FDIC Law, Regulations, Related Acts
[Table of Contents]
[Previous Page]
[Next Page]
[Search]
1000 - Federal Deposit Insurance Act
(e) Provisions Relating to Contracts Entered Into
Before Appointment of Conservator or Receiver.--
(1) AUTHORITY TO REPUDIATE
CONTRACTS.--In addition to any other rights a conservator or
receiver may have, the conservator or receiver for any insured
depository institution may disaffirm or repudiate any contract or
lease--
(A) to which such institution is a party;
(B) the performance of which the
conservator or receiver, in the conservator's or receiver's discretion,
determines to be burdensome; and
(C) the disaffirmance or repudiation of
which the conservator or receiver determines, in the conservator's or
receiver's discretion, will promote the orderly administration of the
institution's affairs.
(2) TIMING OF REPUDIATION.--The
conservator or receiver appointed for any insured depository
institution in accordance with subsection (c) shall determine whether
or not to exercise the rights of repudiation under this subsection
within a reasonable period following such appointment.
(3) CLAIMS FOR DAMAGES FOR
REPUDIATION.--
(A) IN GENERAL.--Except as
otherwise provided in subparagraph (C) and paragraphs (4), (5), and
(6), the liability of the conservator or receiver for the disaffirmance
or repudiation of any contract pursuant to paragraph (1) shall be--
(i) limited to actual direct compensatory damages; and
(ii) determined as of--
(I) the date of the appointment of the conservator or receiver;
or
(II) in the case of any contract or agreement referred to in
paragraph (8), the date of the disaffirmance or repudiation of such
contract or agreement.
(B) NO LIABILITY FOR OTHER
DAMAGES.--For purposes of subparagraph (A), the term "actual
direct compensatory damages" does not include--
(i) punitive or exemplary damages;
(ii) damages for lost profits or opportunity; or
(iii) damages for pain and suffering.
(C) MEASURE OF DAMAGES FOR REPUDIATION
OF FINANCIAL CONTRACTS.--In the case of any qualified financial
contract or agreement to which paragraph (8) applies, compensatory
damages shall be--
(i) deemed to include normal and reasonable costs of
cover or other reasonable measures of damages utilized in the
industries for such contract and agreement claims; and
(ii) paid in accordance with this subsection and
subsection (i) except as otherwise specifically provided in this
section.
(4) LEASES UNDER WHICH THE INSTITUTION
IS THE LESSEE.--
(A) IN GENERAL.--If the
conservator or receiver disaffirms or repudiates a lease under which
the insured depository institution was the lessee, the conservator or
receiver shall not be liable for any damages (other than damages
determined pursuant to subparagraph (B)) for the disaffirmance or
repudiation of such lease.
(B) PAYMENTS OF RENT.--Notwithstanding
subparagraph (A), the lessor under a lease to which such subparagraph
applies shall--
(i) be entitled to the contractual rent accruing before the later
of the date--
(I) the notice of disaffirmance or repudiation is mailed;
or
(II) the disaffirmance or repudiation becomes effective, unless the lessor is in default or breach of the terms of the lease;
(ii) have no claim for damages under any acceleration clause or
other penalty provision in the lease; and
(iii) have a claim for any unpaid rent, subject to all
appropriate offsets and defenses, due as of the date of the appointment
which shall be paid in accordance with this subsection and subsection
(i).
(5) LEASES UNDER WHICH THE INSTITUTION IS THE LESSOR.--
(A) IN GENERAL.--If the conservator or receiver
repudiates an unexpired written lease of real property of the insured
depository institution under which the institution is the lessor and
the lessee is not, as of the date of such repudiation, in default, the
lessee under such lease may either--
(i) treat the lease as terminated by such repudiation; or
(ii) remain in possession of the leasehold interest for the
balance of the term of the lease unless the lessee defaults under the
terms of the lease after the date of such repudiation.
(B) PROVISIONS APPLICABLE TO LESSEE REMAINING IN
POSSESSION.--If any lessee under a lease described in subparagraph
(A) remains in possession of a leasehold interest pursuant to clause
(ii) of such subparagraph--
(i) the lessee--
(I) shall continue to pay the contractual rent pursuant to the
terms of the lease after the date of the repudiation of such lease;
(II) may offset against any rent payment which accrues after the
date of the repudiation of the lease, any damages which accrue after
such date due to the nonperformance of any obligation of the insured
depository institution under the lease after such date; and
(ii) the conservator or receiver shall not be liable to the
lessee for any damages arising after such date as a result of the
repudiation other than the amount of any offset allowed under clause
(i)(II).
(6) CONTRACTS FOR THE SALE OF REAL PROPERTY.--
(A) IN GENERAL.--If the conservator or receiver
repudiates any contract (which meets the requirements of each paragraph
of section 13(e)) for the sale of real property and the purchaser of
such real property under such contract is in possession and is not, as
of the date of such repudiation, in default, such purchaser may
either--
(i) treat the contract as terminated by such repudiation; or
(ii) remain in possession of such real property.
(B) PROVISIONS APPLICABLE TO PURCHASER REMAINING IN
POSSESSION.--If any purchaser of real property under any contract
described in subparagraph (A) remains in possession of such property
pursuant to clause (ii) of such subparagraph--
(i) the purchaser--
(I) shall continue to make all payments due under the contract
after the date of the repudiation of the contract; and
(II) may offset against any such payments any damages which
accrue after such date due to the nonperformance (after such date) of
any obligation of the depository institution under the contract; and
(ii) the conservator or receiver shall--
(I) not be liable to the purchaser for any damages arising after
such date as a result of the repudiation other than the amount of any
offset allowed under clause (i)(II);
(II) deliver title to the purchaser in accordance with the
provisions of the contract; and
(III) have no obligation under the contract other than the
performance required under subclause (II).
(C) ASSIGNMENT AND SALE ALLOWED.--
(i) IN GENERAL.--No provision of this paragraph shall be
construed as limiting the right of the conservator or receiver to
assign the contract described in subparagraph (A) and sell the property
subject to the contract and the provisions of this paragraph.
(ii) NO LIABILITY AFTER ASSIGNMENT AND SALE.--If an
assignment and sale described in clause (i) is consummated, the
conservator or receiver shall have no further
liability under the contract described
in subparagraph (A) or with respect to the real property which was the
subject of such contract.
