Tensions between payment service providers and unregulated entities in outsourcing constellations
Cooperation arrangements between regulated entities such as payment service providers ("PSPs") and unregulated entities (“Corporate Servicers”) have a long tradition. PSPs have to consider whether the involvement of the Corporate Servicer in its business constitutes a material outsourcing. Recent legal developments, new products offered by PSPs as well as new IT products offered to PSPs create new challenges with respect to outsourcing provisions.