A change is on the way that will affect which Personal
Properties Securities (PPS) leases you may need to register on the
Personal Property Securities Register (PPSR).
Under an amendment to the Personal Property Securities Act 2009
(Cth) (PPSA) which will soon come into effect, a PPS lease of
serial numbered goods where the term is 90 days or more but less
than 1 year, will escape the need for PPSR registration - without
potential risk of loss of goods.
The Current Position
If you lease or bail out serial numbered goods (such as cars,
boats or planes) where the term of the lease is 90 days or more, or
even if less than 90 days, where the term is likely to extend
beyond 90 days, then you have a PPS Lease capable of registration.
Failing to perfect a PPS Lease (usually through the PPSR) puts you
at risk of either losing priority in claiming these goods or, in
certain circumstances, losing them completely if the lessee enters
insolvency.
