(Section 1)
Netting Arrangement Established by the Central Bank
Notwithstanding any other law in force in Saint Lucia—
(a) in a netting arrangement obligations may be terminated, termination values may be calculated and a net amount become payable and be paid in accordance with the netting arrangement;
(b) paragraph (a) applies notwithstanding—
(i) any disposal of rights that may be netted under the netting arrangement,
(ii) the creation of any encumbrance or other interest in relation to those rights, or
(iii) the operation of any encumbrance or any other interest in relation to those rights, in contravention of the netting arrangement; and
(c) for the purposes of any law the assets and liabilities of a party to the netting arrangement shall include any net obligations owed to a party under the netting arrangement and does not include obligations terminated under the netting arrangement;
(d) if a system participant goes into insolvency or bankruptcy—
(i) the party may do anything permitted or required by the netting arrangement in order to net obligations incurred before or on the day on which the bankruptcy or insolvency order is made, and
(ii) subject to clause (5) the obligations that are or have been netted under the netting arrangement are to be disregarded in the bankruptcy or insolvency,
(iii) any net obligation owed by the party under the netting arrangement that has not been discharged is provable in the bankruptcy or insolvency,
(iv) any net obligation owed to the party under the netting arrangement that has not been discharged may be recovered by the receiver or administrator for the benefit of creditors, and
(v) the netting and any payment made by the party under the netting arrangement to discharge a net obligation is not to be voidable in the bankruptcy or insolvency;
(e) subsections (1) and (3) have effect despite any other law;
(f) the receiver or administrator may recover from the bankrupt or insolvent party for the benefit of creditors an amount equal to the amount of the obligation if—
(i) a party to a netting arrangement becomes bankrupt or insolvent,
(ii) an obligation owed by the bankrupt or insolvent party to another party to the netting arrangement has been netted under the netting arrangement, and
(iii) a direct payment by the bankrupt or insolvent party owing the obligation to the other party would have been voidable in accordance with bankruptcy or insolvency proceedings if it had been made to settle the obligation on the day the netting occurred.