On The Validity Of Claims Made And In International Factoring

With the increasingly fierce competition in international trade and the promotion ofthe simple and efficient trade procedures, the traditional international settlement methodlike letter of credit is facing severe challenges. International factoring is developingprosperously as it meets the needs of the exporters to reduce trade risks and to enhancecompetitiveness at the buyer's market in the world.International Factoring is a new way to provide all-around services to the internationaltrade, it is also a comprehensive financial service which provides the account sale with aseries of trade service on credit management, accounts receivable collection, credit risk andtrade finance guarantees . The legal basis of international factoring is the assignment ofclaims. So the effectiveness of the assignment of account receivable claims is theprecondition of the factoring process.Although the development prospects of factoring is good in our country, but there isstill no good factoring legislation, and related practical experience is still lacking, elementsthat affect the effectiveness of the assignment of account receivable in internationalfactoring are still not clear. In order to promote the further development of factoring, wemust establish our own legal system to regulate factoring as soon as possible. Based on the assignment theory of the contract law, this article do mainly research onthe effectiveness of the assignment of accounts receivable. Comparing the regulations oftwo legal system and international practice, the author is trying to build a legal systemmainly regulate the assignment of accounts receivable in international factoring. The fulltext is divided into four chapters. Chapter I makes outlines of international factoring,Chapter II discusses the legal basis of international factoring between several theories,concluding that the legal basis of international factoring is the assignment of the claims.Chapter III focus on the analysis of the effectiveness of the assignment of the claims ininternational factoring. Finally in Chapter IV ,based on the analysis of the effectiveness ofthe assignment of the claims the author try to give some suggestions to create a legalsystem in our country on the assignment of accounts receivable of international factoring.