Abstract: The premise of contract validity determination is the judgment of the contract nature, and only after the correct judgment of the contract nature, the contract validity determination can be carried out properly. In the financing trade activities, the parties often complete the whole transaction through the sale contract or agency contract, and realize the circulation of funds through the "act of sale and purchase". In such trade activities,there are generally both sales and financing, and the nature of the legal relationship is not the same in various courts. This paper explored the legal nature of financing trade through the analysis of a dairy trade dispute,and laid the foundation for the analysis of the effectiveness of financing trade.

Key words: trade dispute, financing trade, empirical study