Retention of Title in and out of Insolvency
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Suppliers of goods tend to think that they have strong rights if they retain ownership of delivered goods until the purchase price has been fully paid, because disputes involving non-payment can supposedly be solved fairly easily by claiming payment in court or repossessing the goods. However, things may get difficult for the supplier if a purchaser is in possession of the goods but then becomes insolvent.Over the past decade the number of insolvencies has increased dramatically, and their complexity has also increased. Particularly when foreign jurisdictions come into play, it may turn out that a supplier’s rights are weaker than it thought. For instance, has the supplier really retained title to the goods, or can the liquidator dispose of them and take the money? Or if the supplier believes it has sound retention of title in its home country, does that still apply when goods are delivered to a purchaser abroad? And when the retention of title is valid, how can the supplier actually repossess goods if the purchaser defaults and is uncooperative?Such questions need answers, and this publication provides a practical overview of the most relevant legal issues concerning retention of title in more than 30 of the most important business nations globally. It provides guidance to manufacturers and suppliers of goods, insolvency practitioners and their attorneys for promoting a better understanding of retention of title and the effects of insolvency. So whether you are a lawyer, insolvency practitioner or general counsel in an international business, this commercially focused guide will provide practical insight into the relevant legal issues.
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