Security Interests (Jersey) Law 2012

This note provides a brief summary of the principal features of the Security Interests (Jersey) Law, 2012 and highlights some key considerations when creating security interests under Jersey law.

Overview

The Security Interests (Jersey) Law, 2012, as amended (the "New Law") came into force on 2 January 2014 and superseded the Security Interests (Jersey) Law 1983 (the "Old Law").

Why the New Law?

The Old Law has successfully fulfilled its role over the past three decades in facilitating numerous secured financing transactions.

However, it was felt necessary to modernise Jersey's security regime. This was to overcome certain limitations and to provide a leading international finance centre such as Jersey with one of the most up-to-date legal security regimes in modern banking and financing transactions and, therefore, enhance the Island's attractiveness to both local and foreign investors.