Section 71: Pre-liquidation contracts.

(1) The Corporation shall have power to enforce any contract agreement or deed entered into by the insured institution in liquidation with any person notwithstanding that such contract, agreement or deed provides for termination in the event of insolvency or liquidation of such insured institution.
(2) Subject to the provisions of the Banks and Other Financial Institutions Act, no person without the consent of the Corporation shall- [Act No. 5, 2020]
(a) exercise the right or have power to terminate any contract, agreement or deed or declare a default in any such contract, agreement or deed to which the insured institution is a party;
(b) obtain possession of or exercise control over any asset or property of such insured institution; and
(c) affect any contractual rights of the insured institution within 180 days of the commencement of liquidation of such insured institution.
(3) The Corporation shall have power to repudiate contracts, agreements or deeds to which the insured institution is a party which the Corporation determines to be burdensome and that repudiation of such contracts, agreements or deeds would promote the orderly winding-up of the insured institution's affairs, provided that any person aggrieved by the exercise of such power shall have the right to file action in court for special damages limited to actual loss suffered as a result of such repudiation from the date of commencement of liquidation to the date of repudiation of such contract, deed or agreement, against the Corporation as liquidator.
(4) The Corporation shall not have power to avoid legally enforceable security interests created over the property and assets of a debtor to the insured institution or the institution including legal mortgages and other charges except the Corporation determines that such interests were created-
(a) in contemplation of insolvency of the debtor or the insured institution; or
(b) with intent to hinder or defraud the insured institution or its depositors, other creditors or shareholders.
(5) An agreement which diminishes the interest of the Corporation in any asset of an insured institution shall not be valid in law unless it is in writing, was executed contemporaneously by the insured institution and the counter party, was approved by the board of directors of the insured institution and has been continuously in the record of the insured institution.
(6) The Corporation shall not be liable to payment of penalties, interest or fines imposed by any authority, government department, agency, office, contract or agreement.