A new paragraph titled “Product Certificate” will be added to the Civil Code.
elchi reports that a bill on amendments to the Civil Code of the Azerbaijan Republic and the Law “On Enforcement” has been submitted for discussion at a plenary session of the Milli Majlis.
According to the amendments, a new paragraph titled “Product Certificate” will be added to the Civil Code. A product certificate is defined as a security issued electronically by the debtor for the purpose of production or initial processing of an agricultural product, ensuring the performance of the obligation.
According to the bill, the debtor will undertake the obligation to transfer the agricultural product or the monetary amount specified in the product certificate to the owner of that security based on a handover-acceptance act.
The document provides for the issuance, state registration, and circulation of the product certificate to be regulated by the Law “On Product Certificates” and other normative legal acts. It is also proposed that a number of provisions of the Civil Code related to securities be applied to product certificates.
According to amendments to the Law “On Enforcement”, a special note on the product certificate will be added to the list of enforcement documents. The content of this note will be determined by the relevant law, and its execution will be carried out immediately.
According to the bill, the amendments will enter into force on the same day as the Law “On Product Certificates”.
The bill was put to a vote at the end and adopted in the first reading.