Title Transfer Collateral Agreement Template for Austria

The Title Transfer Collateral Agreement (TTCA) is a crucial document in financial transactions under Austrian law, used when parties wish to transfer ownership of financial collateral to secure obligations. It is commonly utilized in financial markets for derivatives trading, securities lending, and repo transactions. The agreement must comply with the Austrian Financial Collateral Act and EU regulations, making it suitable for both domestic Austrian transactions and cross-border arrangements where Austrian law governs. The document includes detailed provisions for the transfer mechanism, collateral valuation, margin maintenance, and enforcement rights, reflecting both Austrian legal requirements and international market standards. This type of agreement is particularly important for financial institutions managing their credit risk and regulatory capital requirements.

1. Parties: Identification of the collateral provider and collateral taker, including their legal status and capacity

2. Background: Context of the agreement and relationship between the parties

3. Definitions and Interpretation: Definitions of key terms and interpretation rules, including Austrian law-specific concepts

4. Title Transfer: Core provisions establishing the transfer of title to collateral, including the nature of the transfer under Austrian law

5. Delivery and Maintenance of Collateral: Procedures for delivering initial collateral and maintaining collateral levels

6. Substitution and Return: Rights and procedures for substituting collateral and conditions for its return

7. Valuation: Methods and timing for valuing collateral assets

8. Income and Distributions: Treatment of income, dividends, or other distributions on collateral assets

9. Events of Default: Definition of default events and consequences

10. Enforcement: Rights and procedures following an event of default

11. Representations and Warranties: Standard and Austrian law-specific representations regarding capacity, ownership, and authority

12. Tax: Treatment of taxes related to collateral transfers and income

13. Notices: Communication procedures between parties

14. Governing Law and Jurisdiction: Confirmation of Austrian law governance and jurisdiction provisions