On Retention Of Title

Reservation of ownership has functions both of security and financing.lt is superior to other means of guarantee. Only three provisions in Chinese law that allow conditional transferring of ownership do not suffice to constitute a complete system of reservation of ownership.There are so many correlative provisions in Germen law French law Italian law Japanese law, American law and Taiwan area' s law.that are available for us to use for reference.From the perspective of transferring of ownership, the legal nature of reservation of ownership is the transferring of property with suspenseful condition, which is juristic act of real right; from the perspective of security for debts, it is contractual real rights for security.The scopes of Venders' recall rights are not proper in China. We should follow the American model, which recognizes that the recall right covers the proceeds upon the disposal of subject matters. We should also recognize the resort nature and moderate expansion of the recall right and impose reasonable restrictions on it. In terms of the enforcement of the recall right, we may borrow the relevant provisions in "Personal Property Security Transactions Act" of Taiwan Area.Vendees' expectative rights are special rights forged by law, which hold the characteristics of real rights. Expectative rights can be conveyed. Methods of conveyance may follow provisions of personal property' s conveyance . Alienees get the rights and obligations upon the expectative right. Expectative rights are terminated by two reasons.There exist right conflicts in two aspects of reservation of ownership. The intrinsic conflict lies in the conflict between venders and vendees on ownership and possession of subject matters. The extrinsic conflict lies in the conflict between venders, vendees and other third parties. In order to avoid these conflicts, we should adopt public summons method under the principle of registration against third parties. With respect to right conflicts, their resolutions and accommodations entail explicit provisions in law.