Legal review regarding the possibility of setting a lien on future receivables.

Law firm Veat recently received a request from a SaaS solutions company (hereinafter referred to as the “Client”) to review the possibility of setting a pledge on future receivables.

The Civil Code does not have explicit legal provisions on this matter, but it specifies that unless otherwise provided by law, the setting of a pledge on a right shall be in accordance with the method for transferring that right (Civil Code Article 346), and the Supreme Court has ruled that in principle, future receivables can be transferred under certain conditions (see Supreme Court ruling of April 8, 2010, 2009da96069).

Law firm Veat reviewed the Client’s possibility of setting a pledge on future receivables based on relevant regulations, the Supreme Court’s precedent, and similar cases.

Law firm Veat provides optimized legal advice on legal issues arising in the Client’s business operations and aims to provide one-stop legal services to help the Client proactively identify and comprehensively respond to legal risks.

Those who are interested in more detailed information related to this case study can check it on the blog below.

- [Lien] Is it possible to set a pledge on future receivables?

Thank you.

Law firm Veat