Innovation Practice - Fintech Team- IoT/AI Team

Atsumi & Sakai

ATSUMI & SAKAITOKYO | LONDON | FRANKFURT

www.aplaw.jp

Atsumi & SakaiIntroduction

Innovation Practice Group

With the rapid advance and development of technologies such as internet of things (IoT), big data, artificial intelligence (AI), analytics and communications, and the expansion of their application across all business fields, legislators frequently have trouble keeping up with the pace of change, and laws which were framed for earlier circumstances may have unintended consequences as a result of these developments, whilst in other cases laws designed to regulate certain industries or business sectors may need to be interpreted and applied in light of the changing face of technology.

Atsumi & Sakai keeps abreast of these changes, and assists clients with the novel legal issues arising from them through our Innovation Practice Group which combines lawyers experienced in the fields of law relevant to this rapidly changing world.

Atsumi & Sakai strives to provide high-quality and cost-effective services and solutions to support start-up companies, and offers a flexible alternative fee arrangement tailored to meet specific needs, goals and the nature of each client company.

The firm also provides matching services, assisting a leading company or a venture capital firm to find a start-up company, and supports industry-government-academia partnerships.

Lauched in October 2015

Atsumi & SakaiOur teams

Innovation Practice Group

Fintech Team

IoT/AI Team

The application of new technologies has been particularly felt in the finance and insurance industries. The Fintech Team assists financial institutions, startups and IT vendors in providing legal support for technical innovation in those industries and its application to laws such as those governing banking, payment, asset management, insurance, AML/CFT, etc.

Another, and important movement in Japan relates to IoT and AI. The IoT/AI Team provides services tomanufacturers, startups and IT vendors in relation to, among other things, contracts, regulatory matters,data protection, privacy, cybersecurity and IPs.

Atsumi & SakaiWe support innovation ecosystem - 1

Lawyers of the Innovation Practice Group are supporting the following governmental agencies, industrial groups and academics. These activities are conducted to create an efficient ecosystem for innovative businesses led by new technologies in various industries.

・Subcommittee member of the "Conference toward AI Network Society" of the Ministry of Internal Affairs and Communications ・Member of the “Unfair Competition Prevention Draft Guideline Formulation Working Group” , Ministry of Economy, Trade and Industry ・Committee member in “Council on remote home health care utilizing high definition video technology” for the Ministry of Internal Affairs and Communications (Dec.2017-Mar.2018)・ Member of the “Committee to Discuss Legal System for Blockchain” , “Field of Medicine, Nursing Care and Healthcare” , “Field of Logistics, Supply Chain and Mobility” , and Committee on “Cross-sectoral Theme” of the Ministry of Economy, Trade and Industry (Dec.2017-Mar.2018)・Member of the "Guidelines Review Committee for Medical Treatment with Information and Communication Equipment", the Ministry of Health, Labour and Welfare (as a board member of the Japan Medical Venture Association) ・Member of the “Meeting to Discuss the Attraction of Foreign Financial Companies to Tokyo” led by the Tokyo Metropolitan Government・Observer of the “Meeting to Discuss Establishment of the Financial Promotion Consortium” led by the Tokyo Metropolitan Government・Member of “The Coming Ultra-Smart Society through Negotiation, Cooperation and Coordination Between AI Systems” , a project run by the Council on Competitiveness - Nippon (COCN) ・Member of the study group "Innovation and Laws"・Multi-stakeholder process member of the revised "JIPDEC Privacy Policy" formulated by Japan Information Processing Development Center (JIPDEC)・ Representative of the “Working Group on the Operation and Law for the Development Meeting on Guidelines for Remote Psychiatric Practice” of the Japanese Initiative for Diagnosis and Treatment Evaluation Research in Telepsychiatry (J-INTEREST) ・Member of the committee of “International Organization for Standardization and Technical Committee” (as secretarial general of the subcommittee of the Fintech Association of Japan) ・Member of the “Open API promotion study group” , the Japanese Bankers Association ・Board member of the “ISO/TC 307 Japanese National Committee”

Governmental Agencies, etc.

