Catherine Rogers, Stavros Brekoulakis, Costanza Russo
The commercial and business world is facing unprecedented regulatory change, in terms of the number, speed, nature and form of new initiatives, their complexity, and their interplay. Regulatory developments raise fundamental questions about the economics of business models, organisational strategy, and, more generally, the sustainability and expediency of the current market structures that they intend to regulate. They also raise important questions in relation to corporate attitudes, ethical duties and responsibilities for a more sustainable model of activities and greater engagement with society.
Such a complex and rapidly changing landscape poses a challenge for regulators, as markets have become increasingly difficult to govern. This exposes the limitations of current forms of regulation. It also calls for novel forms of governance but it is unclear how experimental governance can be actually implemented in a way that is consistent with the demands of the rule of law. These developments have stimulated growing demand for research to guide policy makers and business leaders in to identify key developments and trends that are likely to determine future legal and regulatory reform, to assess how these developments will affect the conduct of daily business, and to plan appropriate regulatory and business strategy in response.
Objectives and activities
The inter-relationship between commercial law, regulation and ethics is a new frontier for both law and regulation. The objective of the Institute for Regulation and Ethics will be to provide a focus for research on the legal, regulatory and ethical implications of market complexity and on the impact of regulatory reform on the regulatees and other stakeholders. It will actively involve regulators, governments, business, and the legal profession in its activities.
The mission of the Institute for Regulation and Ethics is to:
- inform policy at a high level, and as it is being written, through engagement with regulators, governments and other policy makers nationally, regionally and internationally;
- disseminate knowledge at an advanced level through publications, partnerships and events;
- bring business, the legal profession and regulatory specialists together with governments, regulators and other policy makers to debate key issues leading to improvements in the regulatory environment;
- combine excellence in teaching a new generation of regulation professionals and be at the forefront of legal scholarship and law reform.
As the leading postgraduate law school in Europe, the Centre for Commercial Law Studies is at the forefront of legal scholarship and law reform, influencing the development of commercial law in practice, and is an appropriate home for this Institute.
- Professor Catherine Rogers, Co-Director of the Institute for Regulation and Ethics
- Professor Stavros Brekoulakis, Co-Director of the Institute for Regulation and Ethics
- Dr Costanza Russo, Co-Director of the Institute for Regulation and Ethics
- Dr Kara Tan Bhala, Visiting Fellow, Jan 2015 - Jan 2017 (President and Founder, Seven Pillars Institute for Global Finance and Ethics)
- 4 May 2016 - Banking Conduct and Culture: A Call for Sustained and Comprehensive Reform
- 16 March 2015 - CCLS Open Lectures: Ethics in Business and Finance: Dr Andreas Koutras, ICTM, "Economic Crime: Bribes and Facilitation of Payments"
- 9 March 2015 - CCLS Open Lectures: Ethics in Business and Finance: Dr Miriam Goldby "Economic Crime: Money Laundering Prevention Requirements: Are They Effective"
- 23 February 2015 - CCLS Open Lectures: Ethics in Business and Finance: Philip Wood, Special Global Counsel Allen & Overy, "The Ethics of Money"
- 9 February 2015 - CCLS Open Lectures: Ethics in Business and Finance: Between Law and Markets: The Hon Justice William Blair, QC "Is There a Space for Ethics in Financial Regulation?"
- 2 February 2015 - CCLS Open Lectures: Ethics in Business and Finance: Dr Kara Tan Bhala "The Philosophical Foundations of Ethical Behaviour"
- 28 October 2014 - Professor Philip John Rawlings, Dr Andromachi Georgosouli and Dr Costanza Russo led a roundtable discussion, Regulation in Financial Services: Prevention, Prescription and Punishment, hosted by the EMEA Centre for Regulatory Strategy and CCLS at Deloitte, Hill House, London. Other contributors were Professor Julia Black (LSE) and Clifford Smout (Deloitte). Participants included colleagues from CCLS, Cass Business School, King's College London and University College London, senior compliance executives and general counsels from major banks, regulators from the Financial Conduct Authority and the Prudential Regulation Authority and senior solicitors.
