Paragraph 8 Consent to terminate relevant contractsF1

(1)

Sub-paragraph (2) applies where—

(a)

a provision of a relevant contract ceases to have effect under paragraph 7 (1), or

(b)

an entitlement under a provision of a relevant contract is not exercisable under paragraph 7 (2).

(2)

A party to the contract (other than the insurer) may terminate the contract, or do another thing in relation to the contract, if consent to terminate the contract or do that other thing (as the case may be) has been given by—

(a)

the court,

(b)

a relevant office holder, or

(c)

where there is no relevant office-holder, the insurer.

(3)

For these purposes, “relevant office-holder” means an administrator or provisional liquidator of the insurer (but does not include a person appointed to act as the manager of a write-down order that has effect in relation to the insurer).

(4)

The court, a relevant office-holder or the insurer (as the case may be) may give consent under sub-paragraph (2) only if satisfied that not doing so would cause hardship to any person.

(5)

As soon as reasonably practicable after giving consent under sub-paragraph (2), a relevant office-holder or the insurer must notify the PRA.

Annotations

Textual amendments

F1: Sch. 19C inserted (29.8.2023) by Financial Services and Markets Act 2023 (c. 29), s. 86(2)(e), Sch. 13 para. 1(3)