#model law

The MLETR legally enables the use of electronic transferable records that are functionally equivalent to transferable documents and instruments including bills of lading, bills of exchange, promissory notes and warehouse receipts. The use of electronic transferable records may bring a number of benefits to electronic commerce including speed and security of transmission as well as the possibility of reusing the information contained therein. Electronic transferable records may be particularly relevant for certain business areas such as transport and logistics and finance (fintech). Moreover, their use allows for the establishment a fully paperless trade environment.

The UNCITRAL Model Law on Secured Transactions, adopted by UNCITRAL on 1 July 2016, is now available in English on the UNCITRAL website. The other official UN language versions of the Model Law (Arabic, Chinese, French, Russian and Spanish) will be made available on the UNCITRAL website soon.

The Model Law is based on the recommendations of the UNCITRAL Legislative Guide on Secured Transactions, the Supplement on Security Rights in Intellectual Property, and the UNCITRAL Guide on the Implementation of a Security Rights Registry. With respect to security rights in receivables, the Model Law includes the main provisions of the United Nations Convention on the Assignment of Receivables in International Trade.