It is now a fact that the reform of security interests over movable assets is making great strides. By way of background, the original law dated 11 July 2013 (initially expected to enter into force by late 2014) was postponed a first time and then followed by the amending law dated 25 December 2016. The latter provided for a number of adjustments as well as pushing back (a second time) the entry into force to 1 January 2018. As a complement to this set of rules, two royal decrees are presently in the making (estimated adoption by autumn 2017). They will aim at fine-tuning all the technical aspects of the reform and chiefly the implementation of the electronic National Pledge Register (“NPR”). From our most recent information, the fee structure attached to the registration and other actions in the NPR will look as follows:
Click here to view table.
The above fee structure lays down costs that gradually increase pro rata to the underlying secured amount. Altogether, these costs remain minor and should therefore not be any impediment to the use of the NPR. In fact, such costs are even significantly lower than the registration duties required for a business floating charge (i.e. 0.5% of the secured amount). For more details of the reform, please refer to our previous eAlerts of March 2014, August 2016 and December 2016.