(7) PROVISIONS APPLICABLE TO SERVICE CONTRACTS.--
(A) SERVICES PERFORMED BEFORE APPOINTMENT.--In the case
of any contract for services between any person and any insured
depository institution for which the Corporation has been appointed
conservator or receiver, any claim of such person for services
performed before the appointment of the conservator or the receiver
shall be--
(i) a claim to be paid in accordance with subsections (d) and
(i); and
(ii) deemed to have arisen as of the date the conservator or
receiver was appointed.
(B) SERVICES PERFORMED AFTER APPOINTMENT AND PRIOR
TO REPUDIATION.--If, in the case of any contract for services
described in subparagraph (A), the conservator or receiver accepts
performance by the other person before the conservator or receiver
makes any determination to exercise the right of repudiation of such
contract under this section--
(i) the other party shall be paid under the terms of the contract
for the services performed; and
(ii) the amount of such payment shall be treated as an
administrative expense of the conservatorship or receivership.
(C) ACCEPTANCE OF PERFORMANCE NO BAR TO SUBSEQUENT
REPUDIATION.--The acceptance by any conservator or receiver of
services referred to in subparagraph (B) in connection with a contract
described in such subparagraph shall not affect the right of the
conservator or receiver to repudiate such contract under this section
at any time after such performance.
(8) CERTAIN QUALIFIED FINANCIAL CONTRACTS.--
(A) RIGHTS OF PARTIES TO CONTRACTS.--Subject to
paragraphs (9) and (10) of this subsection and notwithstanding any
other provision of this Act (other than subsection (d)(9) of this
section and section 13(e)), any other Federal law, or the law of any
State, no person shall be stayed or prohibited from exercising--
(i) any right such person has to cause the termination,
liquidation, or acceleration of any qualified financial contract with
an insured depository institution which arises upon the appointment of
the Corporation as receiver for such institution at any time after such
appointment;
(ii) any right under any security agreement or arrangement or
other credit enhancement related to one or more qualified financial
contracts described in clause (i).
(iii) any right to offset or net out any termination value,
payment amount, or other transfer obligation arising under or in
connection with 1 or more contracts and agreements described in clause
(i), including any master agreement for such contracts or agreements.
(B) APPLICABILITY OF OTHER
PROVISIONS.--Subsection (d)(12) shall apply in the case of any
judicial action or proceeding brought against any receiver referred to
in subparagraph (A), or the insured depository institution for which
such receiver was appointed, by any party to a contract or agreement
described in subparagraph (A)(i) with such institution.
(C) CERTAIN TRANSFERS NOT AVOIDABLE.--
(i) IN GENERAL.--Notwithstanding paragraph (11), section
5242 of the Revised Statutes of the United States or any other Federal
or State law relating to the avoidance of preferential or fraudulent
transfers, the Corporation, whether acting as such or as conservator or
receiver of an insured depository institution, may not avoid any
transfer of money or other property in connection with any qualified
financial contract with an insured depository institution.
(ii) EXCEPTION FOR CERTAIN TRANSFERS.--Clause (i) shall
not apply to any transfer of money or other property in connection with
any qualified financial contract with an insured depository institution
if the Corporation determines that the transferee had actual intent to
hinder, delay, or defraud such institution, the creditors of such
institution, or any conservator or receiver appointed for such
institution.
(D) CERTAIN CONTRACTS AND AGREEMENTS
DEFINED.--For purposes of this subsection, the following
definitions shall apply:
(i) QUALIFIED FINANCIAL CONTRACT.--The term
"qualified financial contract" means any securities contract,
commodity contract, forward contract, repurchase agreement, swap
agreement, and any similar agreement that the Corporation determines by
regulation, resolution, or order to be a qualified financial contract
for purposes of this paragraph.
(ii) SECURITIES CONTRACT.--The term "securities
contract"--
(I) means a contract for the purchase, sale, or loan of a
security, a certificate of deposit, a mortgage loan, any interest in a
mortgage loan, a group or index of securities, certificates of deposit,
or mortgage loans or interests therein (including any interest therein
or based on the value thereof) or any option on any of the foregoing,
including any option to purchase or sell any such security, certificate
of deposit, mortgage loan, interest, group or index, or option, and
including any repurchase or reverse repurchase transaction on any such
security, certificate of deposit, mortgage loan, interest, group or
index, or option (whether or not such repurchase or reverse repurchase
transaction is a "repurchase agreement", as defined in clause
(v));
(II) does not include any purchase, sale, or repurchase
obligation under a participation in a commercial mortgage loan unless
the Corporation determines by regulation, resolution, or order to
include any such agreement within the meaning of such term;
(III) means any option entered into on a national securities
exchange relating to foreign currencies;
(IV) means the guarantee (including by novation) by or to any
securities clearing agency of any settlement of cash, securities,
certificates of deposit, mortgage loans or interests therein, group or
index of securities, certificates of deposit, or mortgage loans or
interests therein (including any interest therein or based on the value
thereof) or option on any of the foregoing, including any option to
purchase or sell any such security, certificate of deposit, mortgage
loan, interest, group or index, or option (whether or not such
settlement is in connection with any agreement or transaction referred
to in subclauses (I) through (XII) (other than subclause (II));
(V) means any margin loan;
(VI) means any extension of credit for the clearance or
settlement of securities transactions;
(VII) means any loan transaction coupled with a securities collar
transaction, any prepaid securities forward transaction, or any total
return swap transaction coupled with a securities sale transaction;
(VIII) means any other agreement or transaction that is similar
to any agreement or transaction referred to in this clause;
(IX) means any combination of the agreements or transactions
referred to in this clause;
(X) means any option to enter into any agreement or transaction
referred to in this clause;
(XI) means a master agreement that provides for an agreement or
transaction referred to in subclause (I), (III), (IV), (V), (VI),
(VII), (VIII), (IX), or (X) together with all supplements to any such
master agreement, without regard to whether the master agreement
provides for an agreement or transaction that is not a securities
contract under this clause, except that the master agreement shall be
considered to be a securities contract under this clause only with
respect to each agreement or transaction under the master agreement
that is referred to in subclause (I), (III), (IV), (V), (VI), (VII),
(VIII), (IX), or (X); and
(XII) means any security agreement or arrangement or other credit
enhancement related to any agreement or transaction referred to in this
clause, including any guarantee or reimbursement obligation in
connection with any agreement or transaction referred to in this
clause.
