FantasticSearch

1. This Article shall apply in respect of third-country resolution proceedings unless and until an international agreement as referred to in Article 75(1) enters into force with the third country concerned. It shall also apply following the entry into force of such an international agreement with the third country concerned to the extent that recognition and enforcement of third-country resolution proceedings is not governed by that agreement.

2. The resolution authority concerned shall decide whether to recognise and enforce, except as provided for in Article 77, third-country resolution proceedings relating to a Union subsidiary undertaking or a Union branch of a third-country undertaking or a parent undertaking. The decision shall give due consideration to the interests of each Member State where a third-country insurance or reinsurance undertaking or parent undertaking operates, and in particular to the potential impact of the recognition and enforcement of the third-country resolution proceedings on the other parts of the group and on the policy holders, the real economy and the financial stability in those Member States.

3. Member States shall ensure that resolution authorities are, as a minimum, empowered to do the following:

(a) exercise the resolution powers in relation to the following:

(i) assets of a third-country insurance or reinsurance undertaking or parent undertaking that are located in their Member State or governed by the law of their Member State;

(ii) rights or liabilities of a third-country insurance or reinsurance undertaking that are booked by the Union branch of a third-country undertaking in their Member State or governed by the law of their Member State, or where claims in relation to such rights and liabilities are enforceable in their Member State;

(b) perfect, including to require another person to take action to perfect, a transfer of shares or other instruments of ownership in a Union subsidiary undertaking established in that Member State;

(c) exercise the powers in Article 49, 50 or 51 in relation to the rights of any party to a contract with an entity referred to in paragraph 1 of this Article, where such powers are necessary in order to enforce third-country resolution proceedings; and (d) render unenforceable any right to terminate or accelerate contracts, or affect the contractual rights, of entities referred to in paragraph 2 and of other group entities, where such a right arises from resolution action taken in respect of the third-country insurance or reinsurance undertaking, the parent undertaking of such entities, or other group entities, whether taken by the third-country resolution authority itself or otherwise pursuant to legal or regulatory requirements concerning resolution arrangements in that country, provided that the substantive obligations under the contract, including payment and delivery obligations, and provision of collateral, continue to be performed.

4. Resolution authorities may take, where necessary in the public interest, resolution action with respect to a parent undertaking where the relevant third-country authority determines that an insurance or reinsurance undertaking that is a subsidiary undertaking of that parent undertaking and that is incorporated in that third country meets the conditions for resolution under the law of that third country. To that end, Member States shall ensure that resolution authorities are empowered to use any resolution power in respect of that parent undertaking, and Article 48 shall apply.

5. The recognition and enforcement of third-country resolution proceedings shall be without prejudice to any normal insolvency proceedings under national law applicable, where appropriate, in accordance with this Directive.