Course requirements
Master degree in Law. This course is part of the Advanced Master Law and Finance.
More information: https://www.universiteitleiden.nl/en/education/study-programmes/master/law-and-finance
Course information
This course is one of the two core courses of the curriculum. It focuses on the transactions concluded by banks and other financial institutions that are mainly aimed at providing finance. The course will start with an introduction to private international law, i.e. conflict of laws regimes, for the question which law applies to a certain transaction is of paramount importance in any international transaction. Subsequently, various categories of transactions will be discussed. These transactions will first be introduced with structure charts and their underlying (economic) rationale, after which their legal complexities will be dissected. Transactions so analysed will include loan finance, securitisations (i.e. structured finance), derivatives and repurchase agreements (i.e. collateralised finance). Always, attention will be paid to insolvency law, for insolvency law is the background scenario of any solid transaction analysis. Additionally, because the shape financial transactions take often is influenced by tax considerations, attention will be paid to the most relevant (international) tax issues that play a role in international finance.
Course learning objectives
The objective of this course is to provide thorough knowledge and insight in the most important financial transactions that are concluded by banks and other financial institutions that are mainly aimed at providing finance.
Students obtain an overview knowledge and understanding of how banks and other financial institutions provide finance;
More specifically, students obtain knowledge and understanding of how to determine which law applies to a certain transaction, and which court would be competent to decide on proceedings following such transaction;
Students obtain knowledge and understanding of the (economic) rationale and structuring of the most important categories of transactions that are concluded on the (international) financial markets;
Students are able to critically analyse different categories of financial transactions;
Students are able to critically analyse the rules applicable to those transactions, including conflict of laws rules, private and insolvency law rules, as well as tax law rules, and are able to apply those rules to a concrete transaction.
Mode of instruction
Lectures
Number of (2 hour) lectures: 10
Names of lecturers: Prof. Dr. Matthias Haentjens; Prof. Dr. Rogier Raas; Prof. Dr. Pim Rank, Prof. T. Bender
Required preparation by students: reading of prescribed materials
Seminars
Number of (2 hour) seminars: 10
Names of instructors: Prof. Dr. Matthias Haentjens; Prof. Dr. Rogier Raas; Prof. Dr. Pim Rank, Prof. T. Bender
Required preparations by students: reading of prescribed materials, preparation of case studies and any other assignments. A student can not be absent from the seminars.
Course Load
Week 1 – Introduction to international financial transactions, conflict of laws
Week 2 – Conflict of laws (cont’d)
Week 3 – Bank finance – syndicated loans (LMA)
Week 4 – Bank finance – security interests
Week 5 – Securitisation and Covered Bonds
Week 6 – Repurchase Agreements and Securities Lending
Week 7 – Derivatives
Week 8 – Money transfers and cash pooling
Week 9 – Corporate Income Tax and International Tax relevant for financial transactions
Week 10 –Tax (cont’d)
Examination method
- Written exam: 100%
Areas to be tested within the exam
The examination syllabus consist of the required reading (literature) for the course, the course information guide and the subjects taught in the lectures, the seminars and all othere instructions wich are part of the course.
The final grade, on the scale from 1(poor) to 10 (excellent), for the course is established by determining the weighted average and rounded to full grades. Grade 6 (5.5 rounded) is a pass.
The opportunity exists to re-take the exam. Further information will be communicated through Blackboard.
Blackboard
More information on this course is offered in Blackboard.
Course materials
Ph. Wood, Law and Practice of International Finance, Sweet & Maxwell 2008 (reprint 2011) Bamford, Principles of International Financial Law (2nd ed. 2015).
Course reader is available to be downloaded from Blackboard.
Additional literature will be made available to students through Blackboard.
Contact
Course Coordinator:
Prof.mr.drs. M. Haentjens
Email address: m.haentjens@law.leidenuniv.nl
Programme Coordinator:
Ms. Orsolya Kalsbeek-Bagdi
Email address: lawandfinance@law.leidenuniv.nl