How to Reactivate a LAPSED LEI
Your LEI must be renewed annually to remain ACTIVE.
Failure to renew it will put the LEI into a LAPSED status in the Global LEI System index. LAPSED status is not good for your legal entity, it could mean transactions are blocked or the risk of non-compliance fines.
LEIpapa’s team can help renew LAPSED LEIs and return them to ACTIVE status quickly.
How to Reactivate a LAPSED LEI
To Reactivate LAPSED LEI use the following instructions.
Step 1: Login to the app
Log into your LEIpapa account, or create an account if you are not already a LEIpapa account holder.
Step 2: Submit your order
Complete and submit the LEI registration.
Why an LEI might become LAPSED?
Here are the main reasons why an LEI might become LAPSED.
Failure to Renew
The first and the most common reason for an LEI to become LAPSED is the failure to renew it. LEIs are valid for one year from the date of issuance or last renewal. If the legal entity does not renew its LEI before its expiration date, the LEI status changes to LAPSED.
Incomplete or Inaccurate Data Updates
LEI codes require the legal entity to keep their information up-to-date. If required updates are not made, or if the information provided is incomplete or inaccurate, this might lead to the LEI becoming LAPSED, as it no longer accurately represents the legal entity.
In such a case, we strongly recommend immediately informing LEIpapa about the issue and providing the documents (evidence) with the relevant data to update. LAPSED LEI can impact a legal entity’s transparency and credibility, as the LEI system is used globally to enhance transparency in financial transactions.
Non-Compliance with the LOU’s Policies
RapidLEI is a LEIpapa’s LOU and has specific policies regarding the maintenance and renewal of LEIs. Non-compliance with these policies can result in a LAPSED status.
This non-compliance may lead your business to face penalties, fines, legal repercussions, and strained relationships with regulators.
Discontinued Business Operations
In some cases, if your legal entity ceases operations or undergoes significant changes (like mergers or acquisitions), its LEI might become LAPSED, especially if these changes are not properly reported to LEIpapa or directly to RapidLEI.
Administrative Errors or Delays
Sometimes, administrative errors or delays in processing renewals or updates can result in an LEI being temporarily marked as LAPSED. In such cases, correcting the error or completing the process can restore the ACTIVE status.