Article 35
Transitional provisions
Counterparties referred to in Article 11(3) of Regulation (EU) No 648/2012 may continue to apply the risk-management procedures that they have in place on 18 February 2021 in respect of non-centrally cleared OTC derivative contracts entered into or novated between 16 August 2012 and the relevant dates of application of this Regulation.
Counterparties referred to in Article 11(3) of Regulation (EU) No 648/2012 may also continue to apply the risk-management procedures that they have in place on 18 February 2021 in respect of non-centrally cleared OTC derivative contracts fulfilling all of the following conditions:
(a)
the non-centrally cleared OTC derivative contracts have been entered into or novated either before the relevant dates of application of this Regulation as set out in Articles 36, 37 and 38 of this Regulation or 18 February 2021, whichever is earlier;
(b)
the non-centrally cleared OTC derivative contracts are novated for the sole purpose of replacing a counterparty established in the United Kingdom with a counterparty established in a Member State;
(c)
the non-centrally cleared OTC derivative contracts are novated between 1 January 2021 and either of the following, whichever is the later:
(i)
the relevant dates of application set out in Articles 36, 37 and 38 of this Regulation; or
(ii)
1 January 2022.