- Question ID
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2015_1778
- Legal act
- Directive 2014/59/EU (BRRD)
- Topic
- Resolution tools and powers
- Article
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38, 83
- Paragraph
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1
- COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
- Not applicable
- Article/Paragraph
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n.a.
- Type of submitter
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Competent authority
- Subject matter
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Asset transfer in case of sale of business tool
- Question
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What is the proper basis of transferring assets in case of sale of business tools as referred to in Article 38(1) of Directive 2014/59/EU (BRRD), is it the resolution authority decision or agreement?
- Background on the question
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Article 38(1) of the BRRD states that Member States shall ensure that resolution authorities shall have the power to transfer to a purchaser that is not a bridge institution (a) shares or other instruments of ownership issued by an institution under resolution; (b) all or any assets, rights or liabilities of an institution under resolution; With regards to the transfer of assets do resolution authorities require prior consent of shareholders etc. before they can perform this action?
- Submission date
- Final publishing date
-
- Final answer
-
According to Article 83 of Directive 2014/59/EU (BRRD), the transfer is based on the order or instrument of the resolution authority. It is clear from Article 38(1) that shareholder's or any third party, other than the purchaser's, consent is not necessary.
Disclaimer:
This question goes beyond matters of consistent and effective application of the regulatory framework. A Directorate General of the Commission (Directorate General Financial Stability, Financial Services and Capital Markets Union) has prepared the answer, albeit that only the Court of Justice of the European Union can provide definitive interpretations of EU legislation. This is an unofficial opinion of that Directorate General, which the European Banking Authority publishes on its behalf. The answers are not binding on the European Commission as an institution. You should be aware that the European Commission could adopt a position different from the one expressed in such Q&As, for instance in infringement proceedings or after a detailed examination of a specific case or on the basis of any new legal or factual elements that may have been brought to its attention.
- Status
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Final Q&A
- Answer prepared by
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Answer prepared by the European Commission because it is a matter of interpretation of Union law.
- Note to Q&A
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Update 26.03.2021: This Q&A has been reviewed in the light of the changes introduced to Directive 2014/59/EU (BRRD) and continues to be relevant.
Disclaimer
The Q&A refers to the provisions in force on the day of their publication. The EBA does not systematically review published Q&As following the amendment of legislative acts. Users of the Q&A tool should therefore check the date of publication of the Q&A and whether the provisions referred to in the answer remain the same.