4.8.4.5 Exclusion of certain contractual terms

A resolution action taken in relation to a bank, including the occurrence of any event directly linked to the application of such a measure1, is not, per se, deemed to be an enforcement event or insolvency proceedings, provided that the substantive obligations under the contract, including payment and delivery obligations and the provision of collateral, continue to be performed.2 Under these circumstances, the application of a resolution action does not, per se, make it possible for anyone to exercise any termination, suspension, modification, netting or set-off rights, obtain possession, exercise control or enforce any security over any property of the bank in resolution or any group entity, or affect any contractual rights of the bank in resolution or any group entity.3 This applies to (a) contracts entered into by the bank or its parent company, (b) contracts entered into by a subsidiary, the obligations under which are guaranteed or otherwise supported by the parent undertaking or by any other group entity, and (c) contracts entered into by any entity of a group which includes cross-default provisions.

In addition, a resolution action, a suspension of payment and delivery obligations or the suspension of termination rights do not constitute non-performance of a contractual obligation. 4