Research On Legal Issues Of Factoring Contract Disputes

With the rapid development of the market economy,many new trading methods have emerged in China's financial market.In a financial market full of competition and lack of funds,a new comprehensive financial business integrating trade finance,credit risk control,sales account management,accounts receivable collection and bad debt guarantees – factoring Business came into being.Although the factoring business is an imported product,it has achieved considerable development in China.For several consecutive years,China has become the world's largest factoring market.As a new type of transaction,factoring business has broadened the financing channels of enterprises,promoted the development of enterprises,conformed to the needs of marketization,and promoted the development of China's economy.The factoring contract is an agreement between the creditor of the underlying contract to transfer the accounts receivable creditor to the factoring agent,and the factoring party provides financial services such as financing,controlling the occurrence of credit risk,and collecting receivables.Compared with the ordinary creditor's rights transfer contract,the factoring contract has the characteristics of multiple subjects,unique objects and complex legal relationships.Because China does not have special laws and regulations on factoring contracts,and the complexity of the factoring contract dispute itself,the legal nature of the factoring contract is different in the judicial practice,the case is lacking,the lawsuit jurisdiction and the litigant status are unclear.In the first part of this paper,20 representative cases are selected from the Chinese refereeing documents network,and they are sorted and analyzed.A typical case is selected for detailed analysis.The legal problems of factoring contract disputes are mainly concentrated in the following Aspects:disputes arising from the nature of the factoring contract,disputes over the case,disputes over the status of the parties,disputes over the jurisdiction of the case,and disputes over the transfer of accounts receivable.The second part analyzes the reasons for the above legal problems in the factoring contract dispute from different aspects.The first part and the second part find the problem and analyze the problem,all of which are to solve the problem.Therefore,the third part of the author puts forward five suggestions from the perspective of solving the legal problems existing in the factoring contract dispute:First of all,it is necessary to unify the nature of the factoring contract and determine the rights and obligations and the distribution of responsibilities among the parties to the contract;Secondly,it is necessary to correctly determine the cause of the factoring contract dispute.In order to better resolve the factoring contract case and unify the judicial judgment,the case of "consignment contract dispute" should be added;Once again,it is necessary to clearly define the courts that have jurisdiction over contract disputes and determine the courts that are most conducive to dispute resolution;In addition,it is necessary to determine the litigation status of the parties from the scope of the trial of the case and whether the third party participates in the litigation;Finally,we must regulate the transfer of accounts receivable in the factoring contract,protect the factoring business and reduce the transaction risk.