The draft Security Interests (Jersey) Law 201- (the
"new Law") is in close-to-final form and
is shortly due to commence its journey through the legislative
process. It is currently anticipated that the new Law will come
into force in the first half of 2011.
This briefing note is one of a series relating to the new Law
and deals with the transitional provisions that will apply to
pre-existing security once the new Law comes into force.
Under the new Law, a security interest which was created under
the Security Interests (Jersey) Law 1983 (the
"previous Law"), and which is still in
effect when the new Law comes into force will continue to be
effective, and will be subject to the previous Law, rather than the
new Law. Further, the existing security interest will have priority
over any new security interest in the same collateral created under
the new Law unless otherwise agreed between the security interest
holders.
