PRELIMINARYCentral

Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020

(1)This Act may be called the Bilateral Netting of Qualified Financial Contracts Act, 2020.
(2)It shall come into force on such date1 as the Central Government may, by notification in the Official Gazette, appoint, and different dates may be appointed for different provisions of this Act.

Summary

The law is officially named the Bilateral Netting of Qualified Financial Contracts Act, 2020.
It comes into force on a date chosen by the Central Government.
The government announces this start date using an official notification in the Official Gazette.
Different start dates can be chosen for different sections or parts of this law.

Practical examples

1In November 2020, ABC Bank and XYZ Securities want to know if their new financial contracts are covered by a specific national law. They look up Section 1 and find that the law is called the Bilateral Netting of Qualified Financial Contracts Act, 2020, confirming they are researching the correct law.

2On 1 October 2020, the Central Government wants to make the main parts of the law active but decides to delay another part until a later time. Under Section 1, the government publishes an official notice to activate the main parts on that day while keeping other sections paused.

FAQ

1. What is the official name of this law?

The official name is the Bilateral Netting of Qualified Financial Contracts Act, 2020.

2. Who has the authority to decide when this law starts to apply?

The Central Government has the authority to decide when it starts to apply.

3. How does the government officially announce the start date of this law?

The government must publish a notification in the Official Gazette, which is their official public journal.

4. Do all the sections of this law have to start working on the very same day?

No, different dates can be appointed for different provisions of this law.

Test yourself

Q1.Under Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020, what is the official name of the Act?

Q2.Under Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020, who is authorized to appoint the date on which the Act comes into force?

Q3.Under Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020, how must the appointed date of commencement be officially published?

Q4.Under Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020, can different provisions of the Act come into force on different dates?

Q5.Under Section 1 of The Bilateral Netting of Qualified Financial Contracts Act, 2020, what action is required from the Central Government to bring any provision of this Act into force?

2NextSection 2 Definitions.

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