§ 28-10-2-18 — Fallback provisions permitting or requiring a benchmark replacement based on LIBOR; determining person authorized to select recommended benchmark replacement; conditions

Indiana § 28-10-2-18

• Jurisdiction: Indiana
• Art. 10: GENERAL PROVISIONS AND DEFINITIONS
• Ch. 2: LIBOR Discontinuance and Replacement

Text

(a) This section applies to any contract,
security, or instrument that uses LIBOR as a benchmark and that
contains fallback provisions that permit or require the selection of a
benchmark replacement that:
(1) is based in any way on any LIBOR value; or
(2) is:
(A) a commercially reasonable replacement for and a
commercially substantial equivalent to LIBOR;
(B) a reasonable, comparable, or analogous term for LIBOR
under or with respect to the contract, security, or instrument; or
(C) based on a methodology or information that is similar or
comparable to LIBOR.
(b) With respect to any contract, security, or instrument to which
this section applies, a determining person is authorized, but is not
required, to select on or after the occurrence of a LIBOR
discontinuance event the recommended benchmark replacement as the
benchmark replacement for the contract, security, or instrument. A
selection of the recommended benchmark replacement under this
section must be:
(1) irrevocable;
(2) made by the earlier of:
(A) the LIBOR replacement date; or
(B) the latest date for selecting a benchmark replacement under
the terms of the contract, security, or instrument; and
(3) used in any determination of the benchmark that is made
under or with respect to the contract, security, or instrument on or
after the LIBOR replacement date.

Legislative History

As added by P.L.67-2022, SEC.1.