La publicite des suretes reelles mobilieres

Abstract

The opening of the borders within the EEC to the free movement of capital, credit and banking services requires an improvement in the information available about secured rights in movable property. Creditors are used to their national systems and tolerate them, even though they are all somewhat confusing and inefficient; each profession has been able to identify a type of secured right with whose advantages and limitations it is familiar. But this current situation must change because it is an obstacle to the free movement of services. The system of real security in movable property is too lacking in transparency; even in countries in which registration exists, it is patchy and incomplete. An increase in the availability of credit and relationships based on credit requires greater transparency. A high priority requirement for any improvement in the system of registration of secured rights in movable property is that it must not complicate that system. It is therefore necessary that, while offering relevant and rapid information, such a system does not on balance impose costs and consequences that are more burdensome than those of the present system. The solution here proposed makes use of existing approaches by retaining local registry offices (paragraph 23), limiting the information disclosed to a financial statement (paragraph 11) and enforcing registration by making unregistered rights unenforceable and determining priority on the basis of the date of registration (paragraphs 16 and 45). The improvements would arise from the fact that the local offices would be linked to a database which would allow direct registration and consultation from any terminal with a telephone connection (paras. 24 and 28). This system functions well in France for the purposes of consultation. The list of secured rights for which registration is required would be restricted (paragraph 44) and would include the privilege claims based on the idea of credit, the assignment of debts, and reservations of title - at least if the debt is for more than a given amount (paragraph 35).