Legal battle between the Resolution Fund and Novo Banco gives the bank a 2-1 victory

The disputes between the Resolution Fund and Novo Banco over payment requests under the so-called contingent capital mechanism are closer to an end. In total, among the three main disagreements that were before the Paris Court, the Resolution Fund won one and Novo Banco won two.

The decision on the three disputes was announced this Wednesday, with three matters at stake: the costs of selling the Novo Banco branch in Spain, the valuation of holding units restructuring funds and a matter related to IFRS9 accounting standards.