・Secretariat of the Fintech Association of Japan・Legal advisor of the Japan Blockchain Association ・Mentor of the Finnovators ・Board member of the Japan Medical Venture Association ・Board member of the Japan Association for financial APIs ・Auditor for the Data Trading Alliance (DTA) ・Board member of the AI Business Creation Association ・Advisor of the MUFG Digital Accelerator Program ・Advisor of the Incubation & Innovation Initiative (III), a consortium comprising of Sumitomo Mitsui Banking Corporation, Toyota, NEC and Japan Research Institution ・Advisor of the Cyber Finance Lab in the Digital Hollywood University ・Leader of the AI and the Law Committee of Keio University Fine Consortium

Industrial groups, academics, etc.

Atsumi & SakaiWe support innovation ecosystem - 2

Lawyers of the Innovation Practice Group are supporting the following governmental agencies, industrial groups and academics. These activities are conducted to create an efficient ecosystem for innovative businesses led by new technologies in various industries.

Atsumi & SakaiConsultation with authorities

Innovative business schemes often require consultation with governmental authorities. Atsumi & Sakai assists foreign clients in meetings with governmental authorities to consult not only on the application of laws and regulations but we also provide advice regarding the Regulatory Sandbox Scheme which was newly introduced in Japan. In particular, we assist foreign financial businesses to utilize the Financial One-Stop Support Service offered by the Tokyo Metropolitan Government and visiting the Financial Market Entry Consultation Desk of the Financial Services Agency.

TokyoMetropolitanGovernment

FinancialServicesAgency

Joint consultation

Foreign financial business operator

Atsumi & SakaiOur comprehensive legal solutions

Working together to provide the best service to the clients

TECHNOLOGY FOCUS・Artificial intelligence

・IoT and big data

・Blockchain / DLT

・API

・Self-driving vehicles

・Drones

INDUSTRY FOCUS・ Financial Services・Insurance・Healthcare & Life Science・Real Estate・ Agriculture・ Electronic Gaming・ Internet・ MaaS (Mobility-as-a-Service)・ Mobile・ Sharing Economy

LEGAL PRACTICE AREAS・Data Privacy and Security・ Intellectual Property・ Corporate・Start-ups and Venture Capital・Mergers & Acquisitions・Capital Markets・ Dispute Resolution・Employment・ Competition

Atsumi & SakaiSelect Publications

“RegTech as the Key to Promoting Compliance Management,” Watashi No Koso No.35, Nippon Institute for Research Advancement (April, 2018)[Author] Masataka Hayakawa

“Research Study on Recent Trends of Data Protection Acts in Other Countries,” Personal Information Protection Commission (2018)[Co-author] Takafumi Ochiai / Hiroyuki Sanbe / Yuri Suzuki / Fumiaki Matsuoka / Kohei Murakawa

The Intellectual Property Review - Seventh Edition, Japan Chapter, Law Business Research Ltd (2018)[Co-author] Takafumi Ochiai

“Firm but fair,” ASIA FINTECH SPECIAL FOCUS-JAPAN, IFLR May 2018, IFLR (2018)[Co-author] Takafumi Ochiai / Yuri Suzuki

Final Report entitled “Negotiation, Cooperation and Coordination Between AI Systems,” as a member of a project by the Council on Competitiveness - Nippon (COCN) (February, 2018)[Co-author] Takafumi Ochiai / Hiroyuki Sanbe

“Open Banking in Japan,” Payments & Fintech Lawyer Volume 12, Issue, Cecile Park Media (2018)[Co-author] Naoki Kanehisa / Kenichi Tanizaki

“Proposals of the Study Group on “Innovation and Law” , “The 16th Investment, etc. Working Group of the Cabinet Office’ s Regulatory Reform Promotion Council (as a member of the same study group) (2018)[Co-author] Takafumi Ochiai / Yuri Suzuki

“Issues to be Overcome by Japan towards Further Data Utilization: Boosting Policy in Action - Momentum to Promote Utilization,” Weekly Financial Affairs No.3272, Kinzai Institute for Financial Affairs (2018)[Author] Takafumi Ochiai

“Innovation of the Fourth Industrial Revolution and Medical Systems,” at the event entitled “Precision Medicine Roadshow,”hosted by the World Economic Forum Centre for the Fourth Industrial Revolution Japan, August 6, 2018 (Takafumi Ochiai)

“Real Estate Technology Seminar: Association Outline Announcement and Overseas Real Estate Technology – The Second Seminar to Establish The Real Estate Tech Association for Japan!,”hosted by The Real Estate Tech Association for Japan, July 10, 2018*Panel discussion entitled “Association Outline Announcement and Announcement of the Director at the Time of Establishment” (Takafumi Ochiai)

