Within financial markets, a contractual arrangement known as a Liquidity Services and Custody Agreement may sometimes be used. This type of contract sets out arrangements for the management and safeguarding of financial assets, frequently involving a custodian institution and a client. 

Such an agreement outlines the specifics of how the custodian institution will hold assets, handle transactions, and potentially provide liquidity support for the client. This, in turn, will help ensure the efficient management of investments and the timely flow of funds. 

What are the key components of this type of agreement? 

The overriding purpose of a Liquidity Services and Custody Agreement is to protect and manage the client’s assets, making sure they are handled in accordance with agreed-upon terms and applicable regulations. 

Various aspects of asset management are typically covered by this kind of agreement, encompassing safekeeping, the settlement of transactions, and the potential liquidation of assets. 

Here is a breakdown of the main components of such a contract: 

• Custody services 

This part of the agreement relates to the safekeeping and administration of financial assets – such as securities or cash – by the custodian such as a bank, on behalf of the client. 

The custodian will typically be required to hold the assets securely, manage settlements, and potentially provide additional services such as recordkeeping, reporting, and/or handling corporate actions, such as interest payments or dividends. 

• Liquidity services 

Under this section of the contract, the bank or financial institution will typically provide cash management and liquidity provision services for the client. 

The goal of such liquidity services is to ensure the timely availability of funds. This may be achieved through the provision of a liquidity facility or other mechanisms to support investment operations. 

• Agreement details 

It can be expected that any given Liquidity Services and Custody Agreement will specify the parties involved. Alongside this, information is typically given on the scope of services, fee arrangements, termination procedures, and liability clauses. 

A Liquidity Services and Custody Agreement combines the aforementioned functions under a single framework, with one or multiple parties providing liquidity and custodial services, covering both market-making and the safekeeping of assets. 

Is a UK process agent service normally needed for this type of agreement? 

The fact that Liquidity Services and Custody Agreements are common in cross-border financial transactions, might raise the question for you of whether a UK-based process agent will need to be appointed as part of such an arrangement. 

After all, a process agent is an appointed representative in a particular jurisdiction (such as the UK) who receives legal documents, notices, or court proceedings on behalf of a party that lacks a physical presence in the given jurisdiction. 

So, to answer that question: yes, if a particular Liquidity Services and Custody Agreement involves parties from multiple jurisdictions (such as a US-based client, a liquidity provider in Dubai, and a UK-based custodian), and the agreement is governed by English law, a UK-based process agent may well be required. This would help ensure compliance with English law and a more streamlined legal process, in the event of a dispute between the parties occurring later. 

Ultimately, if a party to such an agreement does require a UK process agent to be appointed as part of the contract, the counterparty won’t have a choice in this matter; they will need to agree to a process agent being appointed if they wish to enter into the agreement. 

For further information about our UK process agent service, contact us today 

Do you have any further questions about how making London Registrars your chosen UK-based process agent service provider would work for a given transaction? If so, please feel free to download our brochure for more details, or to get in touch with us directly with your query. 

The responsibilities of companies in the water and canalisation sectors are undoubtedly very serious ones. The duties of these organisations, after all, tend to revolve around ensuring a safe and reliable water supply for the general public, as well as the treatment and disposal of wastewater in ways that protects the environment. 

Your organisation in these sectors may be engaged in such activities as the collection, treatment, and distribution of water, as well as the processing of wastewater and the management of infrastructure like reservoirs, treatment plants, and pumping stations. 

It might not, however, be immediately obvious as to what circumstances might require your organisation in the water or canalisation industry to appoint a process agent in the UK. 

Introducing the concept of a process agent, and why you might be expected to appoint one 

You may be reading this because you are looking to enter into a transaction with another party in a different part of the world to your own. 

In the event of this circumstance coming to pass, you may be told that you must appoint an “agent for service of process” (another term for a “process agent”) as part of the contractual terms. 

You might be asked to do this if, for example, the other party is based in the UK, and the transaction is to be governed by English law, but your company lacks its own address in England. 

