6.3 Set-Off of Payment Obligations in respect of Novated Contracts and Determination of Payment Obligations between CDP and Clearing Members

CDP Clearing Rules

Rule 6 — Clearing and Settlement between Clearing Members and CDP

6.3 Set-Off of Payment Obligations in respect of Novated Contracts and Determination of Payment Obligations between CDP and Clearing Members

Amended on 10 December 2018 10 December 2018.

6.3.1

A Clearing Member's obligation to make payment to and right to receive payment from CDP in respect of Novated Contracts (including any obligation or right to pay or receive a Cash Settlement Amount or to make or receive compensation of corporate action entitlements as provided in these Clearing Rules) shall be settled by net payment in accordance with these Clearing Rules.

Amended on 23 January 2009 23 January 2009 and 10 December 2018 10 December 2018.

6.3.2

A Clearing Member's obligation to make payment and its entitlement to receive payment in respect of Novated Contracts on any Settlement Day shall be set off for each settlement currency.

The resultant net amount shall be known as the "Final Settlement Balance" for that Settlement Day and currency.

Amended on 23 January 2009 23 January 2009, 25 February 2011 25 February 2011, 26 April 2013 26 April 2013 and 10 December 2018 10 December 2018.

6.3.2A

(1) On each Settlement Day, CDP shall make available to each Clearing Member, a record of the Novated Contracts and the rights and obligations in respect of those Novated Contracts to be settled with CDP (including any obligation or right to pay or receive a Cash Settlement Amount or to make or receive compensation for corporate action entitlements as provided in these Clearing Rules), the Clearing Member's Final Settlement Balance(s), and the status of settlement.

(2) Save for manifest error, the record shall be binding and conclusive on the Clearing Member as to the Novated Contracts to be settled between the Clearing Member and CDP, the details and rights and obligations in respect of such Novated Contracts, the Clearing Member's Final Settlement Balance(s) and the status of settlement.

(3) Notwithstanding any manifest error in the record or any dispute as to the contents stated in the record, payment of each Final Settlement Balance shall be made by or to a Clearing Member in accordance with Rule 6.4. Any moneys to be refunded or deducted shall be refunded or deducted free of interest as soon as practicable after the dispute is resolved.

Added on 10 December 2018 and Amended on 6 September 2021.

6.3.3 [Rule has been deleted.]

Deleted on 10 December 2018 10 December 2018.