vLex European Union

The Basel Committee on Banking Supervision met on October 30-31, 2019 to discuss key policy and supervisory issues, including: (i) a proposed consultation on adjustments to the credit valuation adjustment risk framework; (ii) a proposed consultation on revised market risk and sovereign exposure disclosure requirements; (iii) a proposed discussion paper on the prudential treatment of cryptoassets; (iv) a proposed consultation on guidelines for enhanced cooperation between prudential regulatory authorities and anti-money laundering/counter-terrorism financing authorities; and (v) its reports into the implementation of the Net Stable Funding Ratio and large exposures standards in Argentina and China. All of the proposed consultation papers, as well as the NSFR/large exposures reports, are expected to be published in November 2019. (See Article)

The Financial Action Task Force is seeking feedback from private sector stakeholders on its draft guidance on the use of digital identity systems in customer due diligence. The guidance will supplement Recommendation 10 of the FATF's Recommendations regarding customer due diligence and demonstrates how authentication of customer identities in the digital finance and digital ID context supports broader anti-money laundering/counter-terrorism financing efforts. Stakeholders should submit responses to the consultation by November 29, 2019. The FATF intends to make further amendments to its draft guidance at its February 2020 meetings. (See Article)

Only days after the announcement by the Swedish competition authority that it was launching a sector inquiry into Digital Platforms, the European Commission has published an online questionnaire seeking feedback on the transparency requirements related to Digital Platforms’ ranking policies. (See Article)

The European Data Protection Supervisor (EDPS) has issued guidance on the concepts of data controller and processor for European Union organizations. Though it covers EU institutions, the guidance contains many concepts that are applicable and instructive for other entities subject to the General Data Protection Regulation (GDPR). (See Article)

Foreword - European data protection laws have made significant strides in the last two decades. Privacy and data protection laws have undergone dramatic changes over the last 20 years, in a race to keep up with technology. When Directive 95/46/EC (the “Directive”) was written in the mid-1990s, the highly networked and interconnected world in which we live today was merely a glimmer on the horizon. The internet itself was a comparatively recent innovation to many people. Many organisations did not yet have public websites. Concepts such as online social media platforms did not exist—and certainly nobody had considered how those platforms should be regulated. Consequently, courts and Data Protection Authorities (DPAs) have increasingly been forced to try to adapt privacy laws to fit a world for which they simply were not designed. (See Article)

On 21 October 2019, the European Medicines Agency (EMA) published a guide for assessors of centralised applications for marketing authorisation. The guide focuses on the wording used in therapeutic indications. The therapeutic indication is the primary information concerning the use of a medicinal product. (See Article)

In late October 2019, the Co-ordination Group for Mutual Recognition and Decentralised procedures – Human (CMDh) of the Heads of Medicines Agencies (HMA) published a practical guidance on nitrosamines. The guidance is addressed to marketing authorisations holders (MAHs) of products medicinal products authorised nationally in the EU Member States and through the mutual recognition and decentralised procedures. The guidance provides the steps to be followed to evaluate the risk of the presence of nitrosamine impurities in human medicinal products. (See Article)

Insights from Latham’s flagship event: Managing the risk and promise of digitisation in financial services. In a bid to keep pace with rapid advances in cloud adoption across financial services, regulators have published a raft of new guidance in the past year. (See Article)

Following its June opinion on the possibility for national competent authorities to work with payment service providers and relevant stakeholders and agree on limited additional time for compliance with the strong customer authentication requirements in respect of e-commerce card payment transactions, the European Banking Authority issued an additional opinion last mo?nth in which it set an harmonised deadline and transitioning process for SCA migration.? (See Article)

Have you heard of the theory of “trademark neutralization?” It was developed by the European Union (EU) General Court and the European Union Court of Justice (“CJEU”) in 2006 (Case No. C-361/04 (ECJ Jan. 12, 2005)) holding PICASSO/PICARO not confusingly similar and was followed in Case C-206/04 (ECJ Mar. 23 2006) holding SIR/ZIRH not confusingly similar. (See Article)

An introduction to the EU-Canada Comprehensive Economic and Trade Agreement (CETA) - Introduction - The Comprehensive Economic and Trade Agreement (CETA) between the EU and Canada that provisionally entered into force on 21 September 2017 extends to thirty chapters, three protocols and over 1,000 pages of annexes. (See Article)

Typically not. Article 27 of the GDPR requires some foreign (i.e., non-European) companies to designate a “representative" that is present in the European Union. The purpose of the representative is to provide a European point of contact for “supervisory authorities and data subjects, on all issues related to processing.” (See Article)

In BritNed v ABB, the English Court of Appeal substantially reduced the UK's first award of damages in a so-called cartel damages claim brought for breach of European competition law. In so doing, the Court rejected calls for a more strict and punitive approach to damages in cartel claims. The case is an important bellwether for private follow-on damages actions in Europe. (See Article)

