Overview
(1) The purpose of the special resolution regime for CCPs (see Part 5 of this Schedule) is to address the situation where all or part of the business of a CCP has encountered, or is likely to encounter, financial difficulties.
(2) The special resolution regime consists of the eight stabilisation options.
(3) The eight stabilisation options are -
(a) transfer to a private sector purchaser (paragraph 27),
(b) transfer to a bridge central counterparty (paragraph 29),
(c) transfer of ownership (paragraph 30),
(d) terminating clearing member contracts (paragraph 31),
(e) making a cash call (paragraph 32),
(f) reducing variation margin payments (paragraph 33),
(g) writing down liabilities (paragraphs 34 and 35), and
(h) taking control of the CCP (paragraph 38).
(4) The stabilisation options are achieved through the exercise of one or more of the "stabilisation powers" which are -
(a) the share transfer powers (paragraphs 41 and 49 to 53),
(b) the property transfer power
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