Limitation of a transfer to a certain period of time

The purpose of this provision in Article 38 (6) of Directive 2014/59/EU (BRRD) is to allow, where necessary, for an agreement with a purchaser to transfer back assets, rights or liabilities to the institution under resolution or to transfer back the instruments of ownership to the original owners. The period of time should be agreed on a case-by-case basis with the purchaser and should reflect the time that is appropriate in view of the reasons in relation to which the possibility to transfer back is necessary. Such reasons may include the need to correct for any errors made in the initial transfer or may be linked to any other provisions of the contract (e.g. linked to valuation of assets or liabilities). 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.