Newsroom
Print PDF New York Court Enforces "Big Boy" Disclaimers in Credit Default Swap Transaction but Permits Novel Credit Rating Claim to Proceed
Brian S. Fraser, Charles D. Thompson II, Tamala E. NewboldApril 23, 2010
A recent New York trial court decision applied established precedent to enforce “Big Boy” provisions in a credit default swap context, but – in a matter of apparent first impression – let stand a breach of contract claim alleging that the promise to deliver AAA-rated securities was breached because the credit-quality of the collateral underlying the securities did not warrant their AAA-ratings.