Factoring Regulation Act, 2011

[No. 12 of 2012]

[22nd January, 2012]

Contents
Sections	Particulars
	Preamble
Chapter I	Preliminary
1	Short title, extent and commencement
2	Definitions
Chapter II	Registration of Factors
3	Registration of factors
4	Provisions of nonbanking financial companies apply to factor
5	Requirement for registration as a factor not to apply to bank or Statutory corporation or Government company
6	Powers of Reserve Bank to give directions and to collect information from factors
Chapter III	Assignment of Receivables
7	Assignment of receivables
8	Notice to debtor and discharge of obligation of such debtor
9	Discharge of liability of debtor on payment to assignee
10	Payment made by debtor to assignor to be held in trust for benefit of assignee in certain cases
Chapter IV	Rights and Obligations of Parties to Contract for Assignment of Receivables
11	Rights and obligations of parties to contract for assignment of receivables
12	Liability of debtor
13	Assignor to be trustee of assignee
14	Liability of debtor in case of an assignor being micro or small enterprises
15	Principle of debtor protection
16	Defences and right of set off of debtor
17	Modification of original contract
18	Breach of contract
Chapter V	Registration of Assignments
19	Registration of certain assignments of receivables transactions
20	Public inspection
Chapter VI	Offences and Penalties
21	Penalties
22	Penalties for non
23	Offences
24	Cognizance of offences
25	Offences by factors
Chapter VII	Miscellaneous
26	Provisions of this Act to override other laws
27	Application of other laws not barred
28	Limitation
29	Confidentiality of information
30	Power to exempt
31	Provisions of this Act not to apply or affect in certain cases
32	Power of Central Government to make rules
33	Laying of rules
34	Power to remove difficulties
35	Amendments to certain enactments
Schedule	Schedule