New Security Law Provides Enhanced Benefits To Creditors

The new Security Interests (Jersey) Law 2012 which came into force on 2 January 2014 provides a new regime for the creation and registration of security interests over shares and other intangible movable property situate in Jersey.

Set out below is a summary of the key advantages to creditors of the new law:

• Enhanced enforcement powers. Secured parties are afforded much wider powers of enforcement including appropriation of the collateral and step-in rights.
• 14 day enforcement grace period addressed. There is no delay to enforcement as parties may now contract out of the 14 day statutory notice period.
• Register of security. A searchable register of security interests is now available.