Research On The Leagl Risk And Defense For Factors In International Factoring

This thesis begins with a brief introduction for international factoring. In first part, we present the origin and historical development of international factoring, introduce the process and role of international factoring, and discourse on its characteristics, features, as well as differences from other financial services. After that, the second part focuses on the legal risks associated with international factoring on four different perspectives: namely, 1) the Creditor's Rights, 2) the Assignment of Creditor's Rights 3) the Performing of Creditor's Rights and 4) the Applicability of Legislation in Case of Dispute. Finally, based on practical experiences, a synthetically-built legal risk Protection system for the factors has been constructed. Specifically, the system is built upon considerations of different factors, including the choice in creditor's rights, the audit and constrain on the exporters, the constructive handling of conflicts in interests, the investigation on importers and credit limit Protection, reinforcement of cooperation and coordination, clarification and defense of the applicability of legal legislation.The contributions and innovations of this thesis are three-folded:Firstly, the nature of international factoring and provide a lucid discussion on the specific characteristics of the legal aspects of international factoring has been clarified; the distinctions of factoring from other financial services has also been examined.Secondly, comprehensive analysis and study on the legal risks which factors may be involved with in international factoring, including the risks associated with the creditor's rights, assignment of creditor's rights, performing of creditor's rights and the applicability of legislation has been carried out.Furthermore, based on the analysis of the origin and substance of the legal risks, the thesis also makes some constructive and practical suggestions for avoiding such risks, through six perspectives, i.e., the choice in creditor's rights, the audit and constrain on the exporters, the constructive handling of conflicts in interests, the investigation on importers and credit limit defense, reinforcement of cooperation and coordination, clarification and perfection of the applicability of legal legislation.