Abstract
In the recent time, there have been many initiatives aiming at protection of financial system, depositors and public funds from being used when crisis come along. The most recent economic and financial crisis has shown that there is a need for a new framework dealing with distressed financial institutions in the European Union.
Some laws not only did take effect but they were also tested in practice. Bank Recovery and Resolution Directive is such a law.
In the current paper, it will be shown how this directive or some provisions and principles thereof are applied in practice and pointed out some perils this process can bring out.