Regulation Round Up - May 2018

Proskauer Rose LLP

30 April

BEIS published a consultation paper seeking views on proposals to reform the laws relating to all UK limited partnerships. The key proposals are:

  • a requirement for all presenters to be registered with an anti-money laundering ("AML") supervisory body;
  • a requirement on all UK limited partnerships ("UKLPs") to maintain a connection with the UK. In this respect, the government has set out two possibilities, being:
    • a requirement on the UKLP to maintain its principal place of business ("PPoB") in the UK; or
    • permit the UKLP to move its PPoB outside the UK, but ensure that a service address is maintained in the UK;
  • a potential increase in reporting requirements for UKLPs to mirror the requirements currently imposed on private limited companies; and
  • proposals to provide the Registrar of Companies with powers to strike off UKLPs from the Register of Companies in certain circumstances.

1 May

The Insurance Distribution (Regulated Activities and Miscellaneous Amendments) Order 2018 (SI 2018/546) was published. This legislation makes amendments to key financial services legislation to implement the Insurance Distribution Directive (EU/2016/97).

The Foreign and Commonwealth Office published a policy note setting out the government's intended approach to exceptions and licences under the Sanctions and Anti-Money Laundering Bill 2017-19 when the UK becomes responsible for implementing its own sanctions regimes.

The Investment Association published a report, which was produced jointly with KPMG, in relation to building cyber resilience in the asset management sector. The report provides guidance on practical steps firms can take to protect their businesses from cyber-attacks.

The Financial Conduct Authority ("FCA") published its second "five conduct questions" report in which it set out wholesale banking industry feedback for 2017. The FCA also announced that it is extending the five conduct questions approach to other segments of the wholesale sector.

The High Court handed down a judgement (Carey v N M Rothschild & Sons Ltd [2018] EWHC 958) in relation to financial mis-selling. The bank had entered into various loan agreements with the claimants to provide them with funds to invest. The claimants argued that the bank misrepresented the level of risk in relation to the investment scheme and claimed this generated an 'unfair relationship'. The bank, meanwhile, argued that contractual terms defining the scope of its non-advisory relationship with the claimants and the absence of any representations made by it meant it was not liable. The judge ultimately held there was no unfair relationship.

2 May

UK Finance published a set of FAQs on the General Data Protection Regulation (EU/2016/679).

The European Central Bank ("ECB") published a speech by a member of its supervisory board, Ignazio Angelini, which promoted the European Union's position on Brexit.

The FCA published a speech "High-cost credit: what next?" in which Andrew Bailey, the FCA Chief Executive, explained the FCA's current focus on overdrafts, rent-to-own, home-collected credit and catalogue credit, because of the particular risks to consumers that the FCA has found in these areas.

4 May

UK Finance, the Financial Data and Technology Association (FDATA), the Electronic Money Association (EMA) and techUK jointly published their voluntary guidelines and encouraged market behaviours under the second Payment Services Directive (EU/2015/2366) ("PSD2").

7 May

The Financial Stability Board ("FSB") published a consultation paper on recommendations for compensation data reporting to address misconduct risk in the financial services industry. The recommendations aim to assist national supervisory authorities, from all financial sectors, by enhancing their capacity to consider and monitor the effectiveness of compensation tools and other mechanisms in promoting good conduct and addressing misconduct risk.

The European Securities and Markets Authority ("ESMA") published a new one-stop company portal, which enables investors to establish whether a financial service provider is authorised in the EU and provides certain information in relation to some firms.

8 May

The ECB published a report following its thematic review on effective risk data aggregation and risk reporting.

10 May

A draft of the Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2018 was published. The Order has expanded the criteria by which an alternative investment finance bond qualifies as a specified investment under the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 ("RAO").

The Financial Guidance and Claims Bill received Royal Assent, becoming the Financial Guidance and Claims Act 2018, providing for the creation of a single financial guidance body ("SFBG") that will replace Pension Wise, the Pensions Advisory Service and the Money Advice Service.

11 May

The FCA published a policy statement (PS18/10) on retiring its finalised guidance relating to inducements and conflicts of interest and independent and restricted advice (FG14/1 and FG 12/15). As the FCA's new rules for inducements and description of advice services came into effect on 3 January 2018, firms should already be complying with the relevant requirements.

14 May

The European Parliament adopted the proposed Fifth Anti-Money Laundering Directive ("MLD5").

The European Insurance and Occupational Pensions Authority ("EIOPA") published a press release announcing the launch of the 2018 EU-wide stress test for the insurance sector. EIOPA explains that this is a regular exercise that aims to assess insurers' vulnerabilities to potential adverse market developments, and should not be interpreted as a "pass-or-fail" test.