(iii) COMMODITY CONTRACT.--The term "commodity
contract" means--
(I) with respect to a futures commission merchant, a contract for
the purchase or sale of a commodity for future delivery on, or subject
to the rules of, a contract market or board of trade;
(II) with respect to a foreign futures commission merchant, a
foreign future;
(III) with respect to a leverage transaction merchant, a leverage
transaction;
(IV) with respect to a clearing organization, a contract for the
purchase or sale of a commodity for future delivery on, or subject to
the rules of, a contract market or board of trade that is cleared by
such clearing organization, or commodity option traded on, or subject
to the rules of, a contract market or board of trade that is cleared by
such clearing organization;
(V) with respect to a commodity options dealer, a commodity
option;
(VI) any other agreement or transaction that is similar to any
agreement or transaction referred to in this clause;
(VII) any combination of the agreements or transactions referred
to in this clause;
(VIII) any option to enter into any agreement or transaction
referred to in this clause;
(IX) a master agreement that provides for an agreement or
transaction referred to in subclause (I), (II), (III), (IV), (V), (VI),
(VII), or (VIII), together with all supplements to any such master
agreement, without regard to whether the master agreement provides for
an agreement or transaction that is not a commodity contract under this
clause, except that the master agreement shall be considered to be a
commodity contract under this clause only with respect to each
agreement or transaction under the master agreement that is referred to
in subclause (I), (II), (III), (IV), (V), (VI), (VII), or (VIII); or
(X) any security agreement or arrangement or other credit
enhancement related to any agreement or transaction referred to in this
clause, including any guarantee or reimbursement obligation in
connection with any agreement or transaction referred to in this
clause.
(iv) FORWARD CONTRACT.--The term "forward
contract" means--
(I) a contract (other than a commodity contract) for the
purchase, sale, or transfer of a commodity or any similar good,
article, service, right, or interest which is presently or in the
future becomes the subject of dealing in the forward contract trade, or
product or byproduct thereof, with a maturity date more than 2 days
after the date the contract is entered into, including, a repurchase or
reverse repurchase transaction (whether or not such repurchase or
reverse repurchase transaction is a "repurchase agreement", as
defined in clause (v)), consignment, lease, swap, hedge transaction,
deposit, loan, option, allocated transaction, unallocated transaction,
or any other similar agreement;
(II) any combination of agreements or transactions referred to in
subclauses (I) and (III);
(III) any option to enter into any agreement or transaction
referred to in subclause (I) or (II);
(IV) a master agreement that provides for an agreement or
transaction referred to in subclauses (I), (II), or (III), together
with all supplements to any such master agreement, without regard to
whether the master agreement provides for an agreement or transaction
that is not a forward contract under this clause, except that the
master agreement shall be considered to be a forward contract under
this clause only with respect to each agreement or transaction under
the master agreement that is referred to in subclause (I), (II), or
(III); or
(V) any security agreement or arrangement or other credit
enhancement related to any agreement or transaction referred to in
subclause (I), (II), (III), or (IV), including any guarantee or
reimbursement obligation in connection with any agreement or
transaction referred to in any such subclause.
(v) REPURCHASE AGREEMENT.--The term "repurchase
agreement" (which definition also applies to a reverse repurchase
agreement)--
(I) means an agreement, including related terms, which provides
for the transfer of one or more certificates of deposit,
mortgage-related securities (as such term is defined in the Securities
Exchange Act of 1934), mortgage loans, interests in mortgage-related
securities or mortgage loans, eligible bankers' acceptances, qualified
foreign government securities or securities that are direct obligations
of, or that are fully guaranteed by, the United States or any agency of
the United States against the transfer of funds by the transferee of
such certificates of deposit, eligible bankers' acceptances,
securities, mortgage loans, or interests with a simultaneous agreement
by such transferee to transfer to
the transferor thereof certificates of
deposit, eligible bankers' acceptances, securities, mortgage loans, or
interests as described above, at a date certain not later than 1 year
after such transfers or on demand, against the transfer of funds, or
any other similar agreement;
(II) does not include any repurchase obligation under a
participation in a commercial mortgage loan unless the Corporation
determines by regulation, resolution, or order to include any such
participation within the meaning of such term;
(III) means any combination of agreements or transactions
referred to in subclauses (I) and (IV);
(IV) means any option to enter into any agreement or transaction
referred to in subclause (I) or (III);
(V) means a master agreement that provides for an agreement or
transaction referred to in subclause (I), (III), or (IV), together with
all supplements to any such master agreement, without regard to whether
the master agreement provides for an agreement or transaction that is
not a repurchase agreement under this clause, except that the master
agreement shall be considered to be a repurchase agreement under this
subclause only with respect to each agreement or transaction under the
master agreement that is referred to in subclause (I), (III), or (IV);
and
(VI) means any security agreement or arrangement or other credit
enhancement related to any agreement or transaction referred to in
subclause (I), (III), (IV), or (V), including any guarantee or
reimbursement obligation in connection with any agreement or
transaction referred to in any such subclause.
For purposes of this clause, the term "qualified foreign
government security" means a security that is a direct obligation
of, or that is fully guaranteed by, the central government of a member
of the Organization for Economic Cooperation and Development (as
determined by regulation or order adopted by the appropriate Federal
banking authority).
(vi) SWAP AGREEMENT.--The term "swap agreement"
means--
(I) any agreement, including the terms and conditions
incorporated by reference in any such agreement, which is an interest
rate swap, option, future, or forward agreement, including a rate
floor, rate cap, rate collar, cross-currency rate swap, and basis swap;
a spot, same day-tomorrow, tomorrow-next, forward, or other foreign
exchange precious metals or other commodity agreement; a currency swap,
option, future, or forward agreement; an equity index or equity swap,
option, future, or forward agreement; a debt index or debt swap,
option, future, or forward agreement; a total return, credit spread or
credit swap, option, future, or forward agreement; a commodity index or
commodity swap, option, future, or forward agreement; weather swap,
option, future, or forward agreement; an emissions swap, option,
future, or forward agreement; or an inflation swap, option, future, or
forward agreement;
(II) any agreement or transaction that is similar to any other
agreement or transaction referred to in this clause and that is of a
type that has been, is presently, or in the future becomes, the subject
of recurrent dealings in the swap or other derivatives markets
(including terms and conditions incorporated by reference in such
agreement) and that is a forward, swap, future, option or spot
transaction on one or more rates, currencies, commodities, equity
securities or other equity instruments, debt securities or other debt
instruments, quantitative measures associated with an occurrence,
extent of an occurrence, or contingency associated with a financial,
commercial, or economic consequence, or economic or financial indices
or measures of economic or financial risk or value;
(III) any combination of agreements or transactions referred to
in this clause;
(IV) any option to enter into any agreement or transaction
referred to in this clause;
(V) a master agreement that provides for an agreement or
transaction referred to in subclause (I), (II), (III), or (IV),
together with all supplements to any such master agreement, without
regard to whether the master agreement contains an agreement or
transaction that is not a swap agreement under this clause, except that
the master agreement shall be considered to be a swap agreement under
this clause only with respect to each agreement or transaction under
the master agreement that is referred to in subclause (I), (II), (III),
or (IV); and
(VI) any security agreement or arrangement or other credit
enhancement related to any agreements or transactions referred to in
subclause (I), (II), (III), (IV), or (V),
including any guarantee or reimbursement
obligation in connection with any agreement or transaction referred to
in any such subclause. Such term is applicable for purposes of this
subsection only and shall not be construed or applied so as to
challenge or affect the characterization, definition, or treatment of
any swap agreement under any other statute, regulation, or rule,
including the Gramm-Leach-Bliley Act, the Legal Certainty for Bank
Products Act of 2000, the Securities Laws (as such term is defined in
section 3(a)(47) of the Securities Exchange Act of 1934) and the
Commodity Exchange Act.
