120. Another potential group of obstacles to the applicability of compensation provisions relates to covered obligations. One or more of the covered obligations may result from a type of transaction that is invalidated, unenforceable or ineligible. Since the provision of the final network and all the obligations to which it applies are often regarded as a contract, the general principles of commercial law could hinder the applicability of the package as a whole. This could compromise the applicability of the compensation provision as a whole, i.e. for all remaining obligations. A better solution would be to ensure that the compensation mechanism is not affected in relation to other commitments that are valid, applicable and eligible. 86. Paragraph 2, point b), provides that enforcement states can also extend the material scope of protection according to principles. Enforcement states may decide that, in accordance with the principles of their national legislation, their protection from the functioning of the connection rules must also apply to obligations that are not part of Principle 4, paragraph 1. 111.
Similar obstacles to the applicability of end-of-contract reserves for proximity terminals may result from their perceived resemblance to known terms such as innovation. B and the subsequent application of the enforceable force requirements of an innovation agreement to a provision of the final network. However, since analogies like this are probably very different, a catch-all rule is needed. For this reason, Principle 6, paragraph 1, first sentence, requires that a compensation regulation as defined in Principle 2 in functional form be generally applicable. 116. For the purposes of these principles, the definition of the insolvency procedure, i.e. „insolvency procedures“ for the closure of networks, should be very broad and the principles should be properly linked to the law that governs many different procedures. It refers to Article 1, point h) of the Geneva Convention: „insolvency procedure“, a collective judicial or administrative procedure, including an intermediate procedure in which the debtor`s assets and affairs are subject to the control or supervision of a court or other competent authority for the purposes of consolidation or liquidation.