CC MEMO -- Challenge Deadline

Clause 4.2 of the Terms of Challenge ("TOC") states:

"Challengers may challenge in accordance with the Terms of Challenge and the Protocol until 1600 hrs on 17 December 2004. Thereafter, challenges will be accepted between 1600 hrs on 17 December 2004 until 1600 hrs on 29 April 2005 on payment of the Late Fee."

There has been some confusion in the last week or so as to whether that means prospective challengers have until 1600 on 29 April to submit the necessary papers and fees, or whether in fact such challenges, to be valid, must have been "accepted" by SNG as being valid in accordance with all the rules (a process that can take days if not weeks) before 1600 on the 29th.

In an email over the weekend to ACM, the CC Chairman, who negotiated the TOC on behalf of the Challenger of Record, expressed the firm view that "accepted" in TOC 4.2 refers to receipt of the required documentation and fees, rather than formal acceptance of a challenge by the Trustee.

Today, Hamish Ross, Alinghi General Counsel and the person who drafted the language, sent an email to ACM and the CC Chairman concurring with that view.

The full text of the TOC is available via a link at the bottom of this page on the ACM website.