(vii) TREATMENT OF MASTER AGREEMENT AS ONE
AGREEMENT.--Any master agreement for any contract or agreement
described in any preceding clause of this subparagraph (or any master
agreement for such master agreement or agreements), together with all
supplements to such master agreement, shall be treated as a single
agreement and a single qualified financial contract. If a master
agreement contains provisions relating to agreements or transactions
that are not themselves qualified financial contracts, the master
agreement shall be deemed to be a qualified financial contract only
with respect to those transactions that are themselves qualified
financial contracts.
(viii) TRANSFER.--The term "transfer" means every
mode, direct or indirect, absolute or conditional, voluntary or
involuntary, of disposing of or parting with property or with an
interest in property, including retention of title as a security
interest and foreclosure of the depository institution's equity of
redemption.
(ix) PERSON.--The term "person" includes any
governmental entity in addition to any entity included in the
definition of such term in section 1 of title 1, United States Code.
(E) CERTAIN PROTECTIONS IN EVENT OF APPOINTMENT OF
CONSERVATOR.--Notwithstanding any other provision of this Act
(other than subsections (d)(9)) and (e)(10) of this section, and
section 13(e) of this Act),
any other Federal law, or the law of any State, no person shall be
stayed or prohibited from exercising--
(i) any right such person has to cause the termination,
liquidation, or acceleration of any qualified financial contract with a
depository institution in a conservatorship based upon a default under
such financial contract which is enforceable under applicable
noninsolvency law;
(ii) any right under any security agreement or arrangement or
other credit enhancement related to one or more qualified financial
contracts described in clause (i);
(iii) any right to offset or net out any termination values,
payment amounts, or other transfer obligations arising under or in
connection with such qualified financial contracts.
(F) CLARIFICATION.--No provision of law shall be
construed as limiting the right or power of the Corporation, or
authorizing any court or agency to limit or delay, in any manner, the
right or power of the Corporation to transfer any qualified financial
contract in accordance with paragraphs (9) and (10) of this subsection
or to disaffirm or repudiate any such contract in accordance with
subsection (e)(1) of this section.
(G) WALKAWAY CLAUSES NOT EFFECTIVE.--
(i) IN GENERAL.--Notwithstanding the provisions of
subparagraphs (A) and (E), and sections 403 and 404 of the Federal
Deposit Insurance Corporation Improvement Act of 1991, no walkaway
clause shall be enforceable in a qualified financial contract of an
insured depository institution in default.
(ii) LIMITED SUSPENSION OF CERTAIN OBLIGATIONS.--In the
case of a qualified financial contract referred to in clause (i), any
payment or delivery obligations otherwise due from a party pursuant to
the qualified financial contract shall be suspended from the time the
receiver is appointed until the earlier of--
(I) the time such party receives notice that such contract has
been transferred pursuant to subparagraph (A); or
(II) 5:00 p.m. (eastern time) on the business day following the
date of the appointment of the receiver.
(iii) WALKAWAY CLAUSE DEFINED.--For purposes of this
subparagraph, the term walkaway clause' means any provision in a
qualified financial contract that suspends, conditions, or extinguishes
a payment obligation of a party, in whole or in part, or does
not
create a payment obligation of a party that
would otherwise exist, solely because of such party's status as a
nondefaulting party in connection with the insolvency of an insured
depository institution that is a party to the contract or the
appointment of or the exercise of rights or powers by a conservator or
receiver of such depository institution, and not as a result of a
party's exercise of any right to offset, setoff, or net obligations
that exist under the contract, any other contract between those
parties, or applicable law.
(H) RECORDKEEPING REQUIREMENTS.-- The Corporation, in
consultation with the appropriate Federal banking agencies, may
prescribe regulations requiring more detailed recordkeeping by any
insured depository institution with respect to qualified financial
contracts (including market valuations) only if such insured depository
institution is in a troubled condition (as such term is defined by the
Corporation pursuant to section 1831 of this title).
(9) TRANSFER OF QUALIFIED FINANCIAL
CONTRACTS.--
(A) IN GENERAL.--In making any transfer of assets or
liabilities of a depository institution in default which includes any
qualified financial contract, the conservator or receiver for such
depository institution shall either--
(i) transfer to one financial institution, other than a financial
institution for which a conservator, receiver, trustee in bankruptcy,
or other legal custodian has been appointed or which is otherwise the
subject of a bankruptcy or insolvency proceeding--
(I) all qualified financial contracts between any person or any
affiliate of such person and the depository institution in default;
(II) all claims of such person or any affiliate of such person
against such depository institution under any such contract (other than
any claim which, under the terms of any such contract, is subordinated
to the claims of general unsecured creditors of such institution);
(III) all claims of such depository institution against such
person or any affiliate of such person under any such contract; and
(IV) all property securing or any other credit enhancement for
any contract described in subclause (I) or any claim described in
subclause (II) or (III) under any such contract; or
(ii) transfer none of the qualified financial contracts, claims,
property or other credit enhancement referred to in clause (i) (with
respect to such person and any affiliate of such person).
