[Ethics] more strict less stric Q

Hi all, just started studying level 2 today and i’ve got a bit of a refresher Q (maybe this belongs in level 1 forum? i dunno). hypothetically; Member resides in No securities laws country, does business in Less strict securities laws country, client resides in More strict securities country. which law applies? ___ basically i would like to know if the client’s country’s laws matters at all if not specifically referred to by either the member’s/candidate’s residence or business country. thanks!

I think they would have to add another qualifier. For example MS applies but states that the country where business is conducted governs. Under that condition it would be the Code and Standards.

I would think that if he’s doing business for that client he’d had to follow the more strict law

appreciate the input guys! I purposely put “…client resides in More strict securities country.” to illustrate my Q of whether or not client country’s laws matters. personally i am thinking it doesn’t so then the less strict laws of the country where business is done applies with Code & Standards governing duties only way i think client’s country laws matter is when a member/candidate is in a fiduciary relationship and thus have to be aware and follow any laws that such a relation might entail coming from the client’s country. (this would then become Standard III A - Loyalty, Prudence, and Care and not just standard Standard I A - Knowledge of the Laws) what do you think? does this sound right?

I’d say more strict Say I’m the client (American), the member is from Somalia (Don’t think they have many laws there… at least they don’t enforce them), and he helps me engage in insider trading in Turkmenistan. Isn’t he being unethical by helping me break my own country’s laws?