“Personal Information Protection Systems in Countries Outside Japan – From Recent Trends to the Statuses in Emerging Countries,”hosted by Atsumi & Sakai and Japan Institute for Overseas Investment (JOI), June 15, 2018 (Ryuichi Nozaki / Takafumi Ochiai / Yuri Suzuki / Fumiaki Matsuoka)

“Current Banking API in Japan,” at the event entitled “Japan / UK Open Banking and APIs Summit 2018,”hosted by FinTech Labs.io, July 25, 2018 (Takafumi Ochiai)

“AI-Related Business: Key Knowledge, Legal and IP Points,”hosted by the Business Research Institute, March 14, 2018 (Masataka Hayakawa)

“Outline of Possible Measures on Legal Issues and Risks Affecting AI: Based on Certain Assumed Cases considering Discussion in Japan and Abroad,”hosted by Japan Electronics and Information Technology Industries Association, June 26, 2018 (Hiroyuki Sanbe)

“2017 2nd Joint Conference by the AI Network Laws and Policies Study Group and the Information and Communication Economic Laws Study Group,”hosted by The Japan Society of Information and Communication Research’ s (JSICR), March 23, 2018*Report entitled “Matters yet to be studied in relation to AI – Based on matters learned in practice regarding domestic and international trends on AI”*Panel discussion entitled “Suggestions gained from trends of laws and policies concerning AI networking” (Hiroyuki Sanbe / Takafumi Ochiai)

“[FINTECH 2018] A sequence of Crypto currency: Truth & Fiction,”hosted by the Korea Financial Times, April 24, 2018*Speaker at a session entitled “Analysis of Japan's Crypto currency market and Policy direction of the Japanese Government” (Yuri Suzuki)

“Regulations on Cross-Border Data Transfers in the EU, North America, & East Asia: Trends and Compliance Required of Companies,”at a seminar entitled “Cross-Border Personal Information Transfer Seminar – Specific Approach for Global Businesses,”hosted by Japan Information Processing Development Center (JIPDEC), co-hosted by Atsumi & Sakai and KPMG FAS Co., Ltd., March 13, 2018 (Takafumi Ochiai)

Atsumi & SakaiSelect Speaking Engagements

Atsumi & SakaiCore members

Yuri SuzukiPartner

Masataka HayakawaPartner

Hiroyuki SanbePartner

Ryuichi NozakiPartner

Tel: +81 (3) 5501 1184E-mail: yuri.suzuki@aplaw.jp

Tel: +81 (3) 5501 1152E-mail: masataka.hayakawa@aplaw.jp

Tel: +81 (3) 5501 2276E-mail: hiroyuki.sanbe@aplaw.jp

Tel: +81 (3) 5501 2138E-mail: ryuichi.nozaki@aplaw.jp

・Trustee of Japan Institute of Life Insurance・Member of the Individual-type Pension Policy Formulation ・Committee of the National Pension Fund Association・Legal adviser of the Japan Blockchain Association

・The Japanese Society for Artificial Intelligence・Board member of the AI Business Creation Association ・Patent Attorney (Registered on September 7, 2016)

・Member of a project run by the Council on Competitive-ness-Nippon (COCN) entitled “The Coming Ultra-Smart Society through Negotiation, Cooperation and Coordination Between AI Systems” ・Member of the subcommittee on AI R&D Principles of the "Conference toward AI Network Society" of the Ministry of Internal Affairs and Communications

Practice Areas: M&A, Capital Markets, Financial Services & Regulations,Data Protection & Security

Practice Areas: Data Protection & Security, Financial Services & Regulations, Commercial, Foreign Direct Investment

Practice Areas: Financial Services & Regulations, Foreign Direct Investment

Practice Areas: Data Protection & Security, Risk Management, Intellectual Property

Takafumi OchiaiPartner

Tel: +81 (3) 5501 2361E-mail: takafumi.ochiai@aplaw.jp

・Legal adviser of the Japan Blockchain Association ・Member of the “Committee to Discuss Legal System for Blockchain” of Ministry of Economy, Trade and Industry・Board member of the Japan Association for financial APIs ・Member of the "Guidelines Review Committee for Medical Treatment with Information and Communication Equipment", the Ministry of Health, Labour and Welfare (as a board member of the Japan Medical Venture Association) ・Leader of Keio University Fine Consortium's "AI and the Law" committee

