The most anticipated Personal Property Securities Act 2009 will formally commence on 30 January 2012.
All existing securities which are registered on any State, Territory or National Register will be transferred over to the new Personal Property Securities Register (PPSR) from 21 November 2011.
The new Act allows for one register (PPSR) in which securities relating to personal properties can be registered to provide security and priority over other securities.
The PPSR will be a “one stop shop” for anybody who wants to do a search to determine whether any goods are secured. On the other hand, if you wish to register any interest in goods, which can be anything from supplying goods in terms of a Retention of Title Agreement, consignment, charges over a company, hire purchase equipment or lease of goods, you may register your interest in the PPSR which will allow you protection of your interest.
Should you fail to register your interest you may find that other parties have priority over your interest and in case of liquidation or bankruptcy you may even lose your property entirely.
We strongly recommend that any client who currently has some interest registered over personal property to consider the following:-
- Review your current securities.
- Check whether your registered securities will be transferred to the new PPSR.
- Contact us should you require any assistance or are unsure about the process.
We will publish further blogs in relation to the PPSR closer to the final date of implementation.