Typically, the counterparty in such a contract may demand that a UK process agent is appointed, so that your organisation has an address in England able to accept service of notices, proceedings, or documents on your behalf. 

So, your appointment of a UK-based agent for service of process to represent your organisation in England, would act as a source of reassurance and protection for the UK-based counterparty, in the (hopefully unlikely) event that a dispute occurs later. 

It would mean legal proceedings against you could be commenced relatively quickly and smoothly, without the need for the counterparty to attempt to serve papers at your address in your “home” jurisdiction. 

What are some of the situations, then, that may necessitate you putting a UK-based process agent in place? 

Ultimately, whether your company in the water or canalisation industry “needs” to appoint an agent for service of process in the UK, will depend on such factors as your organisational structure, jurisdictional requirements, and specific obligations according to a contract or the law. 

However, some examples of circumstances in which it may become necessary or advantageous, include: 

• When you are entering into a contract with a foreign entity 

This is the scenario we more-or-less explained above. Indeed, even if neither party to an agreement is in the UK, the contract may still be governed by English law. 

In that situation, your appointment of a UK-based process agent may help ensure any legal matters or disputes that occur at a later stage are more efficiently and simply dealt with, than would have otherwise been the case. 

• For the purposes of regulatory compliance 

As a water company, it may be necessary for you to pay heed to notices or documents from regulatory bodies such as Ofwat, which is the water regulator for England and Wales. 

When you have a process agent in place in the UK, they can receive and manage these communications on your organisation’s behalf. 

• When public inquiries are undertaken with implications for your organisation 

Given their obligations to the public, it is entirely appropriate for companies in the water and canalisation industries to be subject to a high level of scrutiny from external bodies.  

In the event, then, of public inquiries or investigations taking place in relation to the water industry, your process agent in the UK could receive relevant documentation on your behalf. This can help ensure any vital communications are not missed or overlooked by your company. 

Enquire to London Registrars to learn more about our process agent service 

To find out more about how London Registrars can potentially operate as your own organisation’s professional, compliant, and cost-effective agent for service of process in the UK, please reach out to our team today. 

You are also welcome to download and peruse our latest process agency brochure for further details of our terms, conditions, and charges. 

The simple way to define a Used Aircraft Sale and Purchase Agreement – sometimes referred to by the initialism SPA, or APA – is as a legally binding contract between a seller and a buyer, setting out the terms of sale for a used aircraft. 

In such a scenario, the “seller” will typically be the owner of the aircraft, while the buyer will tend to be an airline or leasing company. 

The vital things to know about Used Aircraft Sale and Purchase Agreements

APAs play an imperative role in the process of pre-owned aircraft changing hands. These contracts help provide clarity, protect the participants in this type of transaction, and allow for a smooth transfer of ownership. 

A transaction involving the sale of an aircraft is not, of course, just “any other” transaction; there are high financial stakes involved, as well as regulatory obligations and technical complexities. 

Unsurprisingly, then, an APA will typically go into great detail about each and every key aspect of the sale. The components of such a document can encompass, but are not usually limited to: 

• Identification of the parties, including the accurate legal names of the buyer and seller. 
• A description of the aircraft, specifically the manufacturer, model, year, serial number, registration number, and accompanying items like logbooks and manuals. 
• The purchase price and payment arrangements. The agreed price will, of course, be stated, along with the deposit amount, whether the deposit is refundable, and the payment method. 
• Details on the pre-purchase inspection process. This will set out how the aircraft will be examined to verify its condition. The information typically provided here will include who carries out the inspection, as well as the conditions under which the would-be purchaser can reject the aircraft. 
• Delivery terms, including such aspects as when, where, and how delivery of the aircraft will take place, and when title will transfer to the buyer. 

Will, then, a process agent in the UK be required for your own APA? 

To provide a quick summary of what a process agent is, they are a representative appointed to receive formal notifications, such as legal documents or court summons, on behalf of a party involved in an agreement. 

You can learn more about the role of a process agent in the UK context, by visiting the relevant page of our website for this service at London Registrars. 

