Security Registrations In BVI – A Closer Look At Difficult Issues

One of the more popular features of BVI company law is its regime for registering security interests. It is quick, clean and efficient – either party can register security online by merely filing a form with the relevant particulars and paying the relevant fee. Once registered, the priority of the security interest is protected under BVI law, and third parties are deemed to have constructive notice of the security interest. No need to fuss with wet-ink originals, or wrestle with tortuous divisions in relation to classes of registrable charges.

But while the system may work simply and efficiently for 99.9 per cent of security registrations, invariably, there are going to be some difficult issues at the margins. This article takes a closer look at some of those difficult issues which can arise in relation to more complicated structures.