PPSA update - commencement of the PPSA

 As of today, 30 January 2012:

• The Personal Property Securities Act 2009 (Cth) is in effect.
• Parts of the Corporations Act 2001 are repealed.
• You will receive certain PPSA related information from your banks and financiers as to their security interests over your property.
• Your commercial documentation including your terms of trade will need updated. Your financiers may require this.
• The concept of a fixed and floating charge is no more.
• You may lose title to goods you own unless you register an interest.
• You can register some security interests that arose prior to 30 January 2012.
• Security interests must now be registered on-line rather than at ASIC or on other registers such as REVs.
• Directors could be in breach of fiduciary duties by failing to understand the PPSA and register certain interests.
• You can raise finance on a broader spectrum of personal property than previously.

Contact Louis van Aardt (Lvanaardt@talbotolivier.com.au) at Talbot Olivier for further information or if you are concerned about the impact the PPSA will have on your business.