It might be the case that you are looking to enter an APA for the transfer of an aircraft, but you have been told that you must agree to a UK process agent being appointed. 

Ultimately, though, whether a process agent is needed for a particular contract will likely depend on certain specifics: 

• You may be required to appoint a UK process agent if you and the other party are located in different countries and the contract between you is based on UK jurisdiction. Another example would be if you are in the United States, and the other party is in the UK. In these situations, the ‘contract giver’ may insist on the appointment of a UK process agent who can accept service of notices, proceedings, or documents on your behalf in order to avoid expensive delays in the UK courts.
• You may not be required to appoint a UK process agent if both you and the other party are based in the same jurisdiction – such as the UK – and the APA is governed by local law (for example, English law). In this situation, both parties can likely be served directly, should one party wish to take legal action against the other. Nor is a process agent likely to be required if the transaction involves the straightforward sale of a relatively small aircraft (again, presuming the two parties are in the same jurisdiction). 

If you are in any doubt about the exact requirements applicable to you, or if you would like to know more about our own services and expertise as a process agent at London Registrars, please don’t hesitate to reach out to us. You are also welcome to download our process agent brochure.

Governed by English law and designed for non-US central counterparties (CCPs), the 2017 ISDA/FIA Cleared Derivatives Execution Agreement – or “CDEA” – is a template that participants in the cleared swaps markets can use to negotiate execution-related agreements for swaps intended to be cleared. 

The bodies behind the CDEA are the Futures Industry Association (FIA) and the International Swaps and Derivatives Association, Inc. 

The document was developed with the help of a committee consisting of representatives from buy-side as well as sell-side firms with expertise in both futures and OTC derivatives. 

Is a process agent service essential for agreements based on the CDEA? 

A question that is commonly asked about the CDEA is whether transactions based on this framework need to involve a UK-based process agent being appointed. 

The short answer to this question is that there is no blanket requirement for all parties using the CDEA template to ensure a process agent service is used when they come to an agreement. 

However, the approach that is ultimately taken will depend on the specific circumstances – not least the jurisdictions of the parties to a given transaction. 

Process agents in the UK play a crucial role in all manner of contractual arrangements 

Before we proceed further in relation to the CDEA in particular, it is worth reminding ourselves exactly what a process agent is. 

A process agent – also sometimes referred to as a “registered agent” or an “agent for service of process” – is a representative appointed to receive legal documents, such as court papers or notices, on a company or individual’s behalf. 

It tends to become particularly important for a process agent to be appointed, in situations where the prospective parties to an agreement are not based in the same jurisdiction. 

If, for instance, one party to a transaction is situated in the UK and the other party is based outside of the UK, if the non-UK party has agreed to appoint a UK-based process agent at the outset of the contract, this will make it easier for the UK-based party to take legal action later, in the (hopefully unlikely) event of this being required at some stage. 

So, in what circumstances does the appointment of a UK process agent become necessary under the CDEA? 

A relatively “obvious” example of a situation in which a UK process agent service would not be required for an agreement based on the CDEA, would be if both parties have a registered office in the UK. In such a scenario, a given party’s UK address can be used for service of process. 

Alternatively, it may be the case that one or both parties to a CDEA transaction are based outside of the UK. If so, and bearing in mind that the contract is based on English jurisdiction, the appointment of a UK process agent will be a standard requirement. In addition, the agreement itself may incorporate a clause stipulating the appointment of a UK-based process agent to allow for the efficient serving of legal documents at the process agent’s address.

Remember: under English court procedure rules, service at the address of the counterparty’s UK-based process agent would constitute proper service. 

It is important to reiterate that where a process agent needs to be appointed, this is not a requirement imposed by the CDEA template itself. Ultimately, it will be the need to adhere to the relevant court procedural rules under the applicable local jurisdiction that will dictate whether a process agent service becomes necessary. 

If you are in any doubt, please don’t hesitate to contact us 

To discuss the relevance of a process agent service like ours to an agreement that you are looking to enter – perhaps because you have been told by the other party that you agreeing to the appointment of a process agent will be necessary – please don’t hesitate to contact London Registrars. 

