How does label switch path converges in case of any Link failure in MPLS network? and Whether Liberal Retension mode with unsolicited label distribution is implemented on cisco or not ?

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In MPLS LDP is used to exchange label information and still it is dependent on IGP for building forwarding tables.So it will depend on igp in case of link failure.As soon as IGP will update routing table, forwarding tables used by MPLS will be updated.

On cisco platform by default we are using liberal retention mode with unsolicated label distribuion.