EU DORA RTS - third party contractual arrangements - Art 1

Outlines the complexity and risk considerations that need to be taken under consideration in a written policy covering services supporting the financial institution's critical or important functions that are provided by third parties.

Rule Overview

Jurisdiction: European Union

Regulator: ESMA

Topic: Resilience, Business Continuity

Overview

Rules in This Collection

Notable

Further Reading

Complexity and risk considerations include:

Type of service
Location of third party (or parent)
Nature of shared data
Data processing and storage location
Intra-group or independent service provision
Impact of risks / disruptions on continuity / availability of services

Article 1 distinguishes between third-service providers located within an EU member state and those located in a third country (Art 1(c)). As well as those providers who are authorised and supervised by a competent authority in an EU member state and those that are not (Art 1(f)).

A practical way of approaching this foundational article is to:

Differentiate between third parties that are:

Authorised by EU country Authorised by third country
Located in EU country Located in third country

Subject to supervision or oversight
Not subject to supervision or oversight

Intra-group
Outside of the group

And two key questions to ask in connection with the location:

Where are the services actually provided from?
What is the location where data is actually processed and stored?

Rules in This Collection

EU DORA RTS - Third party contractual arrangements

EU DORA RTS - third party contractual arrangements - Art 1 This Rule

EU DORA RTS - third party contractual arrangements - Art 4

EU DORA RTS - third party contractual arrangements - Art 6

EU DORA RTS - third party contractual arrangements - Art 8

Notable

Technology

Managing vendors supporting critical or important functions - from zero to full compliance with DORA

April 30, 2024

A summary of key practical steps based on the draft technical standard.

Thomas Hyrkiel, Katarzyna Parchimowicz5 min read

Technology

Your DORA questions answered – Extraterritoriality and interaction with existing rules

March 28, 2024

This last of a series of six articles covering a practical session organised by Ashurst focuses on how DORA will interact with existing rules as well as its extraterritorial effects.

Thomas Hyrkiel3 min read