(B) TRANSFER TO FOREIGN BANK, FOREIGN FINANCIAL INSTITUTION,
OR BRANCH OR AGENCY OF A FOREIGN BANK OR FINANCIAL INSTITUTION.--In
transferring any qualified financial contracts and related claims and
property under subparagraph (A)(i), the conservator or receiver for the
depository institution shall not make such transfer to a foreign bank,
financial institution organized under the laws of a foreign country, or
a branch or agency of a foreign bank or financial institution unless,
under the law applicable to such bank, financial institution, branch or
agency, to the qualified financial contracts, and to any netting
contract, any security agreement or arrangement or other credit
enhancement related to one or more qualified financial contracts, the
contractual rights of the parties to such qualified financial
contracts, netting contracts, security agreements or arrangements, or
other credit enhancements are enforceable substantially to the same
extent as permitted under this section.
(C) TRANSFER OF CONTRACTS SUBJECT TO THE RULES OF A CLEARING
ORGANIZATION.--In the event that a conservator or receiver
transfers any qualified financial contract and related claims,
property, and credit enhancements pursuant to subparagraph (A)(i) and
such contract is cleared by or subject to the rules of a clearing
organization, the clearing organization shall not be required to accept
the transferee as a member by virtue of the transfer.
(D) DEFINITIONS.--For purposes of this paragraph, the
term "financial institution" means a broker or dealer, a
depository institution, a futures commission merchant, or any other
institution, as determined by the Corporation by regulation to be a
financial institution, and the term "clearing organization" has
the same meaning as in section 402 of the Federal Deposit Insurance
Corporation Improvement Act of 1991.
(10) NOTIFICATION OF TRANSFER.--
(A) IN GENERAL.--If--
(i) the conservator or receiver for an insured depository
institution in default makes any transfer of the assets and liabilities
of such institution; and
(ii) the transfer includes any qualified financial contract, the
conservator or receiver shall notify any person who is a party to any
such contract of such transfer by 5:00 p.m. (eastern time) on the
business day following the date of the appointment of the receiver in
the case of a receivership, or the business day following such transfer
in the case of a conservatorship.
(B) CERTAIN RIGHTS NOT ENFORCEABLE.--
(i) RECEIVERSHIP.--A person who is a party to a
qualified financial contract with an insured depository institution may
not exercise any right that such person has to
terminate, liquidate, or net such contract
under paragraph (8)(A) of this subsection or section 403 or 404 of the
Federal Deposit Insurance Corporation Improvement Act of 1991, solely
by reason of or incidental to the appointment of a receiver for the
depository institution (or the insolvency or financial condition of the
depository institution for which the receiver has been appointed)--
(I) until 5:00 p.m. (eastern time) on the business day following
the date of the appointment of the receiver; or
(II) after the person has received notice that the contract has
been transferred pursuant to paragraph (9)(A).
(ii) CONSERVATORSHIP.--A person who is a party to a
qualified financial contract with an insured depository institution may
not exercise any right that such person has to terminate, liquidate, or
net such contract under paragraph (8)(E) of this subsection or section
403 or 404 of the Federal Deposit Insurance Corporation Improvement Act
of 1991, solely by reason of or incidental to the appointment of a
conservator for the depository institution (or the insolvency or
financial condition of the depository institution for which the
conservator has been appointed).
(iii) NOTICE.--For purposes of this paragraph, the
Corporation as receiver or conservator of an insured depository
institution shall be deemed to have notified a person who is a party to
a qualified financial contract with such depository institution if the
Corporation has taken steps reasonably calculated to provide notice to
such person by the time specified in subparagraph (A).
(C) TREATMENT OF BRIDGE DEPOSITORY INSTITUTIONS.--The
following institutions shall not be considered to be a financial
institution for which a conservator, receiver, trustee in bankruptcy,
or other legal custodian has been appointed or which is otherwise the
subject of a bankruptcy or insolvency proceeding for purposes of
paragraph (9):
(i) A bridge depository institution.
(ii) A depository institution organized by the Corporation, for
which a conservator is appointed either--
(I) immediately upon the organization of the institution; or
(II) at the time of a purchase and assumption transaction between
the depository institution and the Corporation as receiver for a
depository institution in default.
(D) "BUSINESS DAY" DEFINED.--For purposes of this
paragraph, the term "business day" means any day other than any
Saturday, Sunday, or any day on which either the New York Stock
Exchange or the Federal Reserve Bank of New York is closed.
(11) DISAFFIRMANCE OR REPUDIATION OF QUALIFIED FINANCIAL
CONTRACTS.--In exercising the rights of disaffirmance or
repudiation of a conservator or receiver with respect to any qualified
financial contract to which an insured depository institution is a
party, the conservator or receiver for such institution shall either--
(A) disaffirm or repudiate all qualified financial contracts
between--
(i) any person or any affiliate of such person; and
(ii) the depository institution in default; or
(B) disaffirm or repudiate none of the qualified financial
contracts referred to in subparagraph (A) (with respect to such person
or any affiliate of such person).
(12) CERTAIN SECURITY INTERESTS NOT AVOIDABLE.--No
provision of this subsection shall be construed as permitting the
avoidance of any legally enforceable or perfected security interest in
any of the assets of any depository institution except where such an
interest is taken in contemplation of the institution's insolvency or
with the intent to hinder, delay, or defraud the institution or the
creditors of such institution.
(13) AUTHORITY TO ENFORCE CONTRACTS.--
(A) IN GENERAL.--The conservator or receiver may enforce
any contract, other than a director's or officer's liability insurance
contract or a depository institution bond, entered into by the
depository institution notwithstanding any provision of the contract
providing for termination, default, acceleration, or exercise of rights
upon, or solely by reason of, insolvency or the appointment of or the
exercise of rights or powers by a conservator or receiver.
(B) CERTAIN RIGHTS NOT AFFECTED.--No provision of this
paragraph may be construed as impairing or affecting any right of the
conservator or receiver to enforce or recover under a director's or
officer's liability insurance contract or depository institution bond
under other applicable law.
(C) CONSENT REQUIREMENT.--
(i) IN GENERAL.--Except as otherwise provided by this
section or section 15, no person may exercise any right or power to
terminate, accelerate, or declare a default under any contract to which
the depository institution is a party, or to obtain possession of or
exercise control over any property of the institution or affect any
contractual rights of the institution, without the consent of the
conservator or receiver, as appropriate, during the 45-day period
beginning on the date of the appointment of the conservator, or during
the 90-day period beginning on the date of the appointment of the
receiver, as applicable.
