Law and Economics Commons^™

عملة إيفاء الديون مع ملاحظات حول تحديد سعر صرف العملة: دراسة مقارنة, أنطوان طعمة

Proche-Orient, Études juridiques

This study tries to clear up the ambiguity that deals with the interpretation of legal articles related to repayment. It includes an attempt to interpret the text of article 301 of the Law of Obligations and Contracts. It also deals with the text of the second paragraph of that article, which mentions the phrase “normal time” during which the parties have the right to stipulate the payment in a foreign currency or metal. The study also deals with an explanation of the concepts of compulsory circulation and legal circulation of currency, and the impact of these concepts on the interpretation …

ثوابت وتساؤلات فإمكانية حلول فيما خص إيفاء الديون المحررة بالعملة الأجنبية في ظل الأزمة المالية, ݒول الحاج شاهين

Proche-Orient, Études juridiques

The seminar entitled “Repayment of Debts Denominated in Foreign Currency Amid the Financial Crisis” addresses the severe financial turmoil Lebanon has been experiencing since the end of 2019, marked above all by the sharp depreciation of the Lebanese pound. This collapse created profound difficulties in repaying debts denominated in foreign currency, and in some cases made repayment impossible. The issue is closely tied to Lebanon’s reliance on foreign currencies, particularly the U.S. dollar. Anticipating such risks, many Lebanese citizens had safeguarded their savings by depositing them in banks in foreign currency, as protection against the recurring devaluation of the national …

La Levée Du Secret Bancaire Au Liban, Karim Daher

Proche-Orient, Études juridiques

The Banking Secrecy Law, adopted in Lebanon in 1956, formally prohibited banks and their personnel from disclosing any information relating to their clientele to any public or private party. The purpose of enacting this law was to attract financial inflows to Lebanon in the 1950s and 1960s, a period that coincided with the oil boom in Gulf countries, and nationalization processes in neighboring Arab countries, especially Egypt and Syria, as well as later from wealthy Gulf oil monarchies. While this legislation ensured the protection and confidentiality of these deposits, it weakened tax citizenship, promoted a culture of corruption and impunity, …

The Offshore Origins Of Regulatory Arbitrage, Ian J. Murray

William & Mary Business Law Review

Especially since the 2007–08 financial crisis, commentators have seized on the term “regulatory arbitrage” to describe a sprawling range of strategic compliance behavior spanning diverse sectors of the contemporary economy. Despite the term’s prevalence, there is scant agreement on the scope of activities it describes. To some, it has become a catch-all for legal avoidance from time immemorial. Such an expansive understanding obscures the context that led the term to acquire salience and fosters a fatalist view that all regulation is futile. Resisting this trend, this Article answers calls to situate regulatory arbitrage in a richer socio-historical context. Tracing the …

Is It Credit?, Jim Hawkins

William & Mary Law Review

Earned wage access companies advance money to workers based on wages they have already earned but have not yet been paid. Then, one of three things happens to reimburse the earned wage access provider: (1) the worker’s employer sends the provider money directly, (2) the provider withdraws money from the worker’s bank account on payday, or (3) nothing. The last of these is the most interesting. If the earned wage access provider does not receive the funds from the worker’s employer or bank account, the worker just walks away. Even more remarkable, many providers do not charge any mandatory fees …

Enforcing The Community Reinvestment Act, Jeremy C. Kress, Jeffery Y. Zhang

Law & Economics Working Papers

Nearly fifty years after the Community Reinvestment Act of 1977 (CRA) required banks to serve low- and moderate-income (LMI) areas, the systematic exclusion of disadvantaged communities from the mainstream financial system persists. This Article identifies a novel explanation for the CRA's limited impact: its enforcement mechanisms are ineffective.The CRA operates through two enforcement channels. Regulators must (1) consider a bank's CRA record when the bank seeks permission to merge or expand, and (2) publish periodic assessments of each bank's CRA performance. Using twenty years of CRA data, we show that neither enforcement mechanism works as intended. Banks strategically increase CRA …

Mansion Markets: Re-Evaluating The Treatment Of Customs Unions In Antidumping Cases, Devin Humphreys

Mercer Law Review

Some customs unions look like glorified trade deals, while other customs unions look like nation‑states in the making. Since 1979, U.S. trade law has treated both kinds of customs unions the same, but this state of affairs ignores the variety of ways in which some (though not all) modern customs unions are remarkably economically integrated. Presidents from both parties have treated the European Union as a singular entity in regulating foreign trade with their Section 232 authority, and more recently, the current presidential administration has issued ad valorem tariffs against the European Union as a bloc. But due to a …

Outbound Investment Restrictions And International Law’S Challenge, Harlan Grant Cohen

