In Brief
The Personal Property Securities Act 2009 (Cth) (PPSA)
establishes a new, nationwide regime regulating interests in
personal property. The PPSA is scheduled to commence on 30 January
2012.
HOW DOES THE PPSA CHANGE THE LAW?
The PPSA changes the order of priority of some security
interests, changes the way in which those interests (especially
ownership) can be enforced and creates a new registration system
for interests in personal property.
For further information on the new PPSA terminology click
here.
For example, previously a retention of title clause (commonly
found in terms and conditions of sale) was not capable of any kind
of registration and yet was potentially enforceable against an
administrator with priority over even registered charges against a
company's assets. Under the PPSA, a retention of title
arrangement will need to be registered if it is to take priority
over and be enforceable against those other interests.