- 11 September 2014 - Inaugural conference of the Institute for Regulation and Ethics 'The Future of Ethics in International Arbitration: The arguments for and against further regulation of arbitration counsel'
Speakers at the conference include well-known academics and arbitration experts, who will consider the need for additional prescriptions of ethical rules and codes of conduct for advocates conducting international arbitration.
- Keynote Speech by Sir David Walker delivered at the Institute for Regulation and Ethics conference on: 'Banking Conduct and Culture: A Call for Sustained and Comprehensive Reform. An appraisal of the G30 Report'
- Regulation of financial services: Aims and methods [PDF 36 KB]
Overarching themes in Regulation and Ethics
The scope of work of the Institute is to:
- Identify issues common to all forms of regulation;
- Consider how a regulatory body should be structured and “who” should be the regulator;
- Consider the benefits and disadvantages of self regulation;
- Examine what powers regulators should hold and their constraints;
- Consider who regulates the regulators;
- Examine ethical duties and responsibilities of corporations
- Examine ethical challenges of the legal profession in the 21st Century
- Bring together and exploit synergies between business, scholarly research and policy making, and have impact beyond the confines of academia;
- Be an active and influential forum for discussion attracting decision makers at the highest level;
- Examine the boundaries and overlaps between law and regulation.
Specialist themes in Regulation and Ethics
The Institute for Regulation and Ethics has an interdisciplinary nature transcending the existing CCLS specialist groups, to draw together existing expertise in:
- Banking and Finance
- Intellectual Property
- Legal Profession
- Media, Communications, and Information Technology
Task Force on Third-Party Funding in International Arbitration
In 2014, the Institute is co-hosting (with the International Council for Commercial Arbitration) a Task Force on Third-Party Funding in International Arbitration, with the participation of a wide range of stakeholders, including third-party funders, arbitrators, practising arbitration lawyers and barristers, governmental officers and academics.
Third Party Funding has been described as “the climate change in international arbitration.” Funder participation in international arbitration gives rise to a host of complex procedural, structural and ethical issues, such as security for costs, allocation of costs, potential tensions between funders, parties and counsel in managing the dispute, transparency and disclosure, confidentiality, attorney ethics, arbitrator conflicts of interest, and tribunal powers.
The joint ICCA-Queen Mary (Institute for Regulation and Ethics) Task Force on Third-Party Funding in International Arbitration was founded in 2014 to create a forum of discussion and debate where all stakeholders are represented and eventually to formulate and issue recommendations and guidance on all the above areas on TPF in arbitration.
The Task Force is co-Chaired by Professor Catherine Rogers, Professor William Park and Professor Stavros Brekoulakis and it is comprised of a diverse group of individuals who represent a wide spectrum of stakeholders, including arbitrators, arbitration lawyers, third party funders, governmental representatives and academics, from a range of jurisdictions.
The Task Force has been operating through several sub-committees, each of which has been commissioned to investigate and produce a report on a specific topic.
- Subcommittee on Costs lead by Professor Stavros Brekoulakis
- Subcommittee on Conflicts of Interests lead by Professors Victoria Shannon and Catherine Rogers
- Subcommittee on Definitions lead by Duarte Henriques
- Subcommittee on Investment Arbitration lead Anna-Jubin-Bret and Sabine Konrad
- Subcommittee on TPF Best Practices, lead by
- Subcommittee on Attorney-Client Privilege, lead by Nikolaus Pitkowitz and Ania Farren
The final work of the Task Force will be published in the form of Guidelines on Third-Party Funding in International Arbitration as a volume in the ICCA series. The publication of the Guidelines is expected by September 2016, and will also include chapters on the mechanics of how third-party funding operates and on definitions of third-party funding.
Download a full draft of the report here.
Law and Ethics in Finance Project
Dr Costanza Russo is the co-founder of a research project, the “Law and Ethics in Finance Project” that aims at investigating the possible pathways to change culture in the banking sector. Other members include senior judges and barristers.