Obligation

This Issue in United States

Obligation Acceleration

Concept of Obligation Acceleration in the context of derivatives contract, by the International Swaps and Derivatives Association (ISDA): A credit event term used in a credit derivative (i.e. an instrument that transfers risk from one party to the other) when one or more of the obligations of the reference entity have become declared due and payable before they would otherwise have been, due to an event of default of the reference entity (other than failure to pay).

Resources

See Also

• Derivatives Contract