Oh...really?
16. Events of Default. The following shall constitute an "Event of Default": (a) You
fail to make payment as and when required pursuant to this Agreement; (b) You fail
to provide margin or to perform any other Obligations as and when we require; (c)
Any representation or warranty made by you shall have been incorrect or untrue in
any material respect when made or repeated or deemed to have been made or
repeated; (d) You state that you will not perform any of the Obligations under this
Agreement; (e) You default in the performance of any Obligation to us under any
agreement now or hereafter entered into; (f) You default in the payment of any
indebtedness for borrowed money, or any guaranty of such indebtedness, upon the
maturity (including any accelerated maturity) thereof; (g) You apply for, consent to
or are the subject of an application or petition for the appointment of, or the taking
of possession by, a receiver, custodian, trustee, liquidator or similar person of all or
a substantial part of your property, admit in writing your inability or become unable
to pay your debts generally as such debts become due, make a general
assignment for the benefit of creditors, file or are the subject of the filing or entry of
a petition or order for relief under Title 11 of the U.S. Code or any similar law of any
jurisdiction regarding reorganization, liquidation, dissolution, insolvency, or relief of
debtors or of an application for a protective decree under the Securities Investor
Protection Act of 1970; or (h) We believe that we may be unable to apply without
delay property that we are holding or expect to receive from you against any
Obligation to us under this Agreement or in connection with any transactions
executed by us on your behalf.
17. Remedies. Upon the occurrence of any Event of Default, we may, in our sole
and absolute discretion and without notice to you: (a) cancel or otherwise liquidate
your Account and any position therein or transaction in your Account; (b) setoff any
Obligation owing by us to you against any Obligation of yours, or against any
Collateral; (c) satisfy any Obligation of yours to us from any Collateral; (d) sell, or
be deemed to have sold, any securities, instruments or other property in your
Account; and (e) purchase, or be deemed to have purchased, any securities,
instruments or other property, in which you have a short position. All purchases or
sales pursuant to this Section may be affected in public or private purchases or
sales in which we may be the purchaser or seller, in each case, as we may deem
appropriate in our sole and absolute discretion and at such price or prices as we
may deem satisfactory in our sole and absolute discretion. You are not entitled to
any advance notice to any such remedies by us. In our sole and absolute
discretion, we may (but are not required to) attempt to notify you or to provide a
grace or notice period before we exercise such remedies. However, any such
grace or notice period may be shortened or eliminated by us without further notice
to you if we believe it is appropriate to do so for our protection. We may exercise
remedies under this Section without notice notwithstanding any prior grace or
notice period provided to you.
Why do you suppose TDA would have sent such a letter? You suppose they have the above clauses in their brokerage agreement? |
