Financial Law Reform

Financial Law Reform covers a range of legal and legislative developments at global, regional and national level that affect trading in OTC derivatives. It is the ISDA forum that discusses and drafts ISDA submissions on matters ranging from laws on insolvency (netting, set-off, recovery and resolution) and property (collateral) to more general securities law matters as well as a wide range of private international law matters to various national, regional (eg EU) and global (eg UNIDROIT, UNCITRAL, Hague Conference on Private International Law) entities.

Click here for the ISDA BRRD Implementation Monitor

Click here to visit the archive page for Financial Law Reform

DateTitle / DescriptionDocuments
August 26, 2015
ISDA response to UK PRA’s consultation on contractual stays
ISDA has responded to a consultation paper from the UK Prudential Regulation Authority (PRA), which proposes a new rule for the PRA Rulebook requiring the contractual adoption of UK resolution stays in certain financial contracts (such as derivatives, repo/reverse repo or securities financing transactions) governed by the law of a jurisdiction outside the European Economic Area (EEA). The proposed rule would apply to UK banks, building societies and PRA-designated investment firms, as well as their qualifying parent undertakings in respect of financial contracts governed by the law of a non-EEA country.
ISDA Response - UK PRA Contract Stays.pdf
August 13, 2015
ISDA/AFME comments on the EBA consultation paper on the valuation of derivatives in bail-in
ISDA and the Association for Financial Markets in Europe have responded to a European Banking Authority questionnaire on how to treat derivatives transactions in a bail-in under the European Union bank recovery and resolution regime.
June 23, 2015
US Senate Foreign Relations Committee discusses the Hague Securities Convention
ISDA expresses its support for the ratification by the US of the 2006 Hague Convention on the Law Applicable to Certain Rights in Respect of Securities Held with an Intermediary (Hague Securities Convention).
Letter - Hague Convention 062315.pdf
June 17, 2015
BRRD Implementation Monitor
ISDA keeps track of the implementation status across all EU/EEA/EFTA member states.
March 27, 2015
Over-the-Counter Derivatives Regulation in Canada: Derivatives Trading Facilities
ISDA provides comments on the Canadian Consultation Report that sets out principles for developing a regulatory framework for centralized trading of certain derivatives.
February 5, 2015
ISDA response to EBA consultation on contractual recognition of bail-in in bank resolution
On February 5, ISDA responded to the European Banking Authority’s consultation paper on draft Regulatory Technical Standards on the contractual recognition of write-down and conversion powers under Article 55(3) of the Bank Recovery and Resolution Directive (BRRD) (EBA/CP/2014/33).
December 1, 2014
ISDA response to FSB consultation on the cross-border recognition of resolution actions
ISDA response to the FSB consultation launched 29 September 2014
ISDA Response - FSB Consultation on Cross-border recognition of resoluti....pdf
October 1, 2014
ISDA responses to UK consultations on the implementation of BRRD
ISDA responded to the three British consultation documents as published by HMT, PRA and FCA, respectively
UK_BRRD_FCA_ISDA_response_Oct14.pdf UK_BRRD_PRA_ConsultResp_ISDA_Sep14.pdf UK_HMT_ISDA_response_BRRD_transposition_Sep14.pdf
September 2, 2014
ISDA letter to National Bank of Romania re. EU Bank Recovery and Resolution Directive
On September 2, ISDA wrote to the National Bank of Romania (NBR) to highlight certain issues in the context of the local implementation of the EU Bank Recovery and Resolution Directive (BRRD) in light of the recently amended netting legislation in Romania. These observations take into account the ISDA briefing note (see entry below) on Art.77(1) BRRD that is intended to assist EU member states in implementing the relevant provisions of that directive.
RO_NBR_ ISDALetter_BRRD_Aug14_v1_FINAL_Combined.pdf
August 13, 2014
ISDA briefing note for EU Member States re Art.77(1) BRRD
Article 77(1) of the Bank Recovery and Resolution Directive (BRRD) requires Member States to ensure that there is “appropriate protection” for title transfer financial collateral arrangements and set off and netting arrangements in a resolution measure undertaken by national authorities when exercising partial property transfer and contractual modification powers. ISDA has prepared a briefing note to assist EU Member States in implementing this important creditor safeguard under the BRRD.
EU_BRRD_ ISDA_Briefing_Note_Art_77_Aug14.pdf