Chapter VI: Liquidation.

A decision by the Autorité de contrôle prudentiel et de résolution, under the conditions set out in Article L. 325-1 or Article L. 612-39 of the Monetary and Financial Code, to completely withdraw the administrative authorisation of an insurance undertaking automatically entails, as from the date of its publication, if it concerns an undertaking having its registered office in France, the dissolution of the undertaking or, if it concerns an…

When it decides, pursuant to the second paragraph of Article L. 311-19, to fully withdraw the authorisation of a person subject to resolution proceedings, the resolution board may decide to suspend the winding-up proceedings. The college then has a maximum of two years in which to initiate these proceedings. This period may be extended by one year if an additional period is necessary or appropriate for the purposes of the…

The juge-commissaire may at any time require the commissaires to carry out documentary and on-site verifications.

In the event of the opening of compulsory liquidation proceedings in respect of an insurance undertaking, policyholders, subscribers and beneficiaries of insurance contracts and the guarantee fund referred to in Article L. 423-1 are, without prejudice to Article L. 113-2 or to contractual obligations, exempt from the declaration provided for in Article L. 622-24 of the Commercial Code. A decree of the Conseil d’Etat shall lay down the conditions for…

Where appropriate, the liquidator shall make a preferential refund of premiums paid by persons who have exercised their right to surrender in accordance with article L. 132-5-1.

In the event of the dissolution of an undertaking referred to in 2° or 3° of Article L. 310-1 following a decision by the Autorité de contrôle prudentiel et de résolution taken pursuant to Articles L. 326-1 or L. 326-2, all policies taken out by that undertaking shall automatically cease to have effect on the fortieth day at noon, from the date of publication in the Journal officiel of the…

After publication in the Journal officiel of the decision of the Autorité de contrôle prudentiel et de résolution resulting in the dissolution of an undertaking referred to in 1° and in the last paragraph of Article L. 310-1, the contracts taken out by the undertaking shall continue to be governed by their general and special terms and conditions until the decision of the Autorité de contrôle prudentiel et de résolution…

At the request of the Autorité de contrôle prudentiel et de résolution, the court may declare null and void one or more transactions carried out by the directors of a company with a liquidator following the withdrawal of administrative authorisation, provided that the Autorité de contrôle prudentiel et de résolution can prove that the persons who contracted with the company knew that its assets were insufficient to guarantee the policyholders’…

When an undertaking is in liquidation following the withdrawal of authorisation under the provisions of Article L. 421-9, the Autorité de contrôle prudentiel et de résolution may decide, where appropriate, that natural or legal persons acting as insurance brokers through whom contracts have been taken out with that undertaking must pay to the liquidation a portion of the commissions received in any capacity whatsoever in respect of those contracts, up…