In spite of having agreed to a deal, dealers are not bound to its terms if it is "subject to documentation". What position does the Model Code take with regard to this practice?
A) The practice of making a transaction subject to documentation is not regarded as good practice.
B) It urges dealers to be bear in mind that this is a common practice for capital market deals.
C) The Model Code does not comment on the matter.
D) It recommends that national ACI Associations deal with this issue according to their local customs.

Question

Quizplus · Accepted Answer

The Model Code does not support the practice of making a transaction subject to documentation, as it is not regarded as good practice.

In Spite of Having Agreed to a Deal, Dealers Are