CHICAGO [December 20, 2011] – A patent application was filed today with the U.S. Patent Office covering the system, method, and automated process guidance application of master credit participation certificate (CPC) issuance, administration and processing.  The patent filing was completed by attorneys at DLA Piper, intellectual property counsel to UFT Commercial Finance (UFTCF).  

The patent-pending technology claims in part a uniquely transparent and scalable system for the processing, administration and fractionalization of potentially any commercial credit transaction into a CPC.  The CPC is based loosely on the concept of traditional loan participations, but represents a clear fractionalized ownership interest in a singular whole loan that is part of any one of a number of qualifying commercial credit categories.  The CPC has been engineered with an array of different risk and credit profiles that are intended to drive attractive yields while helping to build liquidity in what is still a relatively illiquid marketplace.   

“The filing of the initial systems and method patent for the CPC marks a long-awaited benchmark for us,” commented Joanne Marlowe, founder and Managing Director of UFTCF.  “With this foundational set of claims under our belt, we will be turning our attention to the filing of a series of supplemental claims that deal with the proprietary origination systems that will standardize and automate the source credit on-boarding processes within each CPC class.  These last set of filings will be instrumental in helping to protect an end-to-end system for credit origination through fractionalization, which we believe when fully commercialized will prove extremely valuable in establishing an enhanced efficiency to administering and managing this new type of credit instrument.”  

Through the application of the process guidance application, system and method for CPC origination, administration and fractionalization as defined in this filing, each of the asset classes will enjoy almost fully automated administration, management, and quality control functions.  This type of consistency within each CPC asset class will improve transparency and governance to produce a better and more scalable credit on-boarding process than present credit practices permit. Within the context of this system, standardization and automation are critical to enabling and encouraging the efficient and reliable trade of CPCs initially on an OTC basis and ultimately within an exchange-based market such as that being planned by United CEX.                      

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DLA Piper is a global law firm with partners across Asia, Europe, the Middle East and the United States.  

UFT Commercial Finance is an alternative credit solutions company and the Network Manager of the Participating Lender Network. It is a privately held company with its headquarters in Chicago, Illinois.  Learn more about UFT Commercial Finance at www.uftcf.com.  

For more information, contact mediarelations@uftcf.com  

Notice:  The information contained in this announcement is only accurate as of the date of its publication and release, and may contain certain forward-looking statements based upon anticipated events that may or may not come to pass. The company makes no representation or warranty as to the correctness or accuracy of the information contained herein, and is under no obligation to update this information at any time after the date of release.