Chapter III: Provisions specific to credit institutions, finance companies, investment firms, electronic money institutions and payment institutions

Where the implementation of an internal rescue measure provided for in Article L. 613-55 would result in the acquisition or increase of a qualifying holding requiring authorisation pursuant to Articles L. 511-12-1 or L. 531-6, the resolution board shall inform the supervisory board without delay. The latter carries out the assessment required by the aforementioned articles and decides on the transaction as quickly as possible so as not to jeopardise…

For the purposes of implementing Article L. 613-55-6, the collège de résolution shall determine the value of the commitments arising from derivatives referred to in the first paragraph of that Article on the basis in particular of: 1° Appropriate methods for determining the value of the categories of derivatives, including transactions subject to a netting agreement ; 2° Principles for determining the precise date and time at which the value…

For the purposes of implementing Article L. 613-55-7, the conversion rate referred to in the first paragraph of that Article provides appropriate compensation for creditors whose claims have been converted into Tier 1 capital instruments.

The measures in the business reorganisation plan referred to in I of Article L. 613-55-8 shall be based on realistic assumptions regarding the economic and financial environment in which the person referred to in I of Article L. 613-34 is to operate. The business reorganisation plan shall take particular account of the existing situation and the outlook for the financial markets. It shall include optimistic and pessimistic assumptions to identify…

The business reorganisation plan shall contain at least the following elements: 1° A detailed diagnosis of the causes of the actual or foreseeable failure of the person in question and the circumstances giving rise to its difficulties; 2° A description of the measures planned to restore the long-term viability of the person in question; 3° A timetable for implementing these measures.

The measures referred to in 2° of Article R. 613-71 above may include : 1° Reorganisation of the activities of the person in question ; 2° Modifications to the operational systems and internal infrastructures of the person concerned; 3° Cessation of loss-making activities; 4° Restructuring existing activities whose competitiveness can be restored; 5° The sale of assets or branches of activity.

The decision whether or not to take a resolution measure against a person referred to in I of Article L. 613-34 shall be accompanied by the following information: 1° The reasons for the decision, including the finding that the person does or does not meet the conditions for triggering a resolution procedure ; 2° The measure that the resolution board intends to take, including, where applicable, the request to open…

I.-When a person finds itself in the situation referred to in III of Article L. 613-56, the resolution college, after obtaining the opinion of the supervisory college, shall examine without delay whether it is appropriate to exercise the power referred to in that paragraph to prohibit or limit certain distributions, taking into consideration all of the following elements: 1° The reason, duration and extent of the lack of compliance, as…

For the application of Article L. 613-57, the resolution board shall submit a request to the Chief Justice of the Cour de cassation for the appointment of an expert to carry out the assessments provided for in 1° and 2° of II of this Article. These assessments are carried out by the expert on the date on which the decision was taken to subject the person concerned to a measure…