When you do so, we will also be pleased to provide you with a quote for our comprehensive and cost-effective service as an agent for service of process.

The sheer complexity of derivative products should make it unsurprising that there is a need for a standard contract governing all over-the-counter (“OTC”) derivatives transactions. 

Sure enough, such a contract exists in the form of the 2002 ISDA Master Agreement. Published by the International Swaps and Derivatives Association, or “ISDA”, this master agreement outlines various provisions. 

These provisions encompass such aspects as the obligations of the counterparties, as well as payment and deliveries, contract termination, and dispute resolution arrangements. 

However, you might already be familiar with many of the essential elements of the 2002 ISDA Master Agreement, and the importance of this standard contract for OTC derivatives transactions. 

What you may be less familiar with, is whether you will require a process agent in the UK if you are looking to enter into an arrangement based on the 2002 ISDA Master Agreement. So, let’s take you through the key things to know in response to this frequent question. 

What is a process agent in the UK, anyway? 

The term “process agent” (also sometimes known as an “agent for service of process”, or a “registered agent”) is commonly used in reference to a designated entity or individual that a party appoints in order to receive legal documents on its behalf in a particular jurisdiction. 

This is relevant to agreements involving complicated financial products such as derivatives, because the counterparties to such transactions aren’t always in the same jurisdiction as each other. 

So, in the event of the agreement in question being governed by English law, and one party wishing to take legal action against the other, it will greatly help if the latter party already has a physical presence in the UK, in order to receive legal documents, proceedings, or notices. 

A process agent in the UK, appointed at the time of the transaction first commencing, can help make this process easier and smoother. 

The relevance of Section 13 of the 2002 ISDA Master Agreement 

It is this section of the 2002 ISDA Master Agreement that focuses on the governing law for the given transaction. 

Under this standard contract for OTC derivatives transactions, the general practice is for the counterparties to decide that either English law or New York law will apply to the agreement. 

Whichever decision is made between these two jurisdictions, it is given affect in the Schedule to the ISDA Master Agreement. 

An alternative system of law could theoretically be chosen as the governing law for an ISDA transaction; however, it is unusual for this to be the case. 

So, will you require a process agent in the UK for your own ISDA derivative transaction? 

The short answer to this question is that while a process agent might not always technically be required as part of a contract under the 2002 ISDA Master Agreement, it often is needed.  

Presuming English law has been chosen to govern the transaction, typically, a process agent in the UK will need to be appointed if one of the parties is incorporated or domiciled in the UK, but the other one is based outside the UK. 

So, if one party is based in the UK but the other one is in the European Union (EU), the latter party is normally required to appoint a process agent in the UK that can receive legal documents on their behalf. This would allow for any necessary legal proceedings to be initiated and served without cross-border complexities causing delays. 

On the other hand, a process agent may not be strictly necessary if both parties are domiciled in the same jurisdiction as the governing law for the contract (so for example, if the governing law is English, and they are both UK entities). In such a situation, it will likely be straightforward enough for any legal documents to be served directly to the relevant party. 

Whatever combination of circumstances might necessitate you appointing a process agent in the UK, we would be pleased here at London Registrars to provide tailored advice and guidance. Please feel free to call 0044 20 7608 011 today, or to download our process agency brochure for further information. 

It is difficult to talk about the international securities lending market for very long, without referencing the contract that is most frequently used in this sector – the Global Master Securities Lending Agreement, or GMSLA. 

Published and maintained by the International Securities Lending Association (ISLA), the GMSLA serves as a standard legal agreement used for the borrowing and lending of securities across various jurisdictions. 

By putting in place a standardised framework for securities lending transactions around the globe, the GMSLA helps ensure consistency across the many agreements struck in the market. 

This global relevance of the GMSLA raises the question for many potential parties to such agreements, of whether a process agent is always required for it. 

Indeed, as a UK-based process agent ourselves at London Registrars, we are often asked to cover GMSLA agreements. So, below, we have sought to provide the clarity you might need. 

