In some States, secured credit is primarily accessed by large enterprises and micro enterprises, but less so by the “middle market.” In others, it is available only to firms that have real property to offer as collateral.
Moreover, the appeal of a secured transactions regime for financing inventory and receivables is far from apparent in a credit culture that is essentially unfamiliar with the use of such property as collateral. In sum, it is difficult to generalize about the resistance to and incentives for modernization of secured transactions law.
Each State presents a set of sui generis circumstances. But it does stand to reason that the better the product—modernized secured transactions law—the better the
opportunities for reform. If an international registry of general application would offer incentives for reform by providing a meaningful enhancement to secured transactions regimes, then it may be worth considering as an appropriate next step.