November will see several opportunities to discuss privacy matters in Europe and meet with The Privacist contributors within the K&L Gates’ platform, in connection with the International Association of Privacy Professionals (IAPP). (See Article)

The Information Commissioner of the Isle of Man has issued guidance on “accountability” under GDPR. Key takeaways: You need to develop, embed and maintain a culture of data protection in your processing activities, with compliance demonstrably supported from the top. (See Article)

The European Commission confirmed the conclusion of these negotiations in a press release issued on 6 November. The agreement takes into account the commitments made at the 2019 EU-China Summit and reflects mutual openness and respect for international rules as a basis for trade relations. (See Article)

The European Commission (EC) has found, on a prima facie basis, that Broadcom abused its dominant position. In order to avert the risk of serious and irreparable damage to competition, Broadcom has been ordered to cease its prima facie abusive conduct with almost immediate effect. This is the first time in 18 years that the EC has made use of such measure and could signal the re-awakening of a once-dormant tool. (See Article)

EBA’s revised Guidelines on Outsourcing Arrangements (Outsourcing Guidelines) came into force on 30 September 2019 and apply to all outsourcing arrangements entered into, reviewed or amended on or after this date. The Outsourcing Guidelines require relevant firms to carry out an in-depth review of all outsourcing arrangements and put in place appropriate governance frameworks relating to outsourcing. Below we take a look at some of the key requirements set out in the Outsourcing Guidelines and the tasks firms need to undertake in order to comply. Please see full article below for more information. (See Article)

The discussions at the recent “G7” summit concerning the fires in the Amazon rainforest highlighted the growing focus on the relationship between trade and sustainability issues. (See Article)

The EU regime for controlling the exports from the EU of products and/or technology that can be used for both civil and military purposes (dual-use items) is now 10 years old. As a result of the changes in technology and ever-evolving threats to Member States’ national security, controls on dual-use items are now subject to greater scrutiny and legislative changes. Please see full Publication below for more information. (See Article)

On June 26, 2019, the EU Commission opened a formal investigation into U.S. chipmaker Broadcom’s alleged abuse of dominance. In a rather unexpected move, the EU Commission informed the company, on the same day, of its intention to impose interim measures, a long-forgotten tool. (See Article)

Good news coming out of the European markets- new car sales roles in October in many key regions, marking a positive change in an otherwise uncertain economic year in Europe.  However, a significant driver for the increase was that sales fell during October of last year following a change in emissions rules. (See Article)

On 29 October 2019, politicians once again kicked the possibility of a cliff edge Brexit into the grass but with UK politics still deeply divided and a general election on the horizon, it is unlikely that clarity on the Brexit saga will be forthcoming any time before 31 January 2020. (See Article)

The Joint Committee of the European Supervisory Authorities has published a Supervisory Statement on the scope of application to bonds of the EU Packaged Retail and Insurance-based Investment Products Regulation. The ESAs have issued the Supervisory Statement in an attempt to avoid the adoption of diverse approaches by national regulators across the EU as to when a Key Information Document is required for different types of bonds under the PRIIPs Regulation. The PRIIPs Regulation, directly applicable across the EU since January 1, 2018, imposes a requirement upon issuers of packaged retail and insurance-based investment products to issue KIDs to retail investors describing key features of their products, in order to enhance transparency and improve investor protection in the PRIIPs market. (See Article)

The Financial Action Task Force has published best practices on beneficial ownership for legal persons. Global standards require authorities to be able to ascertain the ultimate owner of a company or foundation to provide transparency and mitigate against the use of legal persons for financial crime purposes... (See Article)

Later this fall something unprecedented will happen at the European Union: Margrethe Vestager will begin a second five-year term as the EU competition commissioner. (See Article)

We are now over a year on from the major changes made to the European data protection regime by the GDPR so it is time to revisit what the changes mean now for the hospitality sector and investment in it, given increased enforcement activity by regulators, increasing technological complexities and compliance issues continuing up corporate agendas. The General Data Protection Regulation (“GDPR”) created a considerable stir in 2018, with much being written about its burdensome requirements and high fines. (See Article)

BREXIT - Please refer to the Markets and Markets Infrastructure section for an update regarding the made Over the Counter Derivatives, Central Counterparties and Trade Repositories (Amendment etc and Transitional Provision) (EU Exit) (No 2) Regulations 2019 and The Markets in Financial Instruments Exemption Directions 2019. Please see full article below for more information. (See Article)

On November 4, 2019, the European Commission’s (EC) Scientific Committee on Consumer Safety (SCCS) published an updated Guidance on the Safety Assessment of Nanomaterials in Cosmetics. The Guidance updates SCCS’s 2012 Guidance (SCCS/1484/12) on the safety assessment of nanomaterials in cosmetic products. (See Article)

Colleges and universities, like many other organizations, have incorporated automated data collection and predictive analytics into their business models and decision-making processes. (See Article)