Seattle University Law Review

The Outbound Investment Rule, restricting U.S. investment in certain Chinese advanced technology sectors, has largely been portrayed as an incremental measure, a modest extension to fill loopholes in the existing investment screening regime. But while perhaps the logical next step in the securitization of the economy, the Outbound Investment Rule actually reflects a momentous shift in the relationship between governments and business, one playing out in the United States and around the world and worth attention. Unlike traditional investment screening, the Outbound Investment Rule operates like a sanctions regime, designed not to protect the U.S. economy, but to hamper the …

Navigating Compliance In A Geopolitical Era: The Case Of Chinese Multinationals In The United States, Ji Li

Seattle University Law Review

This Article examines how Chinese multinational companies (MNCs) approach compliance in the United States amid deepening geo-political rivalry and intensified regulatory scrutiny. Drawing on original survey data, this Article maps variations in compliance structures, staffing, and governance mechanisms across Chinese firms and identifies key determinants such as industry-specific regulatory intensity, listing status, and organizational imprinting from headquarters. The analysis employs a dual institutional framework to explain how compliance systems emerge from the interplay between host-state regulatory demands and home-state institutional legacies, producing hybrid structures that blend local adaptation with headquarters-driven replication. Findings reveal that while certain compliance features—such as committee …

The Field Of International Business Transactions Law, Kathleen Claussen

Seattle University Law Review

This Article studies the evolution of the scholarly subfield referred to as the law of “international business transactions” (IBT). It reviews data on academic articles, courses, textbooks and other signifiers of the growth of this research area. Beginning around 1960, scholars began to use the term “international business transactions” and by the 1980s, several law schools were offering a course by that title. A handful of dedicated textbooks soon followed. These data reflect a gradual increase in research on the topic of IBT, particularly in the United States, but also considerable diversity of subject matters covered by those works. The …

Resilient Dispute Resolution Systems For International Energy Conflicts, Guillermo J. Garcia Sanchez

Seattle University Law Review

Energy-related conflicts are on the rise, spanning diverse issues such as the impacts of rare mineral mining on local communities, the impacts of sanctions on energy investments due to the Russia-Ukraine war, and the impacts of expanded subsidies on the electric vehicle and solar panel industries. Increasingly, companies, communities, and governments are clashing over the challenges of pursuing disparate and sometimes competing energy policies. This Article argues that dispute resolution mechanisms in the energy investment sector must be fundamentally rethought. Traditional semi-adjudicatory models, which focus on winners and losers, fail to accommodate the complex and multifaceted nature of contemporary energy …

Restricting Data Flows Is A Sign Of Weakness, Nikolas Guggenberger

Seattle University Law Review

There has been a seismic shift in American attitudes toward the free flow of data across borders.  In less than a decade, the United States has transitioned from condemning barriers to digital trade to constructing a digital fortress of its own. It passed legislation requiring TikTok’s parent company to divest its U.S. operations or face a nationwide ban affecting 170 million U.S. users, citing national security concerns about its ties to China and the potential for data surveillance and content manipulation. Upon legal challenge by TikTok on First Amendment grounds, the Supreme Court affirmed the ban’s constitutionality. Recent federal legislation …

Product Nationality And Corporate Identity, Trang (Mae) Nguyen

Seattle University Law Review

Global supply chains have long depended on a deceptively technical device: the attribution of a “nationality” to goods. A trade law principle, rules of origin assign products an “economic passport” that governs how they are treated at the border, including what markets they may enter and which tariff rates apply. In recent years, however, product nationality has taken on a new and far more ambitious role. As U.S. trade policy increasingly intersects with national security and human rights policy, policymakers rely on nationality-based measures to police supply chain linkages, curb geopolitical issues, and discipline firms for their links to forced …

Global Supply Chain Resilience In Emerging Technologies: A Case Study Of Bitcoin Mining, Kishanthi Parella, Carla L. Reyes

Seattle University Law Review

The United States has put into motion bold plans in critical and emerging technologies to bolster its national and economic security.  For example, the federal government created a national bitcoin strategic reserve and a stockpile of other cryptocurrency; while several states have committed to or are considering similar goals.  However, the security of these reserves is dependent on two types of supply chains within the Bitcoin mining industry: analogue supply chains, relating to the physical components needed for Bitcoin mining, and data supply chains, relating to the complex and layered logistical network of actors that create input into the software …

Third-Party Funding: Balancing Transparency, National Security, And Access To Justice, Victoria Shannon Sahani

