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Article 19 Suspension of arrangements by intermediaries

Original text. Later amendments are not shown.

(1)

This article applies where an intermediary has an arrangement with a merchant in respect of a regulated activity.

(2)

An intermediary must suspend an arrangement where it has reasonable grounds for suspecting that—

(a)

there is a security compromise, or a material risk of such a compromise, in the payment platform or systems of the merchant, or

(b)

the merchant is contravening, or has contravened, one or more requirements imposed by this Order.

(3)

Where an arrangement has been so suspended, the intermediary must not do anything in relation to that arrangement, unless it is satisfied that (as the case may be)—

(a)

the security compromise in paragraph (2)(a) has been eliminated,

(b)

the risk of such a compromise in paragraph (2)(a) is not, or is no longer, material, or

(c)

no action needs to be taken in relation to the suspected contravention.

(4)

In this article, “connected security compromise”, “payment platform”, “security compromise” and “systems” have the meanings given in article 18(4) but references to “P” in the definitions of “connected security compromise” and “security compromise” are instead to be read as references to “merchant”.