According to Art. 3 of the LMV (Securities Market Law), the transferable securities are securities that are issued en masse and that are freely negotiated, conferring on the holder rights of participation in the equity, capital or profits of the issuer, credit, patrimonial, proprietary rights; with characteristics that may or may not be homogeneous in relation to the powers (rights) they represent.
The origin of the securities are born with the aim of making the transmission of rights easier in the face of complications caused by the civil entity of the transfer of rights. When an assignment takes place, it is advisable to draw up a document between the parties; the assignor and the transferee. After the assignment, the acquiring party is not sure that it has acquired the right and, therefore, is subject to the risk of compensation that may be the subject of allegation by the assigned debtor.
Main features of the furniture value
To know what furniture values are like, it is necessary to know some of their characteristics:
- They originate from a financial transaction and not from individual businesses.
- They are issued en masse, that is, they are issued simultaneously or successively within the same financial transaction of securities (greater than 10 securities) in a period of 1 year known as presumption iuris tantum.
- Can be freely transferred
- Content rights can be represented
- They can be represented in the form of physical and dematerialized titles
- Both rights and duties must have similar characteristics, although not homogeneous with each other.
- In the same issue, transferable securities can be issued in the form of actions (classes) u obligations (series) => the values of the same series or class must be homogeneous and fungible with each other.
- Payment can be required through the courts, that is, they have executive merit
One of the main characteristics of a transferable security is that it is negotiable and is grouped into issues. Among the many examples of transferable securities, the promissory notes, obligations, actions and bills of exchange.