Section 138 Objective 1: supporting private sector purchaser or resolution companyF4I1

the reference to services and facilities includes a reference to acting as transferor or transferee under a supplemental or reverse property transfer instrument F2(including a bridge bank supplemental property transfer instrument or bridge bank supplemental reverse property transfer instrument), and

the reference to “supply” includes a reference to supply by persons other than the residual bank.

in pursuing Objective 1 the bank administrator must have regard to the terms of that or any other agreement entered into between the residual bank and the private sector purchaser,

in particular, the bank administrator must avoid action that is likely to prejudice performance by the residual bank of its obligations in accordance with those terms,

if in doubt about the effect of those terms the bank administrator may apply to the court for directions under paragraph 63 of Schedule B1 to the Insolvency Act 1986 (applied by section 145 below), and

the private sector purchaser may refer to the court a dispute about any agreement with the residual bank, by applying for directions under paragraph 63 of Schedule B1.

the bank administrator must avoid action that is likely to prejudice performance by the residual bank of its obligations in accordance with an agreement,

the bank administrator must ensure that so far as is reasonably practicable an agreement entered into includes provision for consideration at market rate,

paragraph (b) does not prevent the bank administrator from entering into an agreement on any terms that the bank administrator thinks necessary in pursuit of Objective 1, and

this subsection does not apply after Objective 1 ceases.