The background of the GMSLA 

The Global Master Securities Lending Agreement can trace its history back to 1994, when its precursor – the original Overseas Securities Lender’s Agreement (OSLA) – was published. 

Various updates have been made to the GMSLA since then, including in 2010 and 2018. 

The 2010 version is especially commonly used, and uses title transfer to transfer collateral from borrower to lender. This differs from the 2018 update, which transfers collateral by means of a pledge. 

How is the GMSLA structured? 

Sharing many of the same provisions as the Global Master Repurchase Agreement (GMRA) that we recently wrote about here at London Registrars, the GMSLA incorporates three levels: 

• The Master agreement 
• The Schedule attachment 
• The confirmation or its automated equivalent 

The general relationship between the counterparties is set out in the Schedule, with amendments standardised in annexes. 

So, is there a need for a process agent appointment for the GMSLA? 

There isn’t a single or simple answer to this question, as the agreement itself doesn’t explicitly stipulate that a process agent needs to be appointed. 

Whether one looks at the 2010 or the 2018 versions of the GMSLA, it is silent on the topic of whether a process agent is needed. So, situation really comes down to the specifics of the particular transaction and its participants. 

Ultimately, it is up to the parties’ own discretion whether a process agent appointment is necessary for a GMSLA transaction. 

The circumstances that may call for a process agency to be put in place 

It is worth reminding ourselves when a process agent does tend to be needed for agreements like these; when the given transaction is taking place between entities that are in different legal jurisdictions. 

A process agent is an individual or organisation appointed to receive legal process on behalf of a party that might not otherwise have an address in the jurisdiction where the agreement is governed (for example, in England, if it is agreed between the parties that English law will apply to the transaction). 

So, for the purposes of facilitating legal proceedings in the event of any disputes arising between the parties or if enforcement action against one of the parties becomes necessary, having a process agent in place from the beginning may be invaluable. 

A classic example of a situation in which a UK process agent appointment becomes necessary, is if a UK firm lends securities to a US-based counterparty. In this case, the UK firm may require the US counterparty to agree that a UK-based process agent will be appointed, as a condition of the deal. 

Get in touch now to receive advice on your process agency needs 

To learn more about what a process agent appointment would look like for your organisation, and the circumstances in which it may be essential, please don’t wait any longer to contact the London Registrars team. 

When it comes to all manner of repurchase transactions (repos) – involving such participants as financial institutions and central banks – it is crucial for various priorities to be catered for. 

It is in the interests of the parties in repo transactions to maximise efficiency, minimise complexity, and reduce transaction costs. For these reasons, the Global Master Repurchase Agreement – or GMRA – was published in its first version in 1992. 

This standard master agreement for repo transactions has been developed and published ever since then by the International Capital Market Association (ICMA), the representative body for Europe’s cross-border and repo markets. 

How did the GMRA evolve through the decades? 

Following the publication of the first version of the GMRA, this master agreement received a substantial update in 1995, incorporating lessons learned from the Barings crisis. A further update came in 2000, in the aftermath of the Russian and Asian financial crises. 

The 2000 version of the GMRA went on to perform well. Indeed, while another update was made to the agreement in 2011, this was not because of any material deficiencies the Great Financial Crisis of 2007-8 may have exposed. 

Instead, this latest version was largely borne out of a wish to harmonise the GMRA more closely with other master agreements, such as the Global Master Securities Lending Agreement (GMSLA) and the ISDA Master Agreement. 

Another priority at this time was to make sure modifications to the GMRA reflected evolving market practices and general legal developments over the previous decade. This 2011 version continues to be the presently applicable GMRA, as of 2025. 

So, it is essential under the GMRA to have a UK outsourced process agent? 

To answer this question, a sensible first point of reference is the latest GMRA document itself. Sure enough, the standard agreement doesn’t stipulate any inherent requirement for a process agent to be appointed. 

However, there are other factors that will dictate whether a UK outsourced process agent will be needed in relation to any specific GMRA transaction. These include the locations of the parties involved, as well as the governing law for the agreement, and practical considerations. 

