Amended on 10 December 201810 December 2018.
9.4.2A
A buying customer must look only to its Trading Member, who executes the trade, in relation to all obligations in connection with that trade, including delivery of securities or in the case of deliverable futures contracts, the relevant underlying. A buying customer must pay its Trading Member who executes the trade.
Added on 10 December 201810 December 2018.
9.4.2B
A Trading Member shall, if informed by CDP or its Clearing Member that a right to receive securities pursuant to an Exchange Trade is to be replaced with a right to receive a monetary sum ("Cash Settlement Amount") pursuant to the Clearing Rules, immediately inform the relevant buying customer.
Added on 10 December 201810 December 2018.
9.4.3
Unless a buying customer has in place arrangements to settle trades with its Trading Member on a delivery-versus-payment basis through the CDP Settlement Facility, the Trading Member must:
In this Rule, "banking day" means a day on which the bank(s) used by the Trading Member for payment to its customer is(are) open for settlement.
Amended on 10 December 201810 December 2018.
9.4.3A
A buying customer must pay its Trading Member for its trade as follows:
See Practice Note 9.4.3A(b).
Added on 10 December 201810 December 2018.
9.4.3B
Subject to Rules 9.4.4, if a buying customer fails to meet any of the timelines in Rule 9.4.3A, the Trading Member shall force-sell the securities of the buying customer on the following Market Day.
Added on 10 December 201810 December 2018.
9.4.4
Amended on 10 December 201810 December 2018.
9.4.5
A Trading Member exercising its discretion under Rule 9.4.4 must not engage in imprudent credit practices.
9.4.6
The following rules apply to all force-sales by a Trading Member:—
Amended on 10 December 201810 December 2018.