Legal geographies of finance Editors' Introduction

Abstract

If'the'global'financial'industry'has'escaped'unchastened'from'the'2008'collapse'and' its'aftermath,'its'deep'entanglement'with'the'neoliberal'state'is'clearly'part'of'the' explanation.'CrisisVera'scholarship'has'tackled'the'stateVfinance'nexus'with'renewed' vigor'and'creativity'(e.g.,'Krippner,'2011),'building'on'previous'demonstrations'that' states'have'driven'and'been'enlisted'in'financialization'for'decades'(e.g.,'Arrighi,' 2010[1994]; 'Gowan,'1999;'Helleiner,'1994).'However,'scholars'have'only'begun'to' take'on'the'full'institutional'complexity'of'governance'today,'and'how'it'is'being' reshaped'around'finance'in'many'distinctive'ways.'This'theme'issue'argues'that'more'thoroughly'engaging'law'and'the'legal'is'particularly'crucial'to'developing'a' precise,'politically'powerful'understanding'of'the'state'and'its'role'in'producing' financial'geographies.''One'of'this'collection's'contributions'is'empirical:'the'papers''shared'focus'on' the'US'legal'system'provides'an'unusually'fineVgrained'lens'into'a'set'of'domestic' Knuth,'Sarah'and'Potts,'Shaina'(Forthcoming'2016)'"Legal'Geographies'of'Finance,"'Editors'' Introduction,'Theme'Issue:'Legal'Geographies'of'Finance,'Environment*and*Planning*A,' Expected'Publication'March/April'2016' ' ' 2' institutions'and'practices'that'wield'global'influence'(Maurer,'1995;'Riles,'2011).' Another'contribution'is'theoretical:'the'papers'combat'narrowly'mechanistic' understandings'of'government'regulation'and'other'legal'practices'as'merely' "restricting"'or'"unleashing"'financial'accumulation.'As'has'been'shown'perhaps'most'dramatically'in'relation'to'soVcalled'"offshore"'jurisdictions'(Maurer,'1997;' Palan'et'al.,'2010),'there'is'no'"outside"'the'legal'in'contemporary'capitalism.'All' financial'processes'are'constituted'in'and'through'differentiated,'overlapping,'often' competing'and'frequently'contradictory'geographies'of'legal'space.'Finally,'the'collection's'contribution'is,'inevitably,'political.'PraxisVoriented'understandings'of'relationships'among'law,'states,'space'and'finance'require'both'situating'the'legal'in' relation'to'larger'theories'of'capitalist'development'and'excavating'the'role'of'law'in' particular'financial'practices.'Notably,'the'precision'of'the'papers'in'this'issue'illuminates'how'highly'technical'and'placeVspecific'legal'practices'have'engendered' financial'structures'that'can'"travel"'and'transform'financial'systems'elsewhere.'In'doing'so,'they'also'suggest'nodes'and'methods'for'resisting'the'growing'power'of' finance.'The'current'collection'engages'a'stillVemerging 'but'vital'body'of'work'on'law' and'finance'in'critical'geography.'For'example,'Christophers'(2014)'has'shown'in'the'context'of'US'antiVtrust'law'how'the'law'both'defines'and'enacts'the'borders'of' particular'markets.'Barkan'(2013)'has'examined'the'law's'role'in'"territorializing'space"'in'the'context'of'multinational'corporations'and'economic'globalization.' Pollard'and'Samers'(2007)'have'considered'how'Shari'a*law'has'influenced' Knuth,'Sarah'and'Potts,'Shaina'(Forthcoming'2016)'"Legal'Geographies'of'Finance,"'Editors'' Introduction,'Theme'Issue:'Legal'Geographies'of'Finance,'Environment*and*Planning*A,' Expected'Publication'March/April'2016' ' ' 3' expanding'geographies'of'Islamic'finance.'Blomley's'(e.g.,'1994)'work'on'law'and' property,'while'not'explicitly'situated'in'financial*geography,'has'been'foundational' as'the'authors'examine'financial'institutions''attempts'to'define'and'exploit'new' forms'of'property.'More'broadly,'this'issue'speaks'to'generative'convergences'among'financial'geography'(e.g.'Christopherson'et'al.,'2013;'French'et'al.,'2009;'Lee'et'al.,'2009),'critical'legal'studies'(Blandy'and'Sibley,'2010;'Valverde,'2009),'and'the'social'studies'of'finance'(e.g.'Callon'et'al.,'2007;'MacKenzie,'2006).'Like'much'of'this' literature,'the'papers'here'focus'on'processes'and'strategies'of'financial'market' (re)production'-'with,'however,'a'more'pronounced'emphasis'on'concrete' configurations'of'finance,'space,'power'and'law.'In'doing'so,'we'aim'to'respond'to'calls'for'greater'attention'to'the'technicalities'of'law'from'critical'geography' (Barkan,'2011)'and'from'critical'legal'studies'(Riles,'2005).' ' Common*Context:*Financializing*a*Common*Law*System' Articulating'a'program'of'research'that'can'bring'together'critical'scholars'working' on'law'in'different'geographical'contexts'is'an'ongoing'challenge.'Beyond'the' general'difficulties'of'uniting'scholars'working'in'the'Global'North'and'Global'South,' turning'to'law'means'confronting'multiple'legal'"zones."'Common'law,'civil'law, 