Consumer Protection Through Soft Law in an Era of Global Financial Crisis

The global financial crisis triggered a vast number of new laws and regulations at international level, including initiatives that can be classified as "soft law". The legitimacy and efficacy of these new norms are subject to intensive academic and political debates. At the same time, soft law is changing its role and is gaining new importance. The article looks at the adapted legal environment in financial markets from a consumer protection angle.At first glance, soft law does not seem to provide for adequate measures protecting depositors and investors. Financial consumer protection requires enforceable regulation, but soft law, by its very nature, does not encompass this feature. Nonetheless, soft law should not be construed as having no importance with regard to financial consumer protection. The article suggests that soft law does have important protective potential, both in terms of the mechanisms that it provides, as well as in terms of its substantive content