Seattle University Law Review

Many lawmakers who have recently become aware of the multi-billion-dollar global third-party funding industry are raising new national security concerns that further complicate preexisting, longstanding debates about transparency, disclosure, access to justice, and the best way to regulate third-party funding. In response, this Article briefly asserts three main points relating to the question of how best to regulate third-party funding. First, this Article explains the third-party funding industry, including its global regulatory landscape and how it serves three distinct populations: consumers, businesses, and law firms. Second, this Article explains that third-party funding is one tool that can help expand access …

Kim Gyeong-Seok And The Origins Of Northeast Asia’S Corporate Accountability Movement For War And Colonialism, Timothy Webster

Seattle University Law Review

For the past three decades, a transnational reparations movement has unfolded across Northeast Asia. Hundreds of victims—assisted by attorneys, academics, and activists—seek remedies from Japan for various atrocities committed during World War II, colonialism, and other historical injustices.  They press their claims in street protests, legislative hearings, dramatic performances, and other fora.  The “comfort women” are the best known of these claimants; their global redress campaign ex-tends from noisy protests outside of Japan’s embassy in Seoul, to mute statues in raucous boroughs of Berlin.  More obscure, though larger in number, were the roughly one million Koreans who performed forced labor …

Volume 49 Masthead

Seattle University Law Review

Volume 49 Masthead

A Comparative Study Of Chinese And American Approaches To Shaping International Outer Space Law And Norms, Ariel G. Silverman

Seattle University Law Review

This article explores convergences and divergencies in the United States and PRC’s responses to the stalemate in the United Nations over the future of outer space resource governance. I do so by systematically analyzing these leading space-faring nations’ policy-positions and tactics deployed to shape norms around three substantive areas of outer space resource governance: rights of ownership and scope of utilization of space resources, mechanization of the “benefits sharing” principle, and the rights and responsibilities of the private sector. I theorize that these leading space-faring nations have adopted divergent approaches due to their differing historical relationships with international law and …

Table Of Contents

Seattle University Law Review

Table of Contents

Who Gets A Seat At The Table? Stakeholder Participation In Sec Rulemaking, Yuliya Guseva, Irena Hutton, Adam C. Pritchard, Joseph Grundfest

Law & Economics Working Papers

We study how public participation shapes financial regulation using a novel dataset of 453 SEC rules proposed between 1995 and 2024. We collect over 81,000 public comments and 5,600 meetings between regulators and stakeholders related to those rules. Using large language models, we identify participants and extract structured measures of comment content and tone. We document asymmetries in stakeholder participation: retail investors dominate comment volume with shorter submissions, while institutional actors engage primarily through detailed comments and meetings with the SEC officials. Input from sophisticated stakeholders is more likely to be incorporated into the final rule release and informs rule …

Mutual Fund Fees, Stewart L. Brown

William & Mary Business Law Review

Investors pay billions annually in fees for actively managed mutual funds, despite the availability of far superior, cost-effective alternatives like index funds. Mutual funds, with their unique legal structure, insulate management fees from competitive pressures, thereby enabling fund sponsors to maintain high fees. Contrary to the assumption that legal, regulatory, and governance mechanisms adequately protect investors, this Article demonstrates that such safeguards are largely ineffective. The competitive forces that would ordinarily drive fee reductions are rendered impotent by structural conflicts of interest, ineffective regulatory oversight, and the passive role of independent directors. Fund sponsors capitalize on economies of scale, reaping …

Designing Contract Modification, Albert H. Choi, George G. Triantis

Articles

For long-term commercial contracts, modification tends to be the norm rather than the exception. While modification often takes place in response to an arrival of new information, contracting parties frequently modify the terms in response to a shift in bargaining power. In this Article, we explain how the flexibility to renegotiate in response to a shift in bargaining power can facilitate long-term contracting and thereby beneficial reliance investments and risk allocation. The prospect of modification can induce contracting parties who expect their bargaining power to improve, such as from the emergence of outside opportunities, to enter into contracts earlier and …

Purpose-Driven Compliance, Veronica Root Martinez

Faculty Scholarship

Whether it is a small brokerage firm in Ann Arbor, Michigan, a private university in Cambridge, Massachusetts, or a multinational conglomerate head-quartered in New York City, organizations understand that they are required to fulfill a range of compliance obligations. Compliance programs today tend to have two important characteristics in common. First, the notion that perfect compliance is an impossible goal is a key component of the understandings and expectations of many firms’ compliance programs. Second, organizations have almost uniformly adopted compliance programs in areas where enforcement activity has been significant—like in the areas of antibribery and anticorruption, anti-money laundering, antitrust, …

Reporting Materiality Under The Sec Cybersecurity Disclosure Rules: How Corporate Boards Balance Duty And Risk For Cyber Threats And Incidents, Deborah Slattery-Pereira

American University Business Law Review

The Security Exchange Commission’s (SEC) cybersecurity rules require that public companies disclose a material cyber threat or incident and the impact of the incident on the company’s business Corporate boards must disclose any cyber-related information that would affect a reasonable shareholder’s investment decisions. These rules delegate to the corporate board and management the decision of which cybersecurity events qualify as material to investors. Directors and officers must also decide when and how to disclose to the SEC, and what information to report.

