Article 13 — Mechanism to avoid duplicative or conflicting rules with regard to OTC derivative contracts not cleared by a CCP — compare

1.The Commission shall be assisted by ESMA in monitoring and preparing reports to the European Parliament and to the Council onESAs in monitoring the international application of principles laid down in Articles 4, 9, 10 andArticle 11, in particular with regard to potential duplicative or conflicting requirements on market participants, and recommend possible action.

3.An implementing act on equivalence as referred to in paragraph 2 shall imply that counterparties entering into an OTC derivative contract not cleared by a transactionCCP subject to this Regulation shall be deemed to have fulfilled the obligations contained in Articles 4, 9, 10 andArticle 11 where at least one of the counterparties is established in subject to the requirements which are considered equivalent under that third countryimplementing act on equivalence.

4.The Commission shall, in cooperation with ESMA, monitor the effective implementation by third countries, for which an implementing act on equivalence has been adopted, of the requirements equivalent to those laid down in Articles 4, 9, 10 and 11 and regularly report, at least on an annual basis, to the European Parliament and the Council. Where the report reveals an insufficient or inconsistent application of the equivalent requirements by third country authorities, the Commission shall, within 30 calendar days of the presentation of the report, withdraw the recognition as equivalent of the third country legal framework in question. Where an implementing act on equivalence is withdrawn, counterparties shall automatically be subject again to all requirements laid down in this Regulation.