A classic example of a situation in which a UK-based process agent wouldn’t typically be required, is if both parties to the given repo transaction are already registered and operating in the UK, with addresses that allow for the serving of legal documents. In a situation like this, service can take place directly under the Civil Procedure Rules (CPR). 

However, there are a few other potential scenarios in which a UK outsourced process agent may be required, or at least advisable. These include: 

• If one of the parties to the transaction is outside the UK. With the GMRA being governed by English law, if one of the parties has no UK presence (for example, if it is a US firm with no physical office in England), the appointment of a UK process agent can help ensure smooth legal proceedings, in the (hopefully unlikely) event of them being needed. 
• If it is a requirement of the contract. Presuming one of the parties in a transaction is in the UK, and the other party is in another jurisdiction, the UK-based party may insist on a process agent clause in the contract for the non-UK counterparty. 
• If it is a practical necessity. As we touched on above, efficiency and speed are vital priorities when it comes to repo transactions. When securities or cash are at stake, it can be greatly helpful to have a process agent appointment in place, to prevent any avoidable delays in the serving of notices or court papers. 

Would you like to learn more about the setup process for a UK outsourced process agent, while having your questions answered about process agency services? 

If so, please feel free to enquire to our team at London Registrars today; you are also welcome to download our brochure for this service.

The agreements known as NDAs – short for “non-disclosure agreements” – can play an integral role in the protection of confidential information. 

Such information may encompass trade secrets, client information, business negotiations, and other sensitive data. The signing of an NDA can help ensure the parties involved do not share this kind of sensitive or confidential information with others. 

NDAs are legally enforceable contracts. This means that in the event of data being shared in a manner that violates the agreement, the breaching party could be at risk of having legal action taken against it. 

If, however, you are an entity in one part of the world seeking to conclude an NDA with a company in another territory – all under English legal jurisdiction – you might have been told by the other party that you need to appoint an outsourced process agent located in England. 

What is the exact relevance of outsourced process agency services to NDAs? 

A process agent isn’t strictly required for all situations in which an NDA might be signed. For example, it may not be necessary if the parties to an agreement are in the same legal jurisdiction. 

In the event, however, of the parties being in different states or countries, it is probable that a process agent will need to be appointed. For instance, if a UK firm commits to an NDA with a company in France, it may require the latter party to agree to the appointment of an outsourced process agent located in England. 

Such an arrangement would mean that if the French party breached the NDA, the UK firm could commence legal action by serving papers at the address of the breaching party’s English process agent. 

This would save the logical headaches of trying to serve papers beyond the UK’s borders – thereby avoiding potential issues like language barriers and differing legal systems. 

When an outsourced process agent located in England is appointed, it will accept service of notices, proceedings, or documents on behalf of its overseas client – in effect, acting as the foreign appointing party’s representative in the UK. 

Make sure you select the right process agency for your NDA 

If you are reading this as the prospective “appointing party” for a process agent – in other words, you have been informed by the other party that you will need to appoint a process agent in order for an agreement to be finalised – it is obviously vital to guard against any problems or hiccups. 

Given that much of the whole point of putting in place a process agent is to simplify legal proceedings if they turn out to be needed at any point, it is advisable to make sure your chosen process agent’s location matches the governing law of the NDA. 

It is crucial to be mindful, too, that a process agent being in place does not render an NDA bulletproof. An agreement that is poorly drafted – for example, due to being vaguely worded or lacking clear remedies – will not be “fixed” by the appointment of a process agent. 

Then, there is the all-important matter of ensuring whatever process agent you select is a reputable one. We have previously written in detail here at London Registrars about some of the things you should expect from a good outsourced process agent located in England. Such “essentials” include competitive and reasonable fees, an efficient and responsive service, and high standards of communication and transparency. 

To learn more about our own team and process agency service, to help determine whether London Registrars could be the right choice for your NDA, please contact us via phone or email. You are also welcome to download our latest process agency brochure.