Eurozone: Contract Considerations

This guidance has been prepared jointly by the LMA and Clyde & Co LLP. It explores some of the specific considerations about how contracts may react in the event of one or more Eurozone countries switching from the Euro to a new currency.

By its very nature, this note is high level and does not address every eventuality. It is also important to note that there is a degree of legal uncertainty as to how particular clauses will be interpreted in the event of such a switch and how local courts will deal with contracts in light of the legislation which will trigger the re-denomination. However, this guidance aims to assist parties in achieving as much contractual certainty as is possible.