1 'and'religious'law'systems'operate'according'to'different'rules'and'produce'distinct' '''''''''''''''''''''''''''''''''''''''''''''''''''''''' 1 'Based'on'set'legal'codes 'and'distinct'from'"civil'law"'used'elsewhere'in'this'collection,'which'refers' to'common'law'systems''division'of'law'into'civil'and'criminal'spheres.'In'practice,'many'countries'have'hybrid'legal'systems'draw'on'multiple'"types"'at'once.' ' Knuth,'Sarah'and'Potts,'Shaina'(Forthcoming'2016)'"Legal'Geographies'of'Finance,"'Editors'' Introduction,'Theme'Issue:'Legal'Geographies'of'Finance,'Environment*and*Planning*A,' Expected'Publication'March/April'2016' ' ' 4' geographies.'While,'therefore,'necessarily'partial,'this'collection's'focus'on'the' United'States'has'two'key'benefits.'First,'it'allows'the'papers'to'collectively' contribute'to'a'concrete'understanding'of'legal'processes'in'one'national'context.' Second,'just'as'the'United'States'has'pushed'neoliberal'policies'and'financialization' worldwide,'US'law'has'increasingly'shaped'the'laws'of'other'states'around'the'globe' (Dezalay'and'Garth,'1995),'and'is'thus'particularly'important'for'understanding'global'capitalism.'The'US's'highly 'complex'structure'of'law'and'government'also'demonstrates' forcefully'the'interpretive'advantage'of'a'precise,'processual'approach'that'attends' to'the'dialectical'relationships'between'structures'and'their'transformation.'Like'(and'with)'neoliberalization'(Peck'and'Tickell,'2002)'financialization'has'not' destroyed,'but'rather'reworked'stateVfinance'relationships,'in'ways'that'have' increased'the'latter's'size,'power,'reach'and'status'as'a'governmental'object.'Understanding'how'these'relationships'have'changed'requires'embedded,' contextual'investigation.'As'a'common'law'system'with'a'federal'political'structure,' US'governance'requires'an'oftenVuneasy'interplay'between'an'accretionary,'selfV referencing'and'backwardVlooking'body'of'case'law'and'precedent,'and'a'political' structure'that'distributes'legislative'power'among'federal,'state'and'local'bodies.'The'shared'US'context'also 'raises'more'general'theoretical'arguments'about,' for'example,'what'exactly'constitutes'"the'legal."'The'authors'take'seriously'the'relative'autonomy'of'legal,'political'and'economic'processes'-'in'common'law' Knuth,'Sarah'and'Potts,'Shaina'(Forthcoming'2016)'"Legal'Geographies'of'Finance,"'Editors'' Introduction,'Theme'Issue:'Legal'Geographies'of'Finance,'Environment*and*Planning*A,' Expected'Publication'March/April'2016' ' ' 5' systems'and'beyond'-'and'the'idea'that'law'cannot'simply'be'reduced'to'the'means' by'which'states'justify'and'bolster'contemporary'capitalism'and'the'status'quo.' Rather,'legal'processes'have'their'own'distinctive'temporalities,'discursive' formations,'cultural'practices'and'internal'struggles.'At'the'same'time,'legal'and' economic'processes'undoubtedly'inflect'one'another.'A'history'of'economic'upheaval'and'change'has'rendered'US'governance'even'more'complex'than'when'it' started,'including'through'transformations'in'civil'law'realms'of'particular' importance'for'finance'such'as'contract'and'property'law.'Finally,'relationships'among'legal'practices'of'various'kinds'are'far'from'simple.'The'papers'in'this'collection'address'a'range'of'types,'from'legislation'and'policy'to'contracts,'case'law,' property'rights'and'litigation.' Within'the'issue,'Teresa'explores'both'sides'of'a'conflict'now'raging'in'New' York'City'housing:'private'equity'firms''speculative'manipulation'of'rent'regulation,' and'community'organizations''creative'deployment'of'legal'tools'in'response.' Christophers'and'Niedt'investigate'why'a'Bay'Area'municipal'government'proposal' to'use'eminent'domain'to'rescue'mortgages'left'"underwater"'after'2008'provoked' a'major'legal'challenge'from'powerful'financiers,'and'explore'its'broader' significance'as'a'struggle'for'jurisdictional'control'over'financial'value'and'risk.'Kay'documents'how'the'US'tax'code,'federal'and'state'legislation,'and'traditional' interpretations'of'property'law'have'been'altered'to'allow'conservation'easements:' a'privatized'mechanism'for'protecting'periVurban'land'from'development'and,' increasingly,'for'speculating'on'new'kinds'of'"green"'value.'And'Potts'shows'how'US'Knuth,'Sarah'and