(ii) CERTAIN EXCEPTIONS.--No provision of this
subparagraph shall apply to a director or officer liability insurance
contract or a depository institution bond, to the rights of parties to
certain qualified financial contracts pursuant to paragraph (8), or to
the rights of parties to netting contracts pursuant to subtitle A of
title IV of the Federal Deposit Insurance Corporation Improvement Act
of 1991 (12 U.S.C. 4401 et seq.), or shall be construed as permitting
the conservator or receiver to fail to comply with otherwise
enforceable provisions of such contract.
(iii) RULE OF CONSTRUCTION.--Nothing in this
subparagraph shall be construed to limit or otherwise affect the
applicability of title 11, United States Code.
(14) EXCEPTION FOR FEDERAL RESERVE AND FEDERAL HOME LOAN
BANKS.--No provision of this subsection shall apply with respect
to--
(A) any extension of credit from any Federal home loan bank or
Federal Reserve bank to any insured depository institution; or
(B) any security interest in the assets of the institution
securing any such extension of credit.
(15) SELLING CREDIT CARD ACCOUNTS RECEIVABLE.--
(A) NOTIFICATION REQUIRED.--An undercapitalized insured
depository institution (as defined in section 38) shall notify the
Corporation in writing before entering into an agreement to sell credit
card accounts receivable.
(B) WAIVER BY CORPORATION.--The Corporation may at any
time, in its sole discretion and upon such terms as it may prescribe,
waive its right to repudiate an agreement to sell credit card accounts
receivable if the Corporation--
(i) determines that the waiver is in the best interests of the
deposit insurance fund; and
(ii) provides a written waiver to the selling institution.
(C) EFFECT OF WAIVER ON SUCCESSORS.--
(i) IN GENERAL.--If, under subparagraph (B), the
Corporation has waived its right to repudiate an agreement to sell
credit card accounts receivable--
(I) any provision of the agreement that restricts solicitation of
a credit card customer of the selling institution, or the use of a
credit card customer list of the institution, shall bind any receiver
or conservator of the institution; and
(II) the Corporation shall require any acquirer of the selling
institution, or of substantially all of the selling institution's
assets or liabilities, to agree to be bound by a provision described in
subclause (I) as if the acquirer were the selling institution.
(ii) EXCEPTION.--Clause (i)(II) does not--
(I) restrict the acquirer's authority to offer any product or
service to any person identified without using a list of the selling
institution's customers in violation of the agreement;
(II) require the acquirer to restrict any preexisting
relationship between the acquirer and a customer; or
(III) apply to any transaction in which the acquirer acquires
only insured deposits.
(D) WAIVER NOT ACTIONABLE.--The Corporation shall not,
in any capacity, be liable to any person for damages resulting from the
waiver of or failure to waive the
Corporation's right under this section to
repudiate any contract or lease, including an agreement to sell credit
card accounts receivable. No court shall issue any order affecting any
such waiver or failure to waive.
(E) OTHER AUTHORITY NOT AFFECTED.--This paragraph does
not limit any other authority of the Corporation to waive the
Corporation's right to repudiate an agreement or lease under this
section.
(16) CERTAIN CREDIT CARD CUSTOMER LISTS PROTECTED.
(A) IN GENERAL.--If any insured depository institution
sells credit card accounts receivable under an agreement negotiated at
arm's length that provides for the sale of the institution's credit
card customer list, the Corporation shall prohibit any party to a
transaction with respect to the institution under this section or
section 13 from using the list, except as permitted under the
agreement.
(B) FRAUDULENT TRANSACTIONS EXCLUDED.--Subparagraph (A)
does not limit the Corporation's authority to repudiate any agreement
entered into with the intent to hinder, delay, or defraud the
institution, the institution's creditors, or the Corporation.
(17) SAVINGS CLAUSE.--The meanings of terms used in this
subsection are applicable for purposes of this subsection only, and
shall not be construed or applied so as to challenge or affect the
characterization, definition, or treatment of any similar terms under
any other statute, regulation, or rule, including the
Gramm--Leach--Bliley Act, the Legal Certainty for Bank Products Act of
2000, the securities laws (as that term is defined in section 3(a)(47)
of the Securities Exchange Act of 1934), and the Commodity Exchange
Act.
[Codified to 12 U.S.C. 1821(e)]
[Source: Section 2[11(e)] of the Act of September 21, 1950 (Pub.
L. No. 797; 64 Stat. 885), effective September 21, 1950, as amended by
sections 6(c)(18) and (19) of the Act of September 17, 1978 (Pub. L.
No. 95--369; 92 Stat. 619), effective September 17, 1978; section
212(a) of title II of the Act of August 9, 1989 (Pub. L. No. 101--73;
103 Stat. 222), effective August 9, 1989; section 161(a) of title I of
the Act of December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2285),
effective December 19, 1991; section 325 of Title III and section
602(a)(26) and (27) of title VI of the Act of September 23, 1994 (Pub.
L. No. 103--325; 108 Stat. 2228 and 2289, respectively), effective
September 23, 1994; section 501(c)(2) of title V of the Act of October
22, 1994 (Pub. L. No. 103--394; 108 Stat. 4143, effective October 22,
1994; section 2706 of title II of the Act of September 30, 1996 (Pub.
L. No. 104--208; 110 Stat. 3009--496), effective September 30, 1996;
sections 901(a)(1), (b)(1), (c)(1), (d)(1), (e)(1), (f)(1), (g)(1),
(h)(1), 901(i)(1), 902(a)(1), 903(a), 904(a), 905(a), and 908(a) of
title IX of the Act of April 20, 2005 (Pub. L. No. 109--8; 119 Stat.
147, 149, 151, 152, 155, 157--162, 165, 166, and 183, respectively),
effective April 20, 2005; section 718(a) of title VII of the Act of
October 13, 2006 (Pub. L. No. 109--351; 120 Stat. 1997), effective
October 13, 2006; sections 2(a)(1), 2(b)(1), 2(c)(1), 3(a) and 6(a) of
the Act of December 12, 2006 (Pub. L. No. 109--390; 120 Stat.
2692--2694, and 2698, respectively), effective December 12, 2006;
section 1604(a)(2) and (3) of title VII of the Act of July 30, 2008
(Pub. L. No. 110--289; 122 Stat. 2826 and 2827), effective July 30,
2008]
(f) Payment of Insured Deposits.--
(1) IN GENERAL.--In case of the liquidation of, or other
closing or winding up of the affairs of, any insured depository
institution, payment of the insured deposits in such institution shall
be made by the Corporation as soon as possible, subject to the
provisions of subsection (g), either by cash or by making available to
each depositor a transferred deposit in a new insured depository
institution in the same community or in another insured depository
institution in an amount equal to the insured deposit of such
depositor.
