On 9 January 2017 Italy’s financial regulator (CONSOB) established a new body called the Arbitration for Financial Disputes.
Disputes up to €500k can now be submitted to it, and all submitted disputes will aim to be resolved within 6 months.
The new body has been established to create a fast and low cost method to resolve financial disputes that take place in Milan.
The measure was advocated by Select Milano as part of a programme of reforms to make Milan an attractive location for businesses which will need to relocate out of London as a result of Brexit.
Commenting on the development Bepi Pezzulli, Chairman of Select Milano said: “This is another step in the right direction to make Italy more competitive and business friendly. By creating this arbitration body, Milan is offering institutions based in Milan the ability to access quick and efficient dispute resolution and a legal and judicial ecosystem similar to the one in London. Combined with the other reforms we have helped achieve, Milan is now one of the most attractive locations for businesses in Europe”
In addition to the establishment of Arbitration for Financial Disputes, other Select Milano proposals that have resulted in legislation include reforms to the “brain redux” law, amendments to capital gains tax and the creation of the European Economic Interest Grouping (EEIG).
Bepi Pezzulli added, “We are in active dialogue with institutions considering where to locate parts of their business which may need to move as a result of Brexit. Milan is a natural home for Euroclearing given the existing market infrastructure in place and we hope to see further progress in these discussions over the coming months.”