Part 1Special Resolution Regime

Chapter 3 Special resolution action

Compensation

49Orders

(1)

This Part provides F1four methods of protecting the financial interests of transferors and others in connection with share transfer instruments and ordersF1, property transfer instruments and orders and resolution instruments.

(2)

A “compensation scheme order” is an order —

(a)

establishing a scheme for determining whether transferors should be paid compensation, or providing for transferors to be paid compensation, and

(b)

establishing a scheme for paying any compensation.

F2(2A)

A “bail-in compensation order” is an order establishing a scheme for determining, in accordance with section 52A, whether any transferors or others should be paid compensation.

(3)

A “resolution fund order” is an order establishing a scheme under which transferors become entitled to the proceeds of the disposal of things transferred—

(a)

in specified circumstances, and

(b)

to a specified extent.

(4)

A “third party compensation order” is provision made in accordance with section 59 for compensation to be paid to persons other than transferors.