When is a sale of commodities not a true sale?
Trade Finance Breakfast Seminar
Sullivan & Worcester hosted a Trade Finance Breakfast Seminar entitled "When is a sale of commodities not a true sale?" on April 23, 2015 at Pinners Hall in London. Geoff Wynne looked at financing structures involving commodities and in particular repurchase (repo) arrangements and the associated recharacterisation risks. He considered the arguments made by the parties in Citigroup v. Mercuria Energy Trading Ltd (involving the Qingdao warehouse), and the lessons that can be learnt from that case.