Today, hot off the presses of Reuters and the UK’s New Statesman, questions are being raised about the legal conditions governing the ranking of Spain’s creditors, citing part (Section 2.19, (b), (i), (B)) of the Credit Derivatives Definitions issued by the International Swaps and Derivatives Association (ISDA).
The following paragraph is being used as an example of impenetrable legal theory. You will notice liberal use of acronyms in the above articles (one of my favourite things… see here):
- CDS – credit default swaps
- EFSF – European Financial Stability Facility
- ESM – European Stability Mechanism