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Article 19
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If during the term of a securities borrowing and lending agreement, because of a natural disaster or other emergency, trading on the securities market is suspended across the board or is suspended for a security that is a subject matter of the agreement, and the time for resumption of trading has not been determined, the securities firm shall notify the customer to close out the securities borrowing and lending transaction in either of the following manners within a stated period of time:
- Apply to the securities exchange or over-the-counter securities market for purchase of the subject security by public tender offer, with any expense arising from the public tender offer to be borne by the customer.
- Settle the transaction by cash, as agreed between the two parties.
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