Practical Steps to Protect your Security Interests before the PPSA Transition Period Ends

The Personal Property Securities Act 2009 (Cth) (PPSA) two year transition period ends on 31 January 2014. After this date, the 'transitional protection' given to security interests created before 30 January 2012 (transitional security interests) will no longer apply. If you fail to perfect a transitional security interest you risk losing priority to, and/or ownership of, items of personal property which were covered by those transitional security interests.

Do you have a security interest?

A security interest is an interest in personal property such as motor vehicles, aircraft and livestock (interests in land are specifically excluded) that secures payment or the performance of an obligation. Some examples include lease and hire purchase arrangements, retention of title provisions, certain kinds of consignment and conditional sale agreements.