January 2019 marks the seven year anniversary of the commencement of the Personal Properties Securities Act (PPSA) and the Personal Property Securities Register (PPSR).
If you undertook 7-year PPSR registrations at the commencement of the Act (or sometime during that first year), there is a likelihood that these registrations will lapse in the coming months.
We are therefore reminding all clients that PPSR registrations need to be reviewed and action taken to ensure you are not inadvertently putting your assets at risk by letting them lapse. While current registrations can be easily renewed or amended, expired registrations cannot be extended.
Remember that timing is key under the PPSA
A perfected security interest with an earlier registration time takes priority over a security interest with a later registration time. If a registration lapses, a new security interest will need to be registered but the new security interest may not have the same priority as the original registration. However, existing registrations that are renewed retain the original registration date and priority.
Steps to take now to protect your security interests
- Review the expiry dates of your PPSR registrations. A ‘registrations due to expire’ report can be obtained through your online PPSR account. Simply log in to the PPSR, navigate to the reports tab and click request a report.
- Renew any current (and still needed) registrations before they expire. When renewing a registration, you can only amend the expiry date. If you have other details that need to be changed you should opt to amend the registration instead. Note though that only some registration attributes can be amended. Learn more about what can and can’t be amended here.
- If you have registrations that are no longer needed you can simply allow them to lapse or you can opt to discharge them for free.
Further help:
Marsh & Partners are able to assist you with:
- Helping you work out what registrations are due to expire in 2019 and whether they need to be extended
- Amending and renewing your PPSR registrations
- Registering new or expired security interests
If you would like assistance with your registrations, or further guidance on the PPSA and asset protection, please contact us on 07 3023 4800 or at mail@marshpartners.com.au.
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