§ 94 — When suspension takes effect

94.—(1) A suspension by a notice under section 93 takes effect from (and including) the time of publication of the notice under that section in the Gazette or a time on another date specified in the notice, and —(a)

if the contract is not a reinsurance contract, expires no later than the same time on the second business day after —(i)

the date of publication of the notice; or

(ii)

the other date specified in the notice,

as the case may be; or

(b)

if the contract is a reinsurance contract, expires no later than the time and date prescribed for the purposes of this paragraph by regulations made under section 135.

(2) During the period of suspension of a termination right under a contract and despite any provision of any rule of law, written law or contract, any purported exercise of that right has no effect.

(3) A person whose termination right under a contract is suspended under section 93 may (in accordance with the terms of the contract) exercise that right before the expiry of the suspension if the Authority gives the person written notice that the person may exercise that right because —(a)

the contract does not or will not form part of the business of the pertinent financial institution to be transferred under section 67; or

(b)

the Authority has decided not to make a determination under Division 6 in relation to the pertinent financial institution.

(4) On the expiry of the period of suspension under section 93 of a termination right under a contract, the person who holds that right may (if it had not already been exercised under subsection (3)) exercise that right in accordance with the terms of the contract, but not on any of the following grounds:(a)

a resolution measure taken in relation to the pertinent financial institution;

(b)

the occurrence of an event directly linked to such resolution measure;

(c)

if the contract forms part of any business of the pertinent financial institution that has been transferred to another person pursuant to a certificate of transfer under section 67 or an onward transfer certificate under section 73, any act of the pertinent financial institution before the transfer;

(d)

the suspension itself.

—(1) A suspension by a notice under section 93 takes effect from (and including) the time of publication of the notice under that section in the Gazette or a time on another date specified in the notice, and —(a)

if the contract is not a reinsurance contract, expires no later than the same time on the second business day after —(i)

the date of publication of the notice; or

(ii)

the other date specified in the notice,

as the case may be; or

(b)

if the contract is a reinsurance contract, expires no later than the time and date prescribed for the purposes of this paragraph by regulations made under section 135.

(2) During the period of suspension of a termination right under a contract and despite any provision of any rule of law, written law or contract, any purported exercise of that right has no effect.

(3) A person whose termination right under a contract is suspended under section 93 may (in accordance with the terms of the contract) exercise that right before the expiry of the suspension if the Authority gives the person written notice that the person may exercise that right because —(a)

the contract does not or will not form part of the business of the pertinent financial institution to be transferred under section 67; or

(b)

the Authority has decided not to make a determination under Division 6 in relation to the pertinent financial institution.

(4) On the expiry of the period of suspension under section 93 of a termination right under a contract, the person who holds that right may (if it had not already been exercised under subsection (3)) exercise that right in accordance with the terms of the contract, but not on any of the following grounds:(a)

a resolution measure taken in relation to the pertinent financial institution;

(b)

the occurrence of an event directly linked to such resolution measure;

(c)

if the contract forms part of any business of the pertinent financial institution that has been transferred to another person pursuant to a certificate of transfer under section 67 or an onward transfer certificate under section 73, any act of the pertinent financial institution before the transfer;

(d)

the suspension itself.