The cited provisions are choice-of-law provisions that select the governing law for the intermediary account agreement, which under the Hague Securities Convention will then also dictate the governing law for other issues regarding the securities, enumerated in Article 2 of the Convention, such as perfection of liens and priority of interests. By designating the governing law with reference to the Hague Securities Convention, the provisions eliminate ambiguity over which jurisdiction's laws apply when determining: whether a lien has been perfected; what kind of foreclosure processes are required; and how an adverse party can challenge the situation all those are answerable by reference to the chosen governing law.

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