(2) PROOF OF CLAIMS.--The Corporation, in its
discretion, may require proof of claims to be filed and may approve or
reject such claims for insured deposits.
(3) RESOLUTION OF DISPUTES.--A determination by the
Corporation regarding any claim for insurance coverage shall be treated
as a final determination for purposes of this section. In its
discretion, the Corporation may promulgate regulations prescribing
procedures for resolving any disputed claim relating to any insured
deposit or any determination of insurance coverage with respect to any
deposit.
(4) REVIEW OF CORPORATION DETERMINATION.--A final
determination made by the Corporation regarding any claim for insurance
coverage shall be a final agency action reviewable in accordance with
chapter 7 of title 5, United States Code, by the United States district
court for the Federal judicial district where the principal place of
business of the depository institution is located.
(5) STATUTE OF LIMITATIONS.--Any request for review of a
final determination by the Corporation regarding any claim for
insurance coverage shall be filed with the appropriate United States
district court not later than 60 days after the date on which such
determination is issued.".
[Codified to 12 U.S.C. 1821(f)]
[Source: Section 2[11(f)] of the Act of September 21, 1950 (Pub.
L. No. 797; 64 Stat. 885), effective September 21, 1950, as amended by
section 6(c)(20) of the Act of September 17, 1978 (Pub. L. No. 95--369;
92 Stat. 619), effective September 17, 1978; sections 201(a)(1) and
212(a) of title II of the Act of August 9, 1989 (Pub. L. No. 101--73;
103 Stat. 187 and 222), effective August 9, 1989; section 602(a)(28) of
title VI of the Act of September 23, 1994 (Pub. L. No. 103--325; 108
Stat. 2289), effective September 23, 1994; Section 8(a)(12) of the Act
of February 15, 2006 (Pub. L. No. 109--173; 119 Stat. 3612), effective
date shall take effect on the day of the merger of the Bank Insurance
Fund and the Savings Association Insurance Fund pursuant to the Federal
Deposit Insurance Reform Act of 2005; section 721(a) of title VII of
the Act of October 13, 2006 (Pub. L. No. 109--351; 120 Stat. 1998),
effective October 13, 2006]
(g) Subrogation of Corporation.--
(1) IN GENERAL.--Notwithstanding any other provision of
Federal law, the law of any State, or the constitution of any State,
the Corporation, upon the payment to any depositor as provided in
subsection (f) of this section in connection with any insured
depository institution or insured branch described in such subsection
or the assumption of any deposit in such institution or branch by
another insured depository institution pursuant to this section or
section 13, shall be subrogated to all rights of the depositor against
such institution or branch to the extent of such payment or assumption.
(2) DIVIDENDS ON SUBROGRATED AMOUNTS.--The subrogation
of the Corporation under paragraph (1) with respect to any insured
depository institution shall include the right on the part of the
Corporation to receive the same dividends from the proceeds of the
assets of such institution and recoveries on account of stockholders'
liability as would have been payable to the depositor on a claim for
the insured deposit, but such depositor shall retain such claim for any
uninsured or unassumed portion of the deposit.
(3) WAIVER OF CERTAIN CLAIMS.--With respect to any bank
which closes after May 25, 1938, the Corporation shall waive, in favor
only of any person against whom stockholders' individual liability may
be asserted, any claim on account of such liability in excess of the
liability, if any, to the bank or its creditors, for the amount unpaid
upon such stock in such bank; but any such waiver shall be effected in
such manner and on such terms and conditions as will not increase
recoveries or dividends on account of claims to which the Corporation
is not subrogated.
(4) APPLICABILITY OF STATE LAW.--Subject to subsection
(d)(11) of this section, if the Corporation is appointed pursuant to
subsection (c)(3), or determines not to invoke the authority conferred
in subsection (c)(4), the rights of depositors and other creditors of
any State depository institution shall be determined in accordance with
the applicable provisions of State law.
[Codified to 12 U.S.C. 1821(g)]
[Source: Section 2[11(g)] of the Act of September 21, 1950 (Pub.
L. No. 797; 64 Stat. 885), effective September 21, 1950, as amended by
sections 6(c)(21) and (22) of the Act of September 17, 1978 (Pub. L.
No. 95--369; 92 Stat. 619), effective September 17, 1978; section
113(k) of title I of the Act of October 15, 1982 (Pub. L. No. 97--320;
96 Stat. 1474), effective October 15, 1982; sections 201(a)(1) and
212(a) of title II of the Act of August 9, 1989 (Pub. L. No. 101--73;
103 Stat. 187 and 222), effective August 9, 1989]
(h) Conditions Applicable To Resolution Proceedings.--
(1) CONSIDERATION OF LOCAL ECONOMIC IMPACT
REQUIRED.--The Corporation shall fully consider the adverse
economic impact on local communities, including businesses and farms,
of actions to be taken by it during the administration and liquidation
of loans of a depository institution in default.
(2) ACTIONS TO ALLEVIATE ADVERSE ECONOMIC IMPACT TO BE
CONSIDERED.--The actions which the Corporation shall consider
include the release of proceeds from the sale of products and services
for family living and business expenses and shortening the undue length
of the decisionmaking process for the acceptance of offers of
settlement contingent upon third party financing.
(3) GUIDELINES REQUIRED.--The Corporation shall adopt
and publish procedures and guidelines to minimize adverse economic
effects caused by its actions on individual debtors in the community.
(4) FINANCIAL SERVICES INDUSTRY IMPACT ANALYSIS.--After
the appointment of the Corporation as conservator or receiver for any
insured depository institution and before
taking any action under this section or
section 13 in connection with the resolution of such institution, the
Corporation shall--
(A) evaluate the likely impact of the means of resolution, and
any action which the Corporation may take in connection with such
resolution, on the viability of other insured depository institutions
in the same community; and
(B) take such evaluation into account in determining the means
for resolving the institution and establishing the terms and conditions
for any such action.
[Codified to 12 U.S.C. 1821(h)]
[Source: Section 2[11(h)] of the Act of September 21, 1950 (Pub.
