Q&As

Will the English courts enforce a reservation of title (ROT) clause in a contract governed by German law but where the relevant assets are in England?

read titleRead full title
Published on LexisPSL on 11/05/2016

The following Dispute Resolution Q&A provides comprehensive and up to date legal information covering:

  • Will the English courts enforce a reservation of title (ROT) clause in a contract governed by German law but where the relevant assets are in England?
  • ROT in Insolvency

Please note, this Q&A only covers the contractual position under English law.

Suppliers often enhance their position by supplying goods on terms incorporating a reservation of title (ROT), which allows one party (the seller) to retain title to delivered goods until another party (the buyer) has paid for them in full or, where permitted to do so, sold them on to a third party. A clause providing for a retention of title arrangement (ROT clause) can sometimes be referred to as a 'Romalpa' clause, after the case Aluminium Industrie Vaassen v Romalpa Aluminium. For further information, see Practice Note: Retention of title—overview.

In relation to the application of English and German law, when the English court determines that the applicable law is that of another jurisdiction, it will hear expert evidence as to how that law should be interpreted and implemented. It will also determine whether the relevant foreign provision is one that is substantive. If this occurs, the En

Popular documents