I want to change my status with multiple counterparties, do I have to contact each counterparty individually? You are, as above, free to agree an earlier reconciliation date. Where both parties to a Protocol Covered Agreement are Portfolio Data Sending Entities, the Exchange of Portfolio Data method applies. It also amends any existing written agreements governing the terms and conditions of one or more transactions in “derivatives” or “derivative contracts” (as defined in EMIR) unless the parties to such other agreements have either expressly stated that the Protocol does not apply or have documented the points covered by the Protocol in a different way. The Protocol is open to any entity. This is also actual for reconciliation between NFC– and NFC+. However, it is noteworthy, the CFTC’s equivalence determination applies only where both the entity and the transaction are otherwise subject to both the CFTC and EU portfolio reconciliation regulations, and not when a swap dealer voluntarily complies with the respective regime. ISDA fosters safe and efficient derivatives markets to facilitate However, where agreements are secured or guaranteed by a third party and consent or other action by such third party is required for amendments to be made to such agreements, such agreements are not Protocol Covered Agreements unless such consent or other action has been obtained. Parties wishing to implement EMIR dispute resolution requirements into their contractual documentation have at their disposal at least two master agreements: - the ISDA 2013 Portfolio Reconciliation, Dispute Resolution and Disclosure Protocol published by the International Swaps and Derivatives Association, Inc. (the "ISDA Protocol"), and The Protocol provides a method for the identification, monitoring and resolution of disputes without overriding the existing dispute resolution methods that the parties may have agreed. What is the relationship between this Protocol and the ISDA 2013 EMIR Reporting Protocol that was published in May this year? EMIR, in conjunction with the technical standards that entered into force on 15 March 2013, also addresses non-financial counterparties. Parties should consult with their legal advisers and any other adviser they deem appropriate prior to adhering to the Protocol. If a party decides that an issue is serious enough to constitute a dispute (as opposed to, for example, a discrepancy that it expects to resolve easily at an operational level), it can send a dispute notice to its counterparty, identifying to both parties that this is a dispute which is required to be subject to dispute resolution requirements under EMIR. ISDA fosters safe and efficient derivatives markets to facilitate On the heels of the initial reporting requirements under Article 9 of EMIR and the ISDA 2013 EMIR Portfolio Reconciliation, Dispute Resolution and Disclosure Protocol, the next stage of reporting requirements has come into effect. Can entities that are not ISDA members sign up to the Protocol? While the language is likely to be useful and may be sufficient in one or more jurisdictions or in respect of one or more counterparty types, parties should be aware that the consents and acknowledgements set out in the Protocol are not necessarily sufficient to overcome any prohibition or impediment to disclosure under the laws of every jurisdiction. Thus, for counterparties having to perform their portfolio reconciliation annually, the first one should be made within one year from the entry into force of the RTS on OTC derivatives, i.e. The following distinction may help potential adherents in considering the Protocol. I am a third country entity. "[c]ounterparties can agree that the calculation agent will be in charge of performing the portfolio reconciliation. The agreement will not be a Protocol Covered Agreement if: (1) any consent, approval, agreement, authorization or other action of such third party is expressly required (under the terms of such agreement or such third party credit support document), to amend or otherwise modify such agreement; (2) such agreement or such third party credit support document includes express terms to the effect that any amendment or modification of such agreement without the consent, approval, agreement, authorization or other action of any such third party would void, impair or otherwise adversely affect existing or future obligations owed under such third party credit support document; or. Each party should satisfy itself that the language, the further actions the language refers to and such party’s policies and procedures, taken together, satisfy such party’s regulatory obligations under EMIR and in respect of its national regulator. PDD Protocol means the ISDA 2013 EMIR Portfolio Reconciliation, Dispute Resolution and Disclosure Protocol published by the International Swaps and Derivatives Association, Inc. on 19 July 2013. If (a) you do not have authority from any of your clients or (b) you have authority from some clients only but you are not able to disclose such clients whether by name or a unique identifier, you cannot adhere to the Protocol on behalf of any such clients. 3. (c) are being effectively applied and enforced in an equitable and non-distortive manner so as to ensure effective supervision and enforcement in that third country. 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