2002 Florida Code
TITLE XXXVIII BANKS AND BANKING
Chapter 663 INTERNATIONAL BANKING  
PART I INTERNATIONAL BANKING CORPORATIONS (ss. 663.01-663.181)
663.171   Liquidation; repudiation of contracts.

663.171  Liquidation; repudiation of contracts.--

(1)  Except as otherwise provided in this section, when the department has taken possession of the business and property in this state of an international banking corporation, the department may assume or repudiate any contract, including an unexpired lease, of the corporation:

(a)  To which such corporation is a party.

(b)  The performance of which the department, in its discretion, determines to be burdensome.

(c)  The repudiation of which the department, in its discretion, determines will promote the orderly administration of the corporation's affairs.

(2)  After the expiration of 90 days after the date the department takes possession of an international banking corporation, any party to a contract with such corporation may demand in writing that the department assume or repudiate such contract. If the department has not assumed or repudiated the contract within 15 calendar days after the date of receipt of such demand, the affected party may bring an action in a court of competent jurisdiction in the county in which the principal office of the corporation is located to obtain an order requiring the department to assume or repudiate the contract. If the department has not assumed or repudiated the contract by at least 1 month before the last date for filing claims against the corporation, such contract shall be deemed repudiated.

(3)  Notwithstanding subsection (2), with respect to an unexpired lease of the corporation for rental of real property under which the corporation was a lessee, if the department remains in possession of the leasehold, the department shall not be required to assume or repudiate such lease and may continue in possession of such leasehold for the remainder of the term of the lease in accordance with the terms of the lease; provided, if the department later repudiates the lease before the end of the lease term, any amounts that may be due the lessor with respect to such lease shall be calculated as provided by law.

(4)  Notwithstanding any other provision of this section relating to liquidating an international banking corporation, the department shall not assume or repudiate any qualified financial contract that the international bank agency entered into which is subject to a multibranch or multiagency netting agreement or arrangement that provides for netting present or future payment obligations or payment entitlements, including termination or closeout values relating to the obligations or entitlements, among the parties to the contract and agreement or arrangement and the department may, but shall not be required to, assume or repudiate any other qualified financial contract an international bank agency entered into; provided, upon the repudiation of any qualified financial contract or the termination or liquidation of any qualified financial contract in accordance with its terms, the liability of the department under such qualified financial contract shall be determined in accordance with s. 663.172.

History.--s. 4, ch. 97-109.