Payment and Settlement Systems (Finality and Netting) Act · 2022 Revised Edition · Part · Transactions Effected Through Designated System
9. Disclaimer of property, restriction on dispositions of property etc.
Official textFrom Attorney General's Chambers, unchanged
Without prejudice to the generality of section 8 —
section 59 of the Bankruptcy Act (Chapter 67) and section 151 of the Insolvency Act (Chapter 247) do not apply to a transfer order; and
transfer order
“transfer order” means — (a) an instruction by a participant to place at the disposal of a recipient an amount of money by means of a book-entry on the accounts of a settlement institution for a designated system, or an instruction which, when settled, results in the assumption or discharge of a payment obligation as defined by the rules of a designated system; or (b) an instruction by a participant either to settle an obligation for the transfer of book-entry securities, or for the transfer of such securities.
Payment and Settlement Systems
(Finality and Netting)
netting
“netting” means the conversion into one net claim or one net obligation of claims and obligations resulting from transfer orders which a participant either issues to, or receives from, one or more other participants with the result that only a net claim can be demanded or a net obligation be owed;
sections 70 and 105 of the Insolvency Act (Chapter 247) do not apply to a transfer order or any disposition of property in pursuance of such an order.
disposition of property
“disposition of property” includes a payment made into or out of an account of a participant;
Terms defined in s 2
disposition of property
Defined · s 2“disposition of property” includes a payment made into or out of an account of a participant;
netting
Defined · s 2“netting” means the conversion into one net claim or one net obligation of claims and obligations resulting from transfer orders which a participant either issues to, or receives from, one or more other participants with the result that only a net claim can be demanded or a net obligation be owed;
transfer order
Defined · s 2“transfer order” means — (a) an instruction by a participant to place at the disposal of a recipient an amount of money by means of a book-entry on the accounts of a settlement institution for a designated system, or an instruction which, when settled, results in the assumption or discharge of a payment obligation as defined by the rules of a designated system; or (b) an instruction by a participant either to settle an obligation for the transfer of book-entry securities, or for the transfer of such securities.
Part
Netting
Part