Nic,

  Ouch.  I think at this point you are getting into the inner workings of business law & contract law, and probably need to get some legal advice from a UK lawyer who is also familiar with EU business law.  This sounds like an area where if you don't make sure to cross your t's and dot your i's, you might get into trouble later on.

  -Camille

Nic Bowker <[log in to unmask]> wrote:
  Dear All,

A quick Friday afternoon question for you all.

In terms of putting on the market (that old chestnut) by means of a legal transfer to another legal entity, is a paperwork exercise sufficient or does the paperwork need to be accompanied by the physical goods?

Example 1
If Company X sets up a sub-company that is there for the sole purpose of carrying out the legal transfer, what happens if that sub-company is in the same building. Are the items POTM even though they won't have physically moved?

Example 2
Company x uses a third party to "buy" it's goods (for no money), but only issues paperwork and holds onto the physical goods as part of the contract (i.e. so that any subsequent re-selling on those items effectively buys out the contract from the third party). Are the items POTM then?

Any thoughts one and all?

Nic Bowker
Technical Resources Adviser
PLASA Ltd.
38 St Leonards Road, Eastbourne, East Sussex, BN21 3UT, UK.
Tel: +44 (0)1323 410335 : Fax: +44 (0)1323 646905
Email: [log in to unmask] : Website: www.plasa.org

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