Series 53: Close-out By Seller

Taken from our Series 53 Online Guide

Close-out by Seller

When a seller makes a good delivery but the buying firm rejects the transaction, either because it can’t pay for it or because it doesn’t believe it was a good delivery, the seller (delivering party) has the option to close out the transaction.

Upon receiving a notice of rejection, the selling party has up to one business day to notify the buyer through an inter-dealer

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