Belgium: Reform of Security Interests in Movable Assets
Belgium has adopted new legislation on the creation and enforcement of security interests in moveable assets (the "Act"). The Act significantly reforms and modernises security interests in movable assets. After its entry into force, Belgium will have much more flexible and business-friendly rules, allowing it to attract more asset-based lending. Amongst the most important changes introduced by the Act are (i) the possibility to perfect a pledge by filing, (ii) simplification of the enforcement procedures, and (iii) the possibility to create a pledge in the name of a security trustee. The Act will enter into force by 1 December 2014 at the latest and is expected to have far-reaching consequences for both existing and future financing transactions involving assets such as receivables, equipment, inventory, intellectual property rights and businesses located in Belgium.