnity

    • 6B.9.1

      Any Collateral accepted by CDP shall be, where necessary, deposited with the appropriate custodian(s) designated by CDP for safekeeping in a CDP account designated for House Accounts or in a CDP account designated for Customer Accounts, as the case may be, and CDP shall retain control over such Collateral.

      Added on 21 January 201321 January 2013.

    • 6B.9.2

      CDP shall not have any obligation or responsibility to preserve, protect, collect or realise, and under no circumstances shall CDP be liable for any loss or diminution in value or depreciation in or in connection with, the Collateral maintained pursuant to this Rule.

      Added on 21 January 201321 January 2013.

    • 6B.9.3

      A Clearing Member who maintains Collateral with CDP shall indemnify and hold CDP harmless from any loss, damage, costs, charges and/or expenses of whatsoever nature and howsoever arising ("Loss") suffered or incurred by CDP to any designated custodian which may result from or arise with respect to:

      (1) any act, delay or omission in connection with Collateral (whether by such Clearing Member or CDP) deposited with such designated custodian; or
      (2) any contract or agreement between CDP and any designated custodian, or any representation, warranty or undertaking given by CDP to any designated custodian, in relation to or otherwise in connection with Collateral deposited with such designated custodian,

      PROVIDED THAT this indemnity shall not cover any Loss and/or liability of CDP attributable or referable to the gross negligence or wilful misconduct of CDP or any of CDP's officers, agents and/or employees.

      Added on 21 January 201321 January 2013.

    • 6B.9.4

      If any loss of Collateral occurs, or any Collateral becomes unavailable to CDP such that any obligation of the Clearing Member under these Clearing Rules or as may otherwise be owing to CDP, pursuant to which such Collateral was deposited or provided, cannot be fully met as determined by CDP, the Clearing Member shall deposit with or provide to CDP such additional Collateral as may be required to meet such obligation within such time as CDP may require.

      Added on 21 January 201321 January 2013.