# Commission Delegated Regulation (EU) 2016/2251 of 4 October 2016 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council on OTC derivatives, central counterparties and trade repositories with regard to regulatory technical standards for risk-mitigation techniques for OTC derivative contracts not cleared by a central counterparty (Text with EEA relevance), Article 33: Applicable criteria on the legal impediment to the prompt transfer of own funds and repayment of liabilities

Extent: E+W+S+N.I.

A legal impediment to the prompt transfer of own funds or repayment of liabilities between the counterparties as referred to in paragraphs 5 to 10 of Article 11 of Regulation (EU) No 648/2012 shall be deemed to exist where there are actual or foreseen restrictions of a legal nature including any of the following:
(a) currency and exchange controls;
(b) a regulatory, administrative, legal or contractual framework that prevents mutual financial support or significantly affects the transfer of funds within the group;
(c) any of the conditions on the early intervention, recovery and resolution as referred to in Directive 2014/59/EU of the European Parliament and of the Council are met, as a result of which the competent authority foresees an impediment to the prompt transfer of own funds or repayment of liabilities;
(d) the existence of minority interests that limit decision-making power within entities that form the group;
(e) the nature of the legal structure of the counterparty, as defined in its statutes, instruments of incorporation and internal rules.

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Source: https://www.legislation.gov.uk/eur/2016/2251/article/33 (the official version)
Page: https://openlegislation.uk/eu-regulation-2016-2251/article-33
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.