Subsection 1: Assignment and pledging of trade receivables

Any loan granted by a credit institution, an AIF covered by paragraph 2 of sub-section 3 or sub-section 5 of Section II of Chapter IV of Title I of Book II, or by a finance company to a legal entity governed by private or public law, or to a natural person in the exercise of his professional activity, may give rise to the assignment or pledging by the beneficiary of the credit of any claim that the beneficiary may have on a third party, whether a legal entity governed by public or private law or a natural person carrying on a professional activity, to the benefit of this institution, this AIF or this company, by the simple submission of a slip.

Liquid and due receivables, including term receivables, may be assigned or pledged. Claims arising from an act that has already taken place or is yet to take place, but whose amount and due date have not yet been determined, may also be assigned or pledged.

The slip must include the following information:

1. The name "deed of assignment of trade receivables" or "deed of pledge of trade receivables", as appropriate;

2. A statement that the deed is subject to the provisions of articles L. 313-23 to L. 313-34;

3. The name or corporate name of the credit institution, the FIA mentioned in the first paragraph, or the beneficiary finance company;

4. The designation or individualisation of the assigned or pledged receivables or the elements likely to effect such designation or individualisation, in particular by indicating the debtor, the place of payment, the amount of the receivables or their valuation and, where applicable, their due date.

However, where the assigned or pledged receivables are transferred using a computerised process that enables them to be identified, the form may simply indicate, in addition to the information set out in 1, 2 and 3 above, the means by which they are transferred, their number and their total amount.

In the event of a dispute concerning the existence or transmission of one of these claims, the assignee may prove, by any means, that the claim that is the subject of the dispute is included in the total amount shown on the statement.

A document that does not contain one of the above-mentioned indications is not deemed to be a deed of assignment or pledge of business receivables within the meaning of articles L. 313-23 to L. 313-34.