SECURITY RIGHTS AND DUTCH CARIBBEAN INTERNATIONAL PRIVATE LAW
Foreign security rights may be valid and enforceable
According to Netherlands Antilles law, the question as to whether or not a security right may be created in a certain receivable must be determined according to the law governing that receivable. Netherlands Antilles international private law determines that the law that governs the receivable is the law that governs the underlying contract of the receivable.
However, if the minimum requirements of a Netherlands Antilles security right have been met, a foreign law governed security right may be valid and enforceable, as if it were a Netherlands Antilles security right.
It is not decisive whether or not a foreign security interest is similar in all respects to a security right available under the laws of the Netherlands Antilles, but whether or not, in view to the application of a specific provision of the laws of the Netherlands Antilles, the foreign security interest can, in terms of its content and purpose, be considered equivalent to a related Netherlands Antilles security interest.
Karel Frielink
Attorney (Lawyer) / Partner
