The Law and Practice of True Sales
The Law and Practice of True Sales raises issues of general law, applicable to many circumstances, as well as complex issues relating to insolvency and practical enforcement.
The issue of true sale is one of immense importance in the finance markets, where billions of pounds are invested based on a given treatment of a transaction. At the heart of many structured finance transactions is some form of transfer of assets - usually a sale. Practitioners seek to ensure the robustness of this transfer because of concerns that courts might treat a transaction as a disguised loan or might unwind the transfer on the later insolvency of the transferor. Securitisation is the biggest market where this is a crucial issue; other structured finance transactions where assets are transferred to a special purpose company or are sent off balance sheet also use a true sale. This book raises issues of general law, applicable to many circumstances, as well as complex issues relating to insolvency and practical enforcement.
Table of contents
Part 1 – General principles - Introduction and history
Areas of application
Treatment on insolvency
Cross border transactions
Cross border insolvency
Legal v accounting treatment
Part 2 – Specific contracts - Securitisation; Receivables purchase
Sales of goods
Sales and leasebacks