Aproxy or substitute HEDGE that is used when an exact replicating hedge is not available, generally by identifying a contract (e.g., a DERIVATIVE) that has a high degree of CORRELATION with the underlying RISK exposure requiring protection. Although a highly correlated crossasset hedge introduces elements of BASIS RISK, it reduces or eliminates firstorder MARKET RISKS, including DIRECTIONAL RISK or VOLATILITY RISK. Also known as CROSS HEDGE.
An ANTITAKEOVER DEFENSE used by a company seeking to avoid a future HOSTILE TAKEOVER by another company. In the event a hostile takeover is successful the CROWN JEWEL provision in the company
One which is brought by a defendant in a suit against a plaintiff in or against other defendants in the same suit, or against both, touching the matters in question in the original bill. Storv, Eq. PI.
The demesne lands of the crown.
a claim that is made by a party in a suit that is in opposition to a claim already made.
Criminal law in England is sometimes so termed, the crown being always the prosecutor in criminal proceedings. 4 Bl. Comm. 2.
In code practice. Whenever the defendant seeks affirmative relief against any party, relating to or depending upon the contract or transaction upon which the action is brought, or affecting the property to which the action relates, he may, in addition to his answer, file at the same time, or by permission of the court subsequently, a cross-complaint. The cross-complaint must be served upon the parties affected thereby, and such parties may demur or answer thereto as to the original complaint. Code Civ. Proc. Cal.
A clause in a LOAN, BOND, or DERIVATIVE agreement indicating that a technical DEFAULT on one obligation triggers a technical default in all other obligations. Cross default clauses are commonly used in credit agreements and MASTER AGREEMENTS.
Where a person against whom a demand is made by another, in his turn makes a demand against that other, these mutual demands are called “cross-demands.” A set-off is a familiar example. Musselman v. Galligher, 32 Iowa, 383.
Errors being assigned by the respondent in a writ of error, the errors assigned on both sides are called “cross-errors.” As to cross “Appeal,” “Bill,” “Complaint,” “Examination,” “Remainder,” “Rules,” see those titles. As to “crossed check,” see CHECK.