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Moveable Transactions (Scotland) Bill Financial Memorandum

Overview

“Moveable” property means property which can be physically moved (for example, cars, machinery and whisky barrels). It can, however, also mean intellectual property like patents and copyrights.

The Bill reforms two elements of the law on moveable property:

  • the assignation of claims
  • the law of pledges

“Assignation” of claims is the transfer of a claim from one person to another. A claim is most commonly the right to payment of a debt. For example, if someone has a right to be paid for goods or services, they can transfer that right to payment to another person.

A “pledge” is a type of security (usually for a loan) which is taken over moveable property. This works in a similar way to a mortgage on a house. In that case someone grants a loan but the lender has a security over the house in case the loan is not repaid. With a pledge, someone grants a loan and the lender has a security over a piece of moveable property in case the loan is not repaid.

The Bill changes current law by creating two new registers:

  • the Register of Assignations
  • the Register of Statutory Pledges

The Bill is based on a Scottish Law Commission (“SLC”) report and in particular a draft Bill prepared by the SLC.


Financial Memorandum

As with all Bills, the Finance and Public Administration Committee invites written evidence on the estimated financial implications of the Bill as set out in its accompanying Financial Memorandum (FM).

Read the FM for this Bill: Financial Memorandum.


Your Views

The call for views on the Bill's FM closed on 1 September 2022.

The Committee received 4 submissions to the call for views. Read the submissions received on Citizen Space.

The Committee agreed to forward the submissions received to the Delegated Powers and Law Reform Committee as part of that Committee's consideration of the Moveable Transactions (Scotland) Bill and to take no further action.


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