Guidelines for Conventional Arms Transfers

Priority rules based on the time of the contract of assignment

It was stated that such a rule could provide the level of certainty sought by financiers, thus allowing for low cost financing on the basis of receivables assigned in bulk, if accompanied by a clear rule for the determination of the place of business of the assignor.

Priority rules based on the time of notification of assignment

(a) It will not apply the priority rules chosen under paragraph 1 of this article to certain types of assignment or to the assignment of certain categories of receivables or

(2) An assignment which is not in compliance with paragraph (1) is effective if it complies with the rules concerning form of the assignment of the country of the assignor s place of business.

219. With many rules, regulations and standards in place, the emphasis has shifted from the development of new rules to the effective enforcement of those that have already been adopted.

Desiring to establish principles and to adopt rules relating to the assignment of receivables that would create certainty and transparency and promote the modernization of the law relating to assignments of receivables, while protecting existing assignment practices and facilitating the development of new practices,

The law should provide that the following matters are governed by the law of the State whose law governs an assigned receivable, a transferred negotiable instrument or a transferred negotiable document

As a basic principle, the draft framework convention establishes that authorization is required for all arms transfers.

(iv) providing for the right of the insolvency administrator to borrow using the assigned receivables as security to the extent that their value exceeds the obligations secured, or

quot (1) Unless otherwise provided by law or by agreement between the assignor and the assignee, any personal or property rights securing payment of the assigned receivables are transferred to the assignee without a new act of transfer.

quot (c) in case the assigned receivables constitute security for indebtedness or other obligations, any insolvency rules or procedures generally governing the insolvency of the assignor

Free, non transferable put options could be given to farmers to provide them with price certainty, while in turn Governments should hedge their exposure by selling futures or using over the counter derivatives contracts.

Imposition of an obligation to resell at a minimum price

It was noted that according to that provision, once the initial assignment of a receivable was covered, any subsequent assignment of that receivable would also be covered (the principle of perpetuatio juris).

In addition, it was pointed out that such a rule did not create difficulties in practice, since it was not unusual for the assignor and the assignee to specify in the assignment the law governing the receivable so as to avoid that the assignee would need to examine the transaction under which the assigned receivable might arise.

Support was expressed for both a substantive law priority rule based on the time of assignment and for a rule based on the time of registration.

Technology transfers could not be mandated by the General Assembly, but required mutual agreements establishing the terms of such transfers.

(1) With the exception of matters which are settled in this Convention, the effectiveness validity of an assignment as between the assignor and the assignee and the mutual rights and obligations of the assignor and the assignee are governed by the law expressly chosen by the assignor and the assignee.

It was stated that a time of assignment rule should be the last choice, since it provided the least certainty to third parties, who had no way of verifying whether an earlier assignment had taken place other than by asking the assignor.

The moment of property transfer shall be decisive for the determination of this value.

Since no transfer could take place lawfully except by agreement between the States concerned, such an agreement would obviously contain provisions on the nationality of persons having their habitual residence in the territory to be transferred.

In addition, it was observed that, if the optional part of the draft Convention offered a time of assignment rule as an alternative to a registration based rule, it might inadvertently result in the time of assignment rule being considered as the best alternative to registration.

It was observed that, for the suggested language to provide the desirable degree of certainty, it would need to be supplemented by a conflict of laws rule specifying the law applicable to statutory prohibitions of assignment (or legal assignability).

3. A registration may be made in advance of the assignment to which it relates. The regulations will establish the procedure for the cancellation of a registration in the event that the assignment is not made.

(a) Except as provided in paragraph 5 (b) of this article, that rule is applicable only to assignments for which the contract of assignment is concluded on or after the date when the declaration or withdrawal takes effect in respect of the Contracting State referred to in article 1, paragraph 1 (a)

(a) Except as provided in paragraph 6 (b) of this article, that rule is inapplicable to assignments for which the contract of assignment is concluded on or after the date when the declaration or withdrawal takes effect in respect of the Contracting State referred to in article 1, paragraph 1 (a)

(f) Request also that a clause prohibiting the use of transferred items in the event of a withdrawal be included in intergovernmental agreements defining the modalities for transfers of sensitive nuclear goods (enrichment, reprocessing) or for large scale transfers

Such gaps can total up to 40 per cent and result from, inter alia, zoning regulations, opening hours, pricing restrictions or other regulations.

B. Guidelines for international arms transfers

The Act provided for transferring the land to profit making corporations that had to be created by the indigenous peoples, and for paying a sum of money to each Native corporation a sum far less than the value of the land.

Several MEAs contain specific provisions on technology transfer which may include financial mechanisms to facilitate such transferArticle 10 of the Montreal Protocol established a financial mechanism, the Multilateral Fund, for the purpose of providing financial and technical cooperation, including for the transfer of technologies.

Planning, Monitoring and Evaluation Unit

This rule would be part of every Request for Proposal so that no bidder could complain.

In this regard, regulation 7.3 and rule 107.3 provided for self evaluations to be conducted according to the guidelines established by the Central Evaluation Unit.

(b) an assignment of receivables that are not specified individually is effective to transfer receivables that can be identified as receivables to which the assignment relates, at the time agreed upon by the assignor and the assignee and, in the absence of such agreement, at the time when the receivables arise.

Article 13. Agreements limiting the assignor s right to assign 227 231 54

Arguments in favour of a priority rule based on the time of assignment included that such a rule was simple, practical and conforming with legal tradition in a number of countries.

China has always supported proper control of transfers of MOTAPM and holds the view that relevant provisions in APII should be fully and faithfully implemented. China has put forward many constructive proposals in this regard.

After discussion, the Working Group decided that paragraph (1) should be revised to provide that competing rights of the assignee and the assignor apos s creditors should be governed by the law of the country in which the assignor had its place of business.

In addition to making provision for determining the initial prices, national laws may provide rules governing the adjustment of those prices during the term of the agreement.

quot (2) Nothing in this article affects any obligation or liability of the assignor to the debtor in respect of an assignment made in breach of an agreement limiting in any way the assignor apos s right to assign its receivables, but the assignee is not liable to the debtor for such a breach. quot

Implementing EC Regulation 1334 2000, Legislative Decree n. 96 2003 (article 15) conditions intangible transfers related to listed dual use items to the same requirements set forth by EC Regulations n. 1334 2000 for actual dual use transfers.

a comprehensive ban on the use, stockpiling, production and transfer of anti personnel landmines