Please be aware that the transitional period for the PPSR will cease on 31 January 2014.
The PPS legislation has been in place for two years now and the period where pre 20 January 2102 arrangements could be afforded some protection is concluding.
Practically this means that anyone that has granted a long term lease or finance facility over equipment to another party could effectively lose their ability to retrieve the equipment if the other party defaults unless they perfect a valid registration.
Furthermore, and what is more likely to be the case, businesses that have employed asset protection strategies by holding valuable equipment in a separate asset holding entity will not be protected unless a valid registration is in place.
It is highly recommended that you should review your current circumstances and all related and third party arrangements to see if any require a PPSR registration.
It is also timely to remind everyone that Retention Of Title no longer works and has not done so since 20 January 2012. If you sell goods on credit and do not have the arrangement registered on the PPSR you do not have the ability to retrieve your goods if your do not get paid.
For more information in relation to how the register works and what it all means please contact Leigh Harry of this office or visit www.ppsr.gov.au where you can view some short webinars that will explain it further.
