A conceptual framework on legal complexity

Abstract

This paper presents a novel conceptual framework exploring legal complexityto evaluate the legal impact and necessity of regulatory simplification. Amidwidespread concerns over overregulation, legal complexity is a topic ofsignificant debate in European governance and among businesses and civilsociety, with governmental bodies such as the European Commission anddifferent Belgian governmental levels acknowledging its effect on marketcompetitiveness and legal certainty. This research outlines a multi-dimensional analysis of legal complexity, distinguishing systemicfactors (number, scope, durability, and consistency of norms) from rule-specific elements (density, accessibility, interconnectivity, and determinacyof legal provisions), and applies it to Belgian company law as an example.On the basis of this framework, this paper demonstrates that there areinherent trade-offs in balancing simplification against effective legalprecision, suggesting that complexity often arises from interacting factorsrather than isolated rules. Ultimately, the findings are nuanced and suggestthat while simplicity may reduce compliance costs and mitigatemisjudgements, regulatory complexity might sometimes be justified if itsupports nuanced legal application or incentivizes desired societalbehaviours.