As a result, netting avoids the valuation of future and potential debts by a receiver and prevents receivers from meeting enforcement obligations, as permitted by certain legal systems such as the United States and the United Kingdom.  The reduced systemic risk induced by a close-out system is protected by law. Other systemic challenges related to clearing, such as the regulatory recognition of capital in Basel II and other insolvency-related issues, which are addressed in the Lamfalussy report, have been largely resolved by lobbying professional organisations for legislative reform.  In England and Wales, the effect of British Eagle International Airlines Ltd on Compagnie Nationale Air France has been largely denied by Part VII of the Company Act 1989, which allows offsetting in situations relating to monetary contracts. .