The UK Government passed two orders, 2018 No. 593 and 2018 No. 578, that lower the thresholds for certain sectors at which the UK merger control regime is triggered. The Orders will come into force on 11 June 2018. The sectors to which the lower thresholds will apply are companies whose business involves: (i) developing or producing items for the military, or military and civilian, use; (ii) quantum technology; or (iii) the design and maintenance of computing hardware.

15 May

The International Swaps and Derivatives Association ("ISDA") published a speech on benchmark reform initiatives, providing an overview of ISDA's work to support a smooth transition from the interbank offered rates to risk-free rates.

16 May

The ECB published an article on the impact of a potential transition period in relation to Brexit, in which it set out how the transition period affects its expectations of banks' preparations for Brexit.

17 May

The FCA published a guidance consultation (GC 18/2) on fairness of variation terms in financial services consumer contracts under the Consumer Rights Act 2015.

The Prudential Regulation Authority ("PRA") published a policy statement (PS10/28) and a supervisory statement on effective financial management and planning by insurance firms and groups.

The Joint Money Laundering Steering Group published a webpage announcing that it has finalised its revisions to two chapters in Part II of its anti-money laundering (AML) and counter-terrorist financing (CTF) guidance for the financial services sector.

18 May

EIOPA published an opinion on the solvency position of insurance and reinsurance undertakings in light of the UK's withdrawal from the EU. In the opinion, EIOPA considers the impact of the UK becoming a third country on the determination of technical provisions, own funds and capital requirements of EU insurance and reinsurance undertakings.

21 May

The FCA published a webpage setting out the findings of its reviews of firms offering automated investment services. The FCA reviewed the activities of seven firms offering automated online discretionary investment management services and three providing retail investment advice through automated channels only. The FCA highlighted specific rules in its rules that were relevant to its findings.

The FCA published a memorandum of understanding it has entered into with the Insolvency Service (dated January 2018).

22 May

The PRA published a consultation paper (CP12/18) in relation to Securitisation where it set out proposals to reflect the new EU securitisation framework.

23 May

The Data Protection Bill 2017-19 received Royal Assent to become the Data Protection Act 2018.

The FCA published a new webpage with information on the provisions in chapter 19F of the Senior Management Arrangements, Systems and Controls sourcebook ("SYSC"), which relate to the remuneration and performance management of sales staff. SYSC 19F implements the requirements of the MiFID II Directive (2014/65/EU) in this area.

The Competition and Markets Authority ("CMA") updated its guidance on 'Good Practice in the design and presentation of consumer survey evidence in merger inquiries'.

24 May

ESMA published an updated version of its Q&As in relation to the implementation of the Benchmarks Regulation (EU/2016/1011) ("BMR"). One new Q&A has been added in relation to the updating of prospectuses under Article 29(2) of the BMR.

25 May

The General Data Protection Regulation ("GDPR") (EU/2016/679) came into force. The GDPR forms part of the data protection regime in the UK, together with the new Data Protection Act 2018.

The FCA published a document outlining the next steps in its transforming culture work. The FCA sets out the four key thematic lines of enquiry it will now focus on:

  • psychological safety over fear;
  • remuneration and incentives;
  • leadership and management capabilities; and
  • assessing culture.

29 May

The FCA published its finalised guidance (FG18/4) on its approach to the review of insurance business transfers under Part VII of the Financial Services and Markets Act 2000.

31 May

The FCA has published its outcome of its high-cost credit review on its website. Following a review of the high-cost credit market, the FCA has announced various new proposals which are designed to protect consumers who use overdrafts and high-cost credit.

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Proskauer Rose LLP | Attorney Advertising

Written by:

Proskauer Rose LLP
Contact
more
less

Proskauer Rose LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide

JD Supra Privacy Policy

Updated: May 25, 2018:

JD Supra is a legal publishing service that connects experts and their content with broader audiences of professionals, journalists and associations.

This Privacy Policy describes how JD Supra, LLC ("JD Supra" or "we," "us," or "our") collects, uses and shares personal data collected from visitors to our website (located at www.jdsupra.com) (our "Website") who view only publicly-available content as well as subscribers to our services (such as our email digests or author tools)(our "Services"). By using our Website and registering for one of our Services, you are agreeing to the terms of this Privacy Policy.

Please note that if you subscribe to one of our Services, you can make choices about how we collect, use and share your information through our Privacy Center under the "My Account" dashboard (available if you are logged into your JD Supra account).

Collection of Information

Registration Information. When you register with JD Supra for our Website and Services, either as an author or as a subscriber, you will be asked to provide identifying information to create your JD Supra account ("Registration Data"), such as your:

  • Email
  • First Name
  • Last Name
  • Company Name
  • Company Industry
  • Title
  • Country

Other Information: We also collect other information you may voluntarily provide. This may include content you provide for publication. We may also receive your communications with others through our Website and Services (such as contacting an author through our Website) or communications directly with us (such as through email, feedback or other forms or social media). If you are a subscribed user, we will also collect your user preferences, such as the types of articles you would like to read.

Information from third parties (such as, from your employer or LinkedIn): We may also receive information about you from third party sources. For example, your employer may provide your information to us, such as in connection with an article submitted by your employer for publication. If you choose to use LinkedIn to subscribe to our Website and Services, we also collect information related to your LinkedIn account and profile.

Your interactions with our Website and Services: As is true of most websites, we gather certain information automatically. This information includes IP addresses, browser type, Internet service provider (ISP), referring/exit pages, operating system, date/time stamp and clickstream data. We use this information to analyze trends, to administer the Website and our Services, to improve the content and performance of our Website and Services, and to track users' movements around the site. We may also link this automatically-collected data to personal information, for example, to inform authors about who has read their articles. Some of this data is collected through information sent by your web browser. We also use cookies and other tracking technologies to collect this information. To learn more about cookies and other tracking technologies that JD Supra may use on our Website and Services please see our "Cookies Guide" page.

How do we use this information?

We use the information and data we collect principally in order to provide our Website and Services. More specifically, we may use your personal information to:

  • Operate our Website and Services and publish content;
  • Distribute content to you in accordance with your preferences as well as to provide other notifications to you (for example, updates about our policies and terms);
  • Measure readership and usage of the Website and Services;
  • Communicate with you regarding your questions and requests;
  • Authenticate users and to provide for the safety and security of our Website and Services;
  • Conduct research and similar activities to improve our Website and Services; and
  • Comply with our legal and regulatory responsibilities and to enforce our rights.

How is your information shared?

  • Content and other public information (such as an author profile) is shared on our Website and Services, including via email digests and social media feeds, and is accessible to the general public.
  • If you choose to use our Website and Services to communicate directly with a company or individual, such communication may be shared accordingly.
  • Readership information is provided to publishing law firms and authors of content to give them insight into their readership and to help them to improve their content.
  • Our Website may offer you the opportunity to share information through our Website, such as through Facebook's "Like" or Twitter's "Tweet" button. We offer this functionality to help generate interest in our Website and content and to permit you to recommend content to your contacts. You should be aware that sharing through such functionality may result in information being collected by the applicable social media network and possibly being made publicly available (for example, through a search engine). Any such information collection would be subject to such third party social media network's privacy policy.
  • Your information may also be shared to parties who support our business, such as professional advisors as well as web-hosting providers, analytics providers and other information technology providers.
  • Any court, governmental authority, law enforcement agency or other third party where we believe disclosure is necessary to comply with a legal or regulatory obligation, or otherwise to protect our rights, the rights of any third party or individuals' personal safety, or to detect, prevent, or otherwise address fraud, security or safety issues.
  • To our affiliated entities and in connection with the sale, assignment or other transfer of our company or our business.

How We Protect Your Information

JD Supra takes reasonable and appropriate precautions to insure that user information is protected from loss, misuse and unauthorized access, disclosure, alteration and destruction. We restrict access to user information to those individuals who reasonably need access to perform their job functions, such as our third party email service, customer service personnel and technical staff. You should keep in mind that no Internet transmission is ever 100% secure or error-free. Where you use log-in credentials (usernames, passwords) on our Website, please remember that it is your responsibility to safeguard them. If you believe that your log-in credentials have been compromised, please contact us at privacy@jdsupra.com.

Children's Information

Our Website and Services are not directed at children under the age of 16 and we do not knowingly collect personal information from children under the age of 16 through our Website and/or Services. If you have reason to believe that a child under the age of 16 has provided personal information to us, please contact us, and we will endeavor to delete that information from our databases.

Links to Other Websites

Our Website and Services may contain links to other websites. The operators of such other websites may collect information about you, including through cookies or other technologies. If you are using our Website or Services and click a link to another site, you will leave our Website and this Policy will not apply to your use of and activity on those other sites. We encourage you to read the legal notices posted on those sites, including their privacy policies. We are not responsible for the data collection and use practices of such other sites. This Policy applies solely to the information collected in connection with your use of our Website and Services and does not apply to any practices conducted offline or in connection with any other websites.

Information for EU and Swiss Residents

JD Supra's principal place of business is in the United States. By subscribing to our website, you expressly consent to your information being processed in the United States.

  • Our Legal Basis for Processing: Generally, we rely on our legitimate interests in order to process your personal information. For example, we rely on this legal ground if we use your personal information to manage your Registration Data and administer our relationship with you; to deliver our Website and Services; understand and improve our Website and Services; report reader analytics to our authors; to personalize your experience on our Website and Services; and where necessary to protect or defend our or another's rights or property, or to detect, prevent, or otherwise address fraud, security, safety or privacy issues. Please see Article 6(1)(f) of the E.U. General Data Protection Regulation ("GDPR") In addition, there may be other situations where other grounds for processing may exist, such as where processing is a result of legal requirements (GDPR Article 6(1)(c)) or for reasons of public interest (GDPR Article 6(1)(e)). Please see the "Your Rights" section of this Privacy Policy immediately below for more information about how you may request that we limit or refrain from processing your personal information.
  • Your Rights
    • Right of Access/Portability: You can ask to review details about the information we hold about you and how that information has been used and disclosed. Note that we may request to verify your identification before fulfilling your request. You can also request that your personal information is provided to you in a commonly used electronic format so that you can share it with other organizations.
    • Right to Correct Information: You may ask that we make corrections to any information we hold, if you believe such correction to be necessary.
    • Right to Restrict Our Processing or Erasure of Information: You also have the right in certain circumstances to ask us to restrict processing of your personal information or to erase your personal information. Where you have consented to our use of your personal information, you can withdraw your consent at any time.

You can make a request to exercise any of these rights by emailing us at privacy@jdsupra.com or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

You can also manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard.

We will make all practical efforts to respect your wishes. There may be times, however, where we are not able to fulfill your request, for example, if applicable law prohibits our compliance. Please note that JD Supra does not use "automatic decision making" or "profiling" as those terms are defined in the GDPR.

  • Timeframe for retaining your personal information: We will retain your personal information in a form that identifies you only for as long as it serves the purpose(s) for which it was initially collected as stated in this Privacy Policy, or subsequently authorized. We may continue processing your personal information for longer periods, but only for the time and to the extent such processing reasonably serves the purposes of archiving in the public interest, journalism, literature and art, scientific or historical research and statistical analysis, and subject to the protection of this Privacy Policy. For example, if you are an author, your personal information may continue to be published in connection with your article indefinitely. When we have no ongoing legitimate business need to process your personal information, we will either delete or anonymize it, or, if this is not possible (for example, because your personal information has been stored in backup archives), then we will securely store your personal information and isolate it from any further processing until deletion is possible.
  • Onward Transfer to Third Parties: As noted in the "How We Share Your Data" Section above, JD Supra may share your information with third parties. When JD Supra discloses your personal information to third parties, we have ensured that such third parties have either certified under the EU-U.S. or Swiss Privacy Shield Framework and will process all personal data received from EU member states/Switzerland in reliance on the applicable Privacy Shield Framework or that they have been subjected to strict contractual provisions in their contract with us to guarantee an adequate level of data protection for your data.

California Privacy Rights

Pursuant to Section 1798.83 of the California Civil Code, our customers who are California residents have the right to request certain information regarding our disclosure of personal information to third parties for their direct marketing purposes.

You can make a request for this information by emailing us at privacy@jdsupra.com or by writing to us at:

Privacy Officer
JD Supra, LLC
10 Liberty Ship Way, Suite 300
Sausalito, California 94965

Some browsers have incorporated a Do Not Track (DNT) feature. These features, when turned on, send a signal that you prefer that the website you are visiting not collect and use data regarding your online searching and browsing activities. As there is not yet a common understanding on how to interpret the DNT signal, we currently do not respond to DNT signals on our site.

Access/Correct/Update/Delete Personal Information

For non-EU/Swiss residents, if you would like to know what personal information we have about you, you can send an e-mail to privacy@jdsupra.com. We will be in contact with you (by mail or otherwise) to verify your identity and provide you the information you request. We will respond within 30 days to your request for access to your personal information. In some cases, we may not be able to remove your personal information, in which case we will let you know if we are unable to do so and why. If you would like to correct or update your personal information, you can manage your profile and subscriptions through our Privacy Center under the "My Account" dashboard. If you would like to delete your account or remove your information from our Website and Services, send an e-mail to privacy@jdsupra.com.

Changes in Our Privacy Policy

We reserve the right to change this Privacy Policy at any time. Please refer to the date at the top of this page to determine when this Policy was last revised. Any changes to our Privacy Policy will become effective upon posting of the revised policy on the Website. By continuing to use our Website and Services following such changes, you will be deemed to have agreed to such changes.

Contacting JD Supra

If you have any questions about this Privacy Policy, the practices of this site, your dealings with our Website or Services, or if you would like to change any of the information you have provided to us, please contact us at: privacy@jdsupra.com.

JD Supra Cookie Guide

As with many websites, JD Supra's website (located at www.jdsupra.com) (our "Website") and our services (such as our email article digests)(our "Services") use a standard technology called a "cookie" and other similar technologies (such as, pixels and web beacons), which are small data files that are transferred to your computer when you use our Website and Services. These technologies automatically identify your browser whenever you interact with our Website and Services.

How We Use Cookies and Other Tracking Technologies

We use cookies and other tracking technologies to:

  1. Improve the user experience on our Website and Services;
  2. Store the authorization token that users receive when they login to the private areas of our Website. This token is specific to a user's login session and requires a valid username and password to obtain. It is required to access the user's profile information, subscriptions, and analytics;
  3. Track anonymous site usage; and
  4. Permit connectivity with social media networks to permit content sharing.

There are different types of cookies and other technologies used our Website, notably:

  • "Session cookies" - These cookies only last as long as your online session, and disappear from your computer or device when you close your browser (like Internet Explorer, Google Chrome or Safari).
  • "Persistent cookies" - These cookies stay on your computer or device after your browser has been closed and last for a time specified in the cookie. We use persistent cookies when we need to know who you are for more than one browsing session. For example, we use them to remember your preferences for the next time you visit.
  • "Web Beacons/Pixels" - Some of our web pages and emails may also contain small electronic images known as web beacons, clear GIFs or single-pixel GIFs. These images are placed on a web page or email and typically work in conjunction with cookies to collect data. We use these images to identify our users and user behavior, such as counting the number of users who have visited a web page or acted upon one of our email digests.

JD Supra Cookies. We place our own cookies on your computer to track certain information about you while you are using our Website and Services. For example, we place a session cookie on your computer each time you visit our Website. We use these cookies to allow you to log-in to your subscriber account. In addition, through these cookies we are able to collect information about how you use the Website, including what browser you may be using, your IP address, and the URL address you came from upon visiting our Website and the URL you next visit (even if those URLs are not on our Website). We also utilize email web beacons to monitor whether our emails are being delivered and read. We also use these tools to help deliver reader analytics to our authors to give them insight into their readership and help them to improve their content, so that it is most useful for our users.

Analytics/Performance Cookies. JD Supra also uses the following analytic tools to help us analyze the performance of our Website and Services as well as how visitors use our Website and Services:

  • HubSpot - For more information about HubSpot cookies, please visit legal.hubspot.com/privacy-policy.
  • New Relic - For more information on New Relic cookies, please visit www.newrelic.com/privacy.
  • Google Analytics - For more information on Google Analytics cookies, visit www.google.com/policies. To opt-out of being tracked by Google Analytics across all websites visit http://tools.google.com/dlpage/gaoptout. This will allow you to download and install a Google Analytics cookie-free web browser.

Facebook, Twitter and other Social Network Cookies. Our content pages allow you to share content appearing on our Website and Services to your social media accounts through the "Like," "Tweet," or similar buttons displayed on such pages. To accomplish this Service, we embed code that such third party social networks provide and that we do not control. These buttons know that you are logged in to your social network account and therefore such social networks could also know that you are viewing the JD Supra Website.

Controlling and Deleting Cookies

If you would like to change how a browser uses cookies, including blocking or deleting cookies from the JD Supra Website and Services you can do so by changing the settings in your web browser. To control cookies, most browsers allow you to either accept or reject all cookies, only accept certain types of cookies, or prompt you every time a site wishes to save a cookie. It's also easy to delete cookies that are already saved on your device by a browser.

The processes for controlling and deleting cookies vary depending on which browser you use. To find out how to do so with a particular browser, you can use your browser's "Help" function or alternatively, you can visit http://www.aboutcookies.org which explains, step-by-step, how to control and delete cookies in most browsers.

Updates to This Policy

We may update this cookie policy and our Privacy Policy from time-to-time, particularly as technology changes. You can always check this page for the latest version. We may also notify you of changes to our privacy policy by email.

Contacting JD Supra

If you have any questions about how we use cookies and other tracking technologies, please contact us at: privacy@jdsupra.com.

- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.