Discussion On The Legal Construction Of Special Purpose Trust In Our Asset Securitization

Asset Securitization, as a new financing technique, practiced maturely in western developed countries, enhances the efficiency of the entire economic system. It has also obtained rapid development in many Asian countries and areas. However, in China, although the economical and the legal scholars have launched the positive exploration and research on Asset Securitization in recent years, Asset Securitization in true sense in China only just started. Nowadays, Asset Securitization is still a financial innovation. It is urgent for us to impel the further development of financial market and Asset Securitization legislation system in our country.After inspecting various countries'practices, many successful cases in the world indicated that Special Purpose Trust is a practical and feasible way to operate Asset Securitization. And the legal barriers meeting by SPT are relatively fewer than that by SPC. And our country's present legal system environment is more beneficial to the pattern of SPT. When exploring the suitable pattern of Asset Securitization, we found that "Trust Law" in 2001, the newly promulgated "Measures for the Administration of Asset-backed Securitization" in 2005 and other legal documents have established the foundation of Asset Securitization for our country. However, this "Measures" has some disadvantages, such as the low level of legal effect, the principled content, the insufficient coverage, which can hardly satisfy the needs of present situation. Our "Trust Law", "Contract Law", "Guarantee Law", "Commercial Banking Law", "Security Law", "Bankruptcy Law", "Fiscal Law" and "Tax Law" also have many legal barriers. Therefore, it is necessary to enhance SPT's legal feasibility and eradicate the barriers, as to get further improvement. In view of the fact that our mainland has great similarity to Taiwan in the area of the financial environment and the legal environment, Taiwan's legislation experience has the big reference value to the current advancement of our mainland. Meanwhile, we should not forget to profit from other national and local advanced legislation.