1. Markkinoiden juridinen toimintaympäristö Luento 1
Johdanto
Case 1
Matti Rudanko

2. The Views of the Regulator of the Markets – AND THOSE OF BUSINESS …
The views are taken from regulative provisions, from international, European and national legislation, which are effectively harmonized…
… but it is our task to find also here the business perspective so that regulatory provisions and other legal models are converted into business tools to create added value…
… e.g. by creative use in market strategy planning, contracting and contract management, corporate finance etc.
Markkinoiden juridinen toimintaympäristö Luento 1

3. … and the Special Mission of Our Approach …
… is to see the keen interaction between various views represented by different areas of market regulation …
… and the – even keener – interaction of these views with other market mechanisms, being of business economics, social, cultural of other nature …
…and so to make an attempt of forming a comprehensive picture of the market environment.
Markkinoiden juridinen toimintaympäristö Luento 1

4. The “four freedoms” of the Single Market
The cornerstones of the single market are often said to be the “four freedoms” – the free movement of people, goods, services and capital.
One of the “four freedoms” of the Single Market is the free movement of goods. Member States may restrict the free movement of goods only in exceptional cases, for example when there is a risk resulting from issues such as public health, environment, or consumer protection.
Markkinoiden juridinen toimintaympäristö Luento 1

5. Financial Services Markkinoiden juridinen toimintaympäristö Luento 1
“Financial Services policy should deliver stable, secure and efficient financial markets and ensure coherence and consistency between the different policy areas, such as banking, insurance, securities and investment funds, financial markets infrastructure, retail financial services and payment systems.” ( )
Markkinoiden juridinen toimintaympäristö Luento 1

6. Views on the Markets
Economics: markets in the context of political economy
Methods of economics and business economics
Finance and Accounting: pricing of derivatives, investor behavior, market efficiency, financial instruments, IFRS etc.
Communication sciences (e.g. representations of finance in media), sociology etc.
Classical question: why regulate the markets?
Karl Marx – Adam Smith (the visible / unvisible hand) – the modern competition law
The special characteristics and role of financial markets may increase the need of regulation
(Here:) the (combined) legal view: function of regulation in market context
Markkinoiden juridinen toimintaympäristö Luento 1

7. Main Views and Objects of Regulation of International Markets
Market regulation
Competition law (EU, national)
Monopolies, cartels, merger control
Digital markets
Data security
Data protection
Regulation of the international trade environment
WTO and other trade organizations (international conventions)
Contract law (national, EU, international)
CISG, Unidroit
Contractual relationship: conclusion of contract, contractual liabilities
Regulation of financial markets (national, EU)
Trading in securities
Disclosure duties, investment services, tender offers, insider trading, market manipulation etc.
Markkinoiden juridinen toimintaympäristö Luento 1

8. Overview of Course Topics (Slide Sets)
The Legal Environment of International Markets
Slide Set 1
General Doctrine of Contract Law
Formation of Contracts
Offer and Acceptance Model
Non-conforming Reply to Offer
Slide Set 2
Sale of Goods: National and International Legal Provisions
Definition of Conforming Goods
Legal Remedies for Defective Goods
Slide Set 3
Markkinoiden juridinen toimintaympäristö Luento 1

9. Overview of Course Topics, cont.
Letter of Credit
Slide Set 3a
Choice of Law (International Private Law)
Choice of Court
Other Dispute Settlement Systems
Slide Set 4
Markkinoiden juridinen toimintaympäristö Luento 1

10. Overview of Course Topics, cont.
International and British Contract Law
Entire Agreement
ICC Model Contract
Slide Set 5
Corporate Social Responsibility on International Markets
Law and Ethics of Business
Slide Sets 6 and 6 b-d
Company Law
Economic Optimization of Contract
Corporate Governance and Risk Management
Slide Sets 7 and 7a-b
Markkinoiden juridinen toimintaympäristö Luento 1

11. Overview of Course Topics, cont.
Economic optimization of contract – law and economics
Slide Set 8
Insider provisions and market abuse
Slide Set 9
Disclosure Duties, Insider Information and Business Secrets
Slide Set 10
Finnish Insider Cases: KKO 2009:1 and 2006:110
Slide Sets 11 and 12
Markkinoiden juridinen toimintaympäristö Luento 1

12. Overview of Course Topics, cont.
Legal Liabilities on Securities Markets
Slide Sets13 and 14
Competition Law, merger control and IPR; lecture of Petri Kuoppamäki
Slide Sets 15 and 16
Impact (on Mergers and Acquisitions) of Financial Markets Law
and Especially Tender Offer (Public Bid) Regulation
Slide Set 17
Markkinoiden juridinen toimintaympäristö Luento 1

13. Slide Set 18 Slide Set 19 Slide Set 20
Data protection and data security (Lecture by Mikko Viemerö)
Slide Set 18
Self regulation, law and morals (Lecture by Maarit Laihonen)
Slide Set 19
Access to Justice
Quick loans
Interplay of contract law, procedural law and criminal law
Slide Set 20
Markkinoiden juridinen toimintaympäristö Luento 1

14. Introduction to the Course
Our Approach
Regulative Views on the Markets
Overview of the Lectures
What Else or Your Comments?
Markkinoiden juridinen toimintaympäristö Luento 1

15. Search of Regulation Material
Links to Finnish legislation translations :
Kauppalaki:
The Finnish Sale of Goods Act:
Oikeustoimilaki:
The Finnish Contracts Act:
CISG:
Unidroit Principles:
Links to EU legislation: (by indicated search keys, e.g. document number)
Kansainvälliset sopimukset luento 1

16. Harmonisation of European Contract Law
Principles of European Contract Law, Part 2 (Ole Lando,Hugh Beale) Ehdotettu asetus yhteisestä eurooppalaisesta kauppalaista (Common European Sales Law; KOM(2011) 635 lopullinen):
Kansainvälliset sopimukset luento 1

17. Search of Regulation Material, Financial Markets
Links to search of material issued by (Finnish) Financial Supervison Authority, Nasdaq OMX (Helsinki Stock Exchange): see homepage of the course ( ) Links to Finnish legislation translations :
Markkinoiden juridinen toimintaympäristö Luento 1

18. Search of Regulation Material, Especially on Insider Dealing (EU)
of 28 January 2003 on insider dealing and market manipulation (market abuse); MAD
DIRECTIVE 2003/6/EC OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
of 22 December 2003 implementing Directive 2003/6/EC of the European Parliament and of the Council as regards the definition and public disclosure of inside information and the definition of market manipulation
COMMISSION DIRECTIVE 2003/124/EC
Markkinoiden juridinen toimintaympäristö Luento 1

19. Regulation Material, Especially on Insider Dealing (Domestic)
SMA ch
The Penal Code, ch. 51, sect
NASDAQ OMX Guidelines for Insiders
FSA Standard 5.3: Declarations of insider holdings and insider registers
Markkinoiden juridinen toimintaympäristö Luento 1

20. Regulation Material, Especially on Insider Dealing (Domestic)
Securities Markets Act ( / 746; )
Ch. 12 – 14 on market abuse and insider registers
Ch. 3 – 5 on disclosure duties
Marketing and issuance of securities, duty of disclosure (SMA ch. 1 sect. 2 – 4)
Markkinoiden juridinen toimintaympäristö Luento 1