Risk glossary

 

Legal and regulatory compliance risk

The risk that a counterparty’s performance obligations will be unenforceable because:
1) the underlying transaction documentation is inadequate;

2) the counterparty lacks the requisite authority or is subject to legal transaction restrictions;

3) the underlying transaction is impermissible under applicable law or regulations; or

4) applicable bankruptcy or insolvency law or regulations limit or alter contractual remedies. It also is intended to cover the risk of mandated regulatory compliance.

  • LinkedIn  
  • Save this article
  • Print this page  

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: