Financial Collateral Regulations - Issues and Considerations

Introduction

Financial collateral arrangements (FCAs) are a mechanism which enable corporate entities to take and enforce security, free from several restrictions and formalities which apply to other forms of enforcement.

To qualify for simplified FCA status, the arrangement must fall within the scope of the Financial Collateral Arrangements (No 2) Regulations 2003 (FCAR).

This webinar will explore a number of tricky issues arising from the qualifying criteria under the FCAR and the approach taken to the new remedy of appropriation.

It will also provide some practical guidance to lenders when drafting and dealing with FCAs.

What You Will Learn

This webinar will cover the following:

• The implementation of the Financial Collateral Directive and purpose of the regulations
• The remedy of appropriation
• What constitutes financial collateral and financial collateral arrangements?
• The test of possession or control
• The role of improper purpose
• The duty to value and account
• Practical steps to take in the valuation exercise

This webinar was recorded on 12th September 2023