Practice Areas: Data Protection & Security, Healthcare & Life Science, Financial Services & Regulations

Naoki KanehisaPartner

Tel: +44 (0) 203 696 6540Mobile: +44 (0) 75 4899 7865E-mail: naoki.kanehisa@aplaw.jp

Practice Areas: Financial Services & Regulations, Banking & Finance, M&A, Commercial, Foreign Direct Investment

TOKYO OFFICE LONDON OFFICE

Innovation Practice Inquiries:innovpgmanagers@aplaw.jp

Atsumi & SakaiContacting us - Tokyo Head Office

Atsumi & Sakai Address:　Fukoku Seimei Bldg. (Reception: 16F) 2-2-2 Uchisaiwaicho, Chiyoda-ku, Tokyo 100-0011 Japan Tel: +81-(0)3-5501-2111　Fax: +81-(0)3-5501-2211　E-mail: innovpgmanagers@aplaw.jp

Access: Train Shimbashi Station (Yamanote Line and Keihin Tohoku Line) - 6 minutes walk from the Hibiya Exit Subway Uchisaiwaicho Station (Toei Mita Line) - Directly connected via Exit #A6 Kasumigaseki Station (Chiyoda Line and Hibiya Line) - 3 minutes walk from Exit #C4 Kasumigaseki Station (Marunouchi Line) - 5 minutes walk from Exit #B2

（Fukoku Seimei Bldg.）

Tokyo High Court

Bar Association Hall

Hibiya Public Hall

Kasumigaseki Sta.Marunouchi Line

Kasumigaseki Sta.Chiyoda Line and Hibiya Line

Ministry of Justice

Toranomon Sta.Ginza Line

Uchisaiwaicho Sta.Toei Mita Line

Shimbashi Sta.Ginza Line

Yurakucho Sta.JR Line

Shimbashi Sta.JR Line

Mitsui Sumitomo Bank

Hibiya Park

Imperial Hotel

Mizuho BankMinistry of Agriculture, Forestry, and Fisheries

Hibiya D

ori Avenue

ATSUMI & SAKAITOKYO | LONDON | FRANKFURT

www.aplaw.jp/en

Atsumi & Sakai

LEGAL NOTICES

1. ABOUT ATSUMI & SAKAI Atsumi & Sakai is a group of Atsumi & Sakai Legal Professional Corporation, a corporation organized under the Attorney Act of Japan, which forms foreign law joint ventures under the Act on Special Measures Concerning the Handling of Legal Services by Foreign Lawyers with certain registered foreign lawyers at our firm, and lawyers of a Japanese Civil Code partnership (represented by Yutaka Sakai, a lawyer admitted in Japan). We also form a foreign law joint venture with Markus Janssen, a foreign lawyer registered in Japan to advise on the law of the Federal Republic of Germany, heading Janssen Foreign Law Office. In addition to lawyers admitted in Japan (including Japanese lawyers also admitted in England and Wales and the Republic of the Marshall Islands), our firm includes foreign lawyers registered in Japan to advise on the laws of the US States of New York and California, the People’ s Republic of China, Taiwan, India, and the State of Queensland, Australia. Foreign lawyers registered in Japan to advise on state laws are also qualified to advise on federal laws of their respective countries.

Atsumi & Sakai Legal Professional Corporation also wholly-owns a subsidiary, Atsumi & Sakai Europe Limited (a company incorporated in England and Wales (No: 09389892); sole director Naoki Kanehisa, a lawyer admitted in Japan), as its London Office. It also has an affiliate office in Frankfurt, Atsumi Sakai Janssen Rechtsanwaltsgesellschaft mbH, a German legal professional corporation (local managing director: Frank Becker, a lawyer admitted in the Federal Republic of Germany).

2. LEGAL ADVICEUnless stated otherwise by A&S, any legal advice given by A&S is given under the supervision and authority of (i) in respect of Japanese law or any laws other than foreign laws on which our foreign lawyers are registered in Japan to advise, a specified lawyer admitted in Japan at A&S, or (ii) in respect of any foreign law on which our foreign lawyer is registered in Japan to advise, such registered foreign lawyer.