Do you know of anybody know of any instance where someone got defaulted on in the options market? Has it ever happened? I know the clearing houses are supposed to prevent this, but sometimes I wonder what happens if an OTM option writer blows up sky high. The clearing house steps in a takes the loss, right? I remember reading about a 2,000%+ return on a far OTM GOOG call option, somebody got burned big time on that trade. Will the options clearing house sue you if you blow up into debt writing uncovered options? Makes you wonder what happened to the guy who wrote that GOOG option, as it very likely wasn't fully covered. I guess it isn't a big problem as OTM options generally don't have much open interest. Makes you wonder if the stock market crashed what would happen to the options market. Massive string of client blowups and the clearing house going bankrupt? People not getting paid for their trades?