The SEC Cybersecurity Rules increase compliance and litigation costs for public companies, as shareholders can use this information …

Ai In The Vault: Ai Act's Impact On Financial Regulation, Maria Lucia Passador

Loyola University Chicago Law Journal

The AI Act, a pioneering legislative framework, classifies AI systems based on their risk levels and mandates stringent requirements for high risk systems to ensure transparency, accountability, and protection of fundamental rights. This Article further addresses the critical intersection of AI technology and prudential supervision, highlighting the significant roles of the AI Office, and the AI Board in the governance and oversight of AI applications in finance.

Despite existing literature focusing on the integration of AI in banking supervision and the associated risks, gaps remain in understanding how these regulatory frameworks can effectively oversee AI's transformative impact on financial markets. …

Control Capture And Competition, D. Daniel Sokol, Robert J. Rhee

UF Law Faculty Publications

This Essay identifies an emerging problem in antitrust law and policy, particularly in the technology industry. Antitrust doctrine has historically revolved around internal control of firm, i.e., equity acquisition. It focuses on the capture of internal control. Mergers and acquisitions trigger regulatory review. In these deals, the locus of anticompetitive behavior lies in ownership and internal governance. However, one can capture control through various ways. An emerging problem in antitrust law is external exertion of control through contract. Competition can be stifled, and thus price, non-price, and innovation factors can be controlled or manipulated through the levers of control existing …

Serendipity And Self-Regulation: The Evolution Of Cryptocurrency-Based Exchange-Traded Products, Onnig H. Dombalagian

American University Business Law Review

Cryptocurrency enthusiasts rejoiced last year when the Securities and Exchange Commission (SEC) approved the listing of bitcoin-based and ether-based exchange-traded products (ETPs). For over a decade, cryptocurrency entrepreneurs have sought to trade cryptocurrency products on traditional securities exchanges.  Listing bitcoin and ether ETPs gave retail investors an easily accessible, transparent, and perhaps, more cost-efficient means of investing in cryptocurrencies while reducing the credit and custodial risks of dealing with unregistered digital asset exchanges or digital asset intermediaries. The listing of cryptocurrency ETPs may also represent a substantial step toward completing the marketplace for financial transactions in bitcoin and ether.

 There …

Liability For Non-Disclosure In Ipos, Albert H. Choi, Kathryn E. Spier

Articles

A privately-informed entrepreneur may withhold material information from prospective investors who may sue the firm ex post for (alleged) non-disclosure. Absent liability, the entrepreneur has an excessive incentive to withhold bad news and pursue socially-wasteful projects. Liability deters inefficient non- disclosure and prevents capital misallocation. Any damage award received by investors is partially offset by a reduction in equity value. Depending on the likelihood of court error and litigation cost, the socially-optimal damage award may be either zero or the minimum necessary for full deterrence. The private incentive to waive liability may be socially excessive or insufficient. Positive and normative …

The Future Of Monetary Federalism: Rethinking Supremacy In The Stablecoin Era, Richard H. Fair

American University Business Law Review

[INTRODUCTION] In the summer of 2023, the State of Wyoming enacted a law authorizing its state treasurer to issue a blockchain-based, state-backed digital stablecoin known as the Wyoming Stable Token (“WYST”). Two years later, Congress passed the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act, GENIUS, or the Act), moving to establish a comprehensive federal regulatory regime for stablecoins. These dueling initiatives have sparked more than regulatory confusion; they have set the stage for a structural clash between state financial innovation and federal monetary supremacy. At the heart of this confrontation lies a question that the Constitution …

Zasada Minimalizacji A Zakres Wymiany Danych Ubezpieczeniowych Klienta W Projekcie Rozporządzenia W Sprawie Ram Dostępu Do Danych Finansowych (Fida), Bartosz Bigaj

internetowy Kwartalnik Antymonopolowy i Regulacyjny (internet Quarterly on Antitrust and Regulation)

The purpose of the article is to critically assess the provisions on the scope of customer financial data exchange contained in the draft Financial Data Access Framework Regulation (FIDA) published by the EC on June 28, 2023, in the context of the principle of minimalism regulated by the GDPR Regulation. The author focuses on the potential benefits and risks of sharing customer information in the insurance market, including consumers in particular. The article provides a general analysis of the concepts of “open finance,” “open banking” and “open insurance,” as well as the principle of data minimalism from the RODO. Due …