The decisions of In the matter of Assta Labels Pty Ltd [2018] NSWSC 1094 (Assta), In the matter of Psyche Holdings Pty Limited [2018] NSWSC 1254 (Psyche and, In the matter of Highlake Resources Pty Ltd [2018] FCA 1292 (Highlake) have added clarity to the factors courts will consider in assessing whether to grant an extension of time for registration on the ‘Personal Property Securities Act 2009 (Cth) (PPSA).[1]
The decision in Chelliah v NSW Police [2018] NSWSC 557 serves as a reminder that the Personal Property Securities Act 2009 (Cth) (PPSA) is not a panacea for any ownership issues arising. In this case, the purchaser of a vintage Lamborghini purported to register a security interest on the Personal Property Securities Register (PPSR) to assert title in the vehicle and sought to rely on the taking free provisions to claim a superior interest to that of the true owner who acquired title to the vehicle under a will. The PPSA did not assist, because the true owner did not have a ‘security interest’ for the purposes of the PPSA and so was not required to register any interest. The purchaser’s claim did not defeat that of an outright owner.
On 2 May 2017, the Supreme Court of New South Wales handed down its decision refusing an application to extend time to register a security interest in Production Printing (Aust) Pty Ltd (in liquidation) [2017] NSWSC 505.
The decision followed shortly after that of OneSteel Manufacturing Pty Ltd (administrators appointed) [2017] NSWSC 21 (OneSteel) in which it was held that registering a security interest on the Personal Property Security Register (PPSR) against a grantor’s Australian Business Number (ABN) rather than its Australian Company Number (ACN) affords no protection and will result in the security interest vesting in the grantor if it becomes insolvent.
Changes appear imminent in the Personal Property Securities Act 2009 (Cth) (PPSA) arena, as on 1 March 2017 the Personal Property Securities Amendment (PPS Leases) Bill 2017 (PPS Leases Bill) was tabled in the Federal House of Representatives.
There has now been a second reported case dealing with applications to extend the time to register a PPSA security interest.
In Cardinia Nominees Pty Ltd [2013] NSWSC 32 the court again agreed to an extension of time for the registration of a security interest under the PPSA, but the extension was given on conditions which leave this security interest open to challenge in the future. More…
Eight months have passed since we first met the Personal Properties Securities Act 2009 (Cth) (PPSA). Like the start of any relationship, there were some awkward moments and a few obstacles to overcome. Now, a number of issues associated with the Personal Properties Securities Register (PPSR) have been fixed. Also, we are starting to see the first cases involving the PPSA in courts.
This article is an update on the progress made by the Registrar of the PPSR (Registrar) in fixing the identified issues and a summary of the first Federal Court decision regarding PPSA and registrations. More…
Three months have passed since the registration commencement time of the Personal Properties Securities Act 2009 (Cth) (PPSA). Most issues with migration have been identified, but secured parties must be aware that the solutions to these issues will take time. This article is an update on the progress made by the Registrar of Personal Property Securities (Registrar) in resolving the issues, as well as a reminder of certain things secured parties should be aware of as they adjust to this new process of registering securities and the PPSA. More…
The Personal Property Securities Act 2009 (Cth) (PPSA) commenced on 30 January 2012. It replaced most existing Commonwealth, state and territory laws and registers for company charges, bills of sale, ship mortgages, motor vehicle securities, crop liens, stock mortgages and other securities affecting tangible and intangible personal property.
This rationalisation of laws and registers has lead to new issues and speed humps when security is taken or provided over personal property. As the market slowly adapts to these changes we wanted to highlight some of the common issues being faced by Secured Parties. More…
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Last week, we experienced some technical difficulties while traveling in Asia for the ILN’s Asia Pacific Regional Meeting, so I was unable to bring you the roundup. We’re back this week, and I’m bringing you a quick top 10!
The Personal Property Securities Act 2009 (PPSA) has come into effect and the online register which it establishes is now live. The PPSA aims to consolidate and standardise the registration of securities over personal property through a single online register. This article focuses on the impact of this new scheme on the construction industry and provides practical recommendations for principals and contractors in relation to registration and amending their transaction documents. More…