The Working Group for the UNIDROIT Model Law on Factoring Guide to Enactment holds its third session in Beijing

Between 9 – 11 April 2025,  the Working Group responsible for the preparation of the Guide to Enactment for the UNIDROIT Model Law on Factoring held its third session.  The third session was hosted in Beijing, the People’s Republic of China, with generous support from the Beijing Arbitration Commission.

The UNIDROIT Model Law on Factoring (MLF) was adopted by the UNIDROIT Governing Council at its 102nd session in May 2023. The Guide to Enactment is being developed to assist states in understanding, implementing, and interpreting the provisions of the MLF.

The third session was attended by 34 participants. At the third session, the Working Group reviewed the entirety of the content of the draft Guide, making changes to its structure, content and drafting. In particular, the Working Group revised the draft Guide to emphasise the importance of enacting States including the instrument’s key features when implementing the MLF. At the conclusion of the third session, the Working Group decided that the draft Guide to Enactment was sufficiently developed to submit to the Governing Council with a recommendation that the Governing Council adopt the Guide to Enactment, subject to final proofing, and linguistic alignment. The Governing Council will review the draft Guide at its upcoming 105th session (Rome, 20 – 23 May 2025). It is anticipated that the Guide to Enactment will be published by the end of 2025.

More information on the UNIDROIT Model Law on Factoring and the preparation of the Guide to Enactment is available on the UNIDROIT website.

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