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Cover is a term used in the law of contracts to describe a remedy available to a buyer who has received an anticipatory repudiation of a contract for the receipt of goods. . Under the Uniform Commercial Code, the buyer is permitted (but not required) to find another source of the same type of g
A covered option is a financial transaction in which the holder of securities sells (or "writes") a type of financial options contract known as a "call" or a "put" against stock that they own or are shorting. The seller of a covered option receives compensation, or "premium", for this transaction, which can limit losses; however, the act of ...
Insurance contracts are governed by the principle of utmost good faith (uberrima fides), which requires both parties of the insurance contract to deal in good faith and in particular, imparts on the insured a duty to disclose all material facts that relate to the risk to be covered. [12]
The contract costs a premium of $100, or $1 * 1 contract * 100 shares per contract. To execute a covered call, the investor buys 100 shares of ABC for $2,000 and then sells one call to receive $100.
"Modified" coverage applies to contracts when a company receives a single CAS-covered award of US$7.5 million or more; this is known as the "Trigger" contract; modified coverage applies to all contracts that are not exempt from CAS until the company meets the criteria for "Full" coverage.
Laptops and tablets are covered for accidental damage from handling, like drops and spills that are a result of normal use. Extended Computer Protection upgrade Members who upgrade their account to any AOL Advantage Plan will automatically receive up to $2500 per 12-month period of Extended Computer Protection — from AOL to repair or replace ...
The law of contracts varies from state to state; there is nationwide federal contract law in certain areas, such as contracts entered into pursuant to Federal Reclamation Law. The law governing transactions involving the sale of goods has become highly standardized nationwide through widespread adoption of the Uniform Commercial Code .
Payoffs from a short put position Payoffs from a short call position. A naked option or uncovered option is an options strategy where the options contract writer (i.e., the seller) does not hold the underlying asset to cover the contract in case of assignment (like in a covered option).
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