ISDA published the 2018 U.S. Resolution Stay Protocol. The new Protocol is intended to facilitate compliance by market participants with stay regulations issued by the Federal Reserve Board, the FDIC, and the Office of the Comptroller of the Currency. These regulations mandate that certain systematically important banks amend their qualified financial contracts ("QFCs") so as to impose contractual stays on the early termination rights of a QFC counterparty following a default by the bank or an affiliate of the bank.
ISDA stated that it expects to issue further guidance as to the Protocol in the second half of August 2018.
The first compliance date is January 1, 2019.
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