In March 2020, governments around the world took action to stall the advent of the novel coronavirus (Covid-19) by implementing a range of “social distancing” rules. These measures have meant that market participants may be unable to print and sign documents with “wet ink” in accordance with usual practice. In this context, the FMLC has published this paper surveying the position of electronic signatures under key jurisdictions.
The FMLC Secretariat’s attention was drawn to an evidence gathering survey published ahead of the next public-private Innovation Working Group (“IWG”) on Legal Entity Identifiers (“LEIs”). The FMLC has published letters and papers in the past on the usefulness of the widespread adoption of LEIs.
The FMLC has submitted a response drawing attention to its work on cross-border cooperation in relation to financial services regulation, especially in the aftermath of the Global Financial Crisis. Divergent national approaches and differences present a serious challenge to effective cross-border regulation. Additionally, in the context of the U.K.’s withdrawal from the E.U., the FMLC has drawn attention to the legal and operational complexities which may arise when authorities in the U.K. are no longer party to cooperation arrangements
The FMLC has submitted a response to the Consultation to draw attention to concerns with regards the definition of a “qualifying cryptoasset”.
The FMLC has submitted a response drawing attention to the divergence in relation to international standards on sustainability-related disclosure requirements, which creates uncertainty in relation to reporting obligations vis-à-vis cross-border investment activities. There is also some divergence across EU law in relation to disclosure obligations set out under the SFDR, the Non-Financial Reporting Directive and the Taxonomy Regulation.
The European Commission has launched a public consultation to gather stakeholder views on the possible enhancements to the E.U. anti-money laundering/countering the financing of terrorism framework. The FMLC would like to draw attention to two areas.
The Ministry of Justice is consulting on whether to extend the power to other courts and tribunals and, if so, which test should be applied and factors considered in any decision by a court or tribunal to depart from retained E.U. case law.
HM Treasury has published a Consultation on the transposition of BRRD II, which, it has stated, concerns those parts of BRRD II that come into effect before the end of the Transition Period.
In Q3 2020 the European Commission is scheduled to propose a new Digital Finance Strategy/FinTech Action Plan that sets out a number of areas that public policy should focus on in the coming five years. A Consultation designed to gather stakeholders’ views on policies to support digital finance, which will inform that strategy, was published in April 2020.