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. After completion of the course,
Students obtain an overall perspective 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 resolve disputes involving such a 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 & seminars
Number of (2 hour) lectures & seminars: 20
Names of lecturers: Prof. Dr. Matthias Haentjens; Prof. Dr. Rogier Raas; Prof. Dr. Pim Rank; Ilya Kokorin LLM; Ross Spence LLM; Prof. Tanja Bender.
Required preparations by students: reading of prescribed materials, preparation of case studies and any other assignments.
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 assignment: 30%
Final exam: 70%
The final grade, on the scale from 1 (poor) to 10 (outstanding), for the course is established by determining the weighted average of the written assignment and the final exam and rounded to full grades. Grade 6 (5.5 rounded) is a pass.
The written assignment will consist of a practical assignment on one of the topics discussed in the course.
The final exam will cover the material delivered during the lectures and the seminars.
Further information about the written assignment and the exam will be communicated to students through Blackboard closer to the respective due date and exam date.
Blackboard
Course reader and additional literature is distributed through Blackboard.
Submission of written assignment via Blackboard using safe assignment.
Course materials
M. Haentjens & P. de Gioia-Carabellese, European Banking and Financial Law, London: Routledge 2014.
Ph. Wood, Law and Practice of International Finance, Sweet & Maxwell 2008 (or the reprint 2011).
M. Bodan, Concise Introduction to EU Private International Law, 3d. ed., Europa Law Publishing, 2016.
As well as articles and papers specifically assigned per week as set out in the course reader or Blackboard.
Course reader is available to be downloaded from Blackboard.
Contact
Course Coordinator:
Ilya Kokorin LLM
Email address: i.kokorin@law.leidenuniv.nl
Programme Coordinator:
Ms. Orsolya Kalsbeek-Bagdi
Email address: lawandfinance@law.leidenuniv.nl