Insights

Investment Services & Funds

The Malta Financial Services Authority launches a Discussion Paper on Initial Coin Offerings, Virtual Currencies and Related Service Providers

Following the publication of the European Securities and Markets Authority's statements highlighting the risks posed by Initial Coin Offerings ("ICOs") to investors and investment firms, the Malta Financial Services Authority (the "MFSA"), Malta's single regulator for the financial services industry, has issued a highly awaited discussion paper outlining the local regulatory approach to be taken in connection with ICOs, virtual currencies and market participants operating within the sector.The launch of the discussion paper brings Malta one step closer to the implementation of a framework which would lay to rest the regulatory limbo characterising the field to date and in turn…

Luigi Farrugia4th December 2017

Litigation & Dispute Resolution

The Maintenance of Roofs, Floors & Ceilings under Maltese Law

This article was written by Dr. Stephen Muscat & Dr.Mark Soler. The Issue:-The continuous urbanization and gentrification of the Maltese landscape has augmented the importance of maintaining well-regulated neighbourly relations among residents living in densely populated areas of the Island. A common dispute which arises among the owners of units situated within a condominium concerns the maintenance of certain common parts, particularly:1. The corresponding floors and ceilings which run horizontally between two private units within the condominium, separating them vertically; and 2. The roof of a condominium which runs horizontally between the uppermost privately-owned unit and the upper surface of the building…

Stephen Muscat30th November 2017

Telecoms, Media & Technology

Cryptocurrencies in Malta – A Legal Perspective

Explaining CryptocurrenciesCryptocurrencies (also referred to as virtual currencies) are a form of digital currency which utilise encryption techniques for security. The same cryptography techniques are used in order to verify transactions involving virtual coins, and further coins are generated using complex mathematical algorithms in a process termed 'mining'. These digital instruments are increasingly being used to pay for goods and services, and such transactions are facilitated via the blockchain platform; peer-to-peer technology which ensures transparency and accountability. At present, the most traded cryptocurrencies are Bitcoin and Ethereum, however a host of other coins are also in circulation.Cryptocurrency vs Traditional CurrencyVirtual currencies…

MamoTCV27th November 2017

Employment and Industrial Relations

Limiting post-termination of employment restraints?

In a Court of Appeal judgment dated the 27th October 2017, in the names of Paul u martu Mariella Mizzi kif ezercenti l-kummerc that l-isem "The Foto Grafer" v David Serracino et, the court considered a clause in a contract which effectively bound an employee to his employer for a period of at least two years of employment, failing which the employee was liable to pay to the employer the sum of Lm10,000. This sum was to be repaid back in view of the investment made by the employer to train the employee for the initial two years and in…

Christine Calleja22nd November 2017

Investment Services & Funds

The Malta Financial Services Authority launches a Consultation Document aimed at regulating Collective Investment Schemes investing in Virtual Currencies

The Malta Financial Services Authority (the "MFSA"), Malta's single regulator for the financial services industry, has published a consultation document through which it has formally kick-started the process for the regulation of collective investment schemes having as their investment objective the investment in virtual currencies.The launch of the consultation document foreshadows the regulatory approach to be adopted by the MFSA in relation to this specific faction of the digital economy, and, simultaneously, offers market participants the potential to design a platform tailor made for certain categories of investors willing to invest in virtual currencies.In terms of the draft rulebook issued…

Katya Tua17th November 2017

Employment and Industrial Relations

€350,000 in damages for breaching fiduciary obligations

In the recent judgment of M.A.I.N. Services Limited et v Albert Galea et (case 1246/07 JZM) delivered on the 28th September 2017, the Court examined in quite extensive detail the nature and the effects of fiduciary duties.The defendant had been a director and a trusted employee of the plaintiff company. Following his resignation from the company, a major foreign supplier ceased its business relationship with the company and started doing business with the defendant. In its judgment, the Court deemed that even following his resignation from the company as employee and director, the defendant had remained a fiduciary of the…

Christine Calleja27th October 2017