Regola di adeguatezza e validità del contratto

This paper analyses the suitability rule (Article 19(4) and (5) of Directive 2004/39, MiFID) as a tool to protect retail investors and in the scope of Italian contract law. After a brief enquiry on the evolution of the financial regulation and a short description of the history of the rule, it describes the current scenario. Even if, for the first time, the suitability doctrine has a European source, the MiFID does not address which remedies a retail investor can seek in court based on the violation of suitability rule and, as a consequence, each European Country has developed its own solution. At least under Italian legal system, a recommendation unsuitable is to be considered as a void contract due to illegal consideration. Therefore, suitability rule does not belong any more to the fiduciary paradigm (disclose or abstain). Nowadays it falls under contract law. A violation of the suitability rule shall invalidate the transaction.