Common use of Client Default Clause in Contracts

Client Default. 4.1 If the Customer fails to comply with any of the Customer's obligations and/or to meet the Customer's liabilities under this Options Trading Agreement, including failure to provide Collateral, this will be treated as an Event of Default under Clause 11 of the Securities Client Agreement. 4.2 In addition the actions the Company may take under Clause 11.2, the Company is further authorized to the followings while Clause 11.3 still applies: (i) decline to accept further instructions from the Customer in respect of Exchange Traded Options Business; (ii) close out some or all of the Customer's Client Contracts with the Company; (iii) enter into Contracts, or into transactions in securities, futures or commodities, in order to settle obligations arising or to hedge the risks to which the Company is exposed in relation to the Customer's default; and/or (iv) dispose of Collateral, and apply the proceeds thereof to discharge the Customer's liabilities to the Company. Any proceeds remaining after discharge of all the Customer's liabilities to the Company shall be paid to the Customer. 4.3 The Customer agrees to pay interest on all overdue balances in its Options Account (including but not limited to interest arising after a judgment debt is obtained against the Customer) at such rates and on such other terms as the Company may have notified the Customer from time to time.