09 Apr Personal Property Securities
Q. What are Personal Property Securities?
A. The Personal Properties Securities Act, 2009 (Cth) (PPSA) relates to security interests in personal property. The PPSA does not apply to land, buildings or a fixture that forms part of the land. It is important to note that when selling property the PPSA may apply where personal property is sold in addition to the land such as an included chattel. At settlement, the ownership of any personal property included in the sale must be transferred to the Buyer free of any security interest.
TIP – The Buyer of property may conduct a search of the Personal Properties Security Register prior to settlement to check whether any of the personal items included in the sale are subject to a registered security interest. Where a search shows that a security interest applies to the personal property being sold the Seller is required to provide a discharge of the security interest prior to settlement.
Please feel free to contact us if you have any queries regarding the new changes.