The Ministry of Commerce and Investment made an announced regulation for the Unified Registry for Commercial Pledges. These regulations were a step forward to the implementation of the Commercial Pledge Law. This acts as a regulating law for the creation of security on the movable property. In consonance to these regulations, the Ministry introduced the electronic registration system for registering the pledge contracts. The Ministry has published a handy guide for the Regulations, providing clarifications on the management of the registry.
In pursuance to Article 3 of the Regulations of the Unified Registry for Commercial Pledges, the services of the Registry will be provided for electronically. Article 6(1) of the regulations make provisions for registering the pledge related contracts.
- The pledgee has to submit an application for the registration of the pledge together with the copy of the contract and other relevant documents.
- A notification will be sent by the Registry to the pledgor for the application and the details.
- The Registry will offer a period of seven days from the date of the notification for raising any objections to the applications.
- Once the pledgor gives an approval for the registration application or in case no objections have been raised, the registration will stand completed.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.