What does the new PPS reform mean to you?

What does the new Personal Property Securities (PPS) reform mean to you? It’s good news for businesses who lease or supply goods, because by registering your security interests in the goods you supply or lease, you help ensure that you get paid even if a debtor defaults or goes bankrupt.

The new PPS Register took effect on the 30th January 2012 and replaces various Commonwealth, State and Territory registers in one central, online register, available in real time 24 hours per day, 7 days per week.

Personal property is any form of property other than land or buildings and fixtures which form part of that land. It can include tangibles such cars, boats, machinery, crops; as well as intangibles such as shares, intellectual property and contract rights.

Buyers purchasing a car from an individual you will be able to conduct a search on the register to ensure you are receiving clear unencumbered title to the car. This will replace the current REVS system.

Under the new laws Retention of title terms currently used by businesses will no longer exist and new security interests will need to be registered on the PPS register to be effective protection.

For more information on the new PPS and how it will affect you, contact us on 07 5594 3434 or go to http://www.ppsr.gov.au/.