Supplementary transfers when using the sale of business tool

In line with a reply given in Q&A 2428 and in the light of Article 38(5) of Directive 2014/59/EU (BRRD), the conditions for resolution are not required to be met in any supplemental transfers as they form part of the continuing resolution, and the authorities will already have determined that the conditions have been met by the failing institution on its entry into resolution. However, a supplemental transfer can only be executed in a manner consistent with the resolution objectives, and the shareholder and creditor safeguards applicable to partial transfers. Disclaimer: This question goes beyond matters of consistent and effective application of the regulatory framework. A Directorate General of the Commission (Directorate General Financial Stability, Financial Services and Capital Markets Union) has prepared the answer, albeit that only the Court of Justice of the European Union can provide definitive interpretations of EU legislation. This is an unofficial opinion of that Directorate General, which the European Banking Authority publishes on its behalf. The answers are not binding on the European Commission as an institution. You should be aware that the European Commission could adopt a position different from the one expressed in such Q&As, for instance in infringement proceedings or after a detailed examination of a specific case or on the basis of any new legal or factual elements that may have been brought to its attention.