Q. With reference to Cape Town Convention, consider the following statements;
1.The convention intends to standardize transactions involving movable property.
2.India is not a party to this convention.
Which of the statements given above is/are correct?
Statement 1 is correct: The Cape Town Convention on International Interests in Mobile Equipment, or Cape Town Convention is an international treaty intended to standardize transactions involving movable property.
The treaty creates international standards for registration of contracts of sale, security interests, leases and conditional sales contracts, and various legal remedies for default in financing agreements, including repossession and the effect of particular states’ bankruptcy laws.
The Convention and the Protocol, were adopted under the joint auspices of the International Civil Aviation Organisation (ICAO) and the International Institute for the Unification of Private Law (UNIDROIT).
Statement 2 is incorrect: India is a party to the convention.
Source: The Hindu
