196. Timely generation and communication of the UTI is crucial to ensure that counterparties can comply in a timely manner with their reporting obligation. Where one of the counterparties is responsible for the generation of the UTI, both counterparties should make the necessary arrangements in order for the generating counterparty, to timely generate the UTI, use it in its own reporting and communicate it to the other counterparty, and for the receiving counterparty, to ingest the UTI and use the same UTI (without alteration or truncation) in its own reporting.

197. In case the generating party fails to generate or communicate the UTI in due time, which is 10:00 am UTC on T+1, in order to meet the reporting deadline, the receiving party should contact the generating party and enquire about the process instead of reporting using an UTI generated on its own.

198. The below flowchart illustrates how the counterparties should determine the entity responsible for the UTI generation in accordance with the Article 7 of the draft ITS on reporting.

ESMA REGULAR USE