L. No. 797; 64 Stat. 886--887), effective September 21, 1950, as
amended by section 301(d) of title III of the Act of October 16, 1966
(Pub. L. No. 89--695; 80 Stat. 1055), effective October 16, 1966;
section 7(a)(4) of title I of the Act of December 23, 1969 (Pub. L. No.
91--151; 83 Stat. 375), effective December 23, 1969; section 102(a)(4)
of title I of the Act of October 28, 1974 (Pub. L. No. 93--495; 88
Stat. 1502), effective November 27, 1974; section 308 of title III of
the Act of March 31, 1980 (Pub. L. No. 96--221; 94 Stat. 147),
effective March 31, 1980; section 503(a)(1) and (2) of title V of the
Act of August 10, 1987 (Pub. L. No. 100--86; 101 Stat. 629), effective
August 10, 1987 (Pub. L. No. 100--86 redesignated paragraphs (i), (j),
(k) and (l) as (2), (3), (4) and (5), respectively); section 212(a) of
title II of the Act of August 9, 1989 (Pub. L. No. 101--73; 103 Stat.
222), effective August 9, 1989; section 141(d) of title I of the Act of
December 19, 1991 (Pub. L. No. 102--242; 105 Stat. 2277), effective
December 19, 1991]
(i) Valuation of Claims in Default.--
(1) IN GENERAL.--Notwithstanding any other provision of
Federal law or the law of any State and regardless of the method which
the Corporation determines to utilize with respect to an insured
depository institution in default or in danger of default, including
transactions authorized under subsection (n) and section 13(c), this
subsection shall govern the rights of the creditors (other than insured
depositors) of such institution.
(2) MAXIMUM LIABILITY.--The maximum liability of the
Corporation, acting as receiver or in any other capacity, to any person
having a claim against the receiver or the insured depository
institution for which such receiver is appointed shall equal the amount
such claimant would have received if the Corporation had liquidated the
assets and liabilities of such institution without exercising the
Corporation's authority under subsection (n) of this section or section
13.
(3) ADDITIONAL PAYMENTS AUTHORIZED.--
(A) IN GENERAL.--The Corporation may, in its discretion
and in the interests of minimizing its losses, use its own resources to
make additional payments or credit additional amounts to or with
respect to or for the account of any claimant or category of claimants.
Notwithstanding any other provision of Federal or State law, or the
constitution of any State, the Corporation shall not be obligated, as a
result of having made any such payment or credited any such amount to
or with respect to or for the account of any claimant or category of
claimants, to make payments to any other claimant or category of
claimants.
(B) MANNER OF PAYMENT.--The Corporation may make the
payments or credit the amounts specified in subparagraph (A) directly
to the claimants or may make such payments or credit such amounts to an
open insured depository institution to induce such institution to
accept liability for such claims.
[Codified to 12 U.S.C. 1821(i)]
[Source: Section 2[11(i)] of the Act of September 21, 1950
(Pub. L. No. 797; 64 Stat. 886), effective September 21, 1950, as added
by section 503(a)(3) of title V of the Act of August 10, 1987 (Pub. L.
No. 100--86; 101 Stat. 629--632), effective August 10, 1987, and as
amended by section 212(a) of title II of the Act of August 9, 1989
(Pub. L. No. 101--73; 103 Stat. 222), effective August 9, 1989; section
161(e) of title I of the Act of December 19, 1991 (Pub. L. No.
102--242; 105 Stat. 2286), effective December 19, 1991; section
602(a)(29) of title VI of the Act of September 23, 1994 (Pub. L. No.
103--325; 108 Stat. 2289), effective September 23, 1994; Section
8(a)(13) of the Act of February 15, 2006 (Pub. L. No. 109--173; 119
Stat.
3612), effective date shall take effect on the
day of the merger of the Bank Insurance Fund and the Savings
Association Insurance Fund pursuant to the Federal Deposit Insurance
Reform Act of 2005]
(j) Limitation on court action.Except as provided in
this section, no court may take any action, except at the request of
the Board of Directors by regulation or order, to restrain or affect
the exercise of powers or functions of the Corporation as a conservator
or a receiver.
[Codified to 12 U.S.C. 1821(j)]
[Source: Section 2[11(j)] of the Act of September 21, 1950 (Pub.
L. No. 797; 64 Stat. 886), effective September 21, 1950, as added by
section 507 of title V of the Act of August 10, 1987 (Pub. L. No.
100--86; 101 Stat. 634), effective August 10, 1987, and as amended by
section 212(a) of title II of the Act of August 9, 1989 (Pub. L. No.
101--73; 103 Stat. 222), effective August 9,
1989]
(k) Liability of directors and officers.--A director or
officer of an insured depository institution may be held personally
liable for monetary damages in any civil action by, on behalf of, or at
the request or direction of the Corporation, which action is prosecuted
wholly or partially for the benefit of the Corporation--
(1) acting as conservator or receiver of such institution,
(2) acting based upon a suit, claim, or cause of action purchased
from, assigned by, or otherwise conveyed by such receiver or
conservator, or
(3) acting based upon a suit, claim, or cause of action purchased
from, assigned by, or otherwise conveyed in whole or in part by an
insured depository institution or its affiliate in connection with
assistance provided under
section
13,
for gross negligence, including any similar conduct or conduct that
demonstrates a greater disregard of a duty of care (than gross
negligence) including intentional tortious conduct, as such terms are
defined and determined under applicable State law. Nothing in this
paragraph shall impair or affect any right of the Corporation under
other applicable law.
[Codified to 12 U.S.C. 1821(k)]
[Source: Section 2[11(k)] of the Act of September 21, 1950 (Pub.
L. No. 797), effective September 21, 1950, as added by section 212(a)
of title II of the Act of August 9, 1989 (Pub. L. No. 101--73; 103
Stat. 222), effective August 9, 1989]
(l) Damages.--In any proceeding
related to any claim against an insured depository institution's
director, officer, employee, agent, attorney, accountant, appraiser, or
any other party employed by or providing services to an insured
depository institution, recoverable damages determined to result from
the improvident or otherwise improper use or investment of any insured
depository institution's assets shall include principal losses and
appropriate interest.
[Codified to 12 U.S.C. 1821(l)]
[Source: Section 2[11(l)] of the Act of September 21, 1950 (Pub.
L. No. 797), effective September 21, 1950, as added by section 212(a)
of title II of the Act of August 9, 1989 (Pub. L. No. 101--73; 103
Stat. 222), effective August 9,
1989]
[Table of Contents]
[Previous Page]
[Next Page]
[Search]