Introduction

It is noteworthy that the Project on the Common Core of European Private Law has chosen, among the many subjects it endeavours to cover, the question of security over movable property. Indeed, movable property may be a subject that is neglected during the years of studying law at university, especially it seems in the UK where it falls somewhere between the courses on land law and commercial law. However, in practice, movable property is of the utmost importance; this is particularly visible in the realm of credit where the diversity and versatility of movable property will make it of prime appeal to creditors as a means of guaranteeing their claims. Moreover, since transactions involving movables are far more numerous, this multiplies further the number of occasions when elaborate legal constructions over these assets can be imagined. The fifteen cases drawn as part of the questionnaire for this volume give a good, if small, sample.

In economies in transition such as the economies of Central and Eastern Europe and the former Soviet Union Republics – now the Commonwealth of Independent States – movable property as a tool to enhance credit facilities and conditions is a new concept. To some extent, secured credit is also a new concept. Until the 1990s, there was hardly any legal provision allowing movable property to be used to guarantee a loan without losing the ability to use the assets. Basically, the possessory pledge, often referred to as a pawn, was the only means available.