Announcement

Collapse
No announcement yet.

PPSR Encumbrances

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • PPSR Encumbrances

    I did a PPSR check on a bike for sale in Melbourne today as I'm interested in getting it whilst I'm over there...

    It came back with the following document:
    http://tinyurl.com/psbppsr

    Is this suggesting that the vehicle was seized in Jan 14? I'm gonna give the "Sheriff's Office" a call tomorrow but curious as to the overall thoughts of the PSB community.

    Cheers

  • #2
    Ppsr is for companies protecting their assets against a company that may go into administration, this is a curve ball . Why would the sheriff register a bike with ppsr?
    when you get the answer let me know.
    No road to rough no muff to tough.

    Comment


    • #3
      Check this out:


      Log in before Personal Property Securities Register ‘transitional period' ends
      SECURED parties must register any ‘transitional security interests' on the Personal Properties Securities Register (PPSR) before the end of January 31, 2014 Canberra time. Otherwise the priority of any security interest may not be preserved under the Personal Properties Securities Act 2009 (PPS Act), which came into effect on January 30 last year.
      The PPSR deadline is January 30 2014.
      Examples of transitional securities interests (TSIs) that fall into this realm are those that have been created under leasing and hiring arrangements; retention of title supplies; and certain commercial consignment arrangements.
      The PPSR regards a TSI as an interest in personal property that, in effect, secures payment or performance of an obligation which existed prior to January 30, 2012. TSIs also include security interests that did not exist prior to that date, but were created under a security agreement that existed prior to January 30, 2012.


      An example could be goods supplied in March 2012 under a retention of title (RoT) agreement that was created in December 2011, which may give rise to a TSI.


      TSIs can also include ‘PPS leases', which are generally leases for a term of more than one year, or for certain serial numbered goods, such as a car, for a term of more than 90 days. The PPSR uses the term 'temporary perfection' to describe the process which currently preserves the priority status of a TSI.


      If the deadline is not met, temporary perfection for the TSI will not apply from February 1, 2014, which may cause future complications of arrangements. Registration of a TSI is free.


      Although there will still be the facility to register TSI on the PPSR after January 31, 2014, choosing to hold off registering until after that date will result in loss of the benefit of the transitional provisions.


      What this means is that the 'perfected' status of the security interest will only begin from the time of registration on the PPSR, instead of the earlier date allowable under the transitional provisions if registered before the end of January 31, 2014.


      If a security interest loses its 'perfected' status its priority ranking will not be preserved. This means another person with a security interest in the same collateral with a higher priority ranking, such as secured party who registered during the transitional period, may be paid out ahead of you in the event that the grantor (the person who hires or buys the goods, or borrows money) defaults.


      There is also the risk that if the grantor enters bankruptcy or insolvency and a security interest has not been perfected at relevant times, the security holder will lose their security interest altogether.


      From January 30, 2012, the PPS Act established a new system for the creation, priority and enforcement of security interests in personal property, which is generally all property other than land, fixtures and certain statutory interests. The PPS Act generally applies to security interests in goods located in Australia, or to the grantor of the security interest being an Australian entity.


      The centrepiece of the PPS Act is the national Personal Property Securities Register (PPSR) on which security interests in personal property may be registered.


      http://www.ppsr.gov.au/
      No road to rough no muff to tough.

      Comment


      • #4
        Thanks for that attachment...

        It still doesn't really make sense to me why they would register it though...

        Also - is the 'seizures' part relevant?

        Comment


        • #5
          It could be, my understanding is if this bike was under finance its been seized for whatever reason they register it on the ppsr ( the sheriff) they keep the bike as a proceed of crime. If they don't register it the finance company has the security over the bike and can auction it off themselves.
          If you buy the bike make sure it is removed off the register and no one has any interest over it.
          No road to rough no muff to tough.

          Comment


          • #6
            I gave them a call when they opened up this morning - they said that the encumbrance meant:

            1. The owner was fined whilst riding that vehicle and the fine has been unpaid - beyond the allowable time.

            and/or

            2. The vehicle was seized by the "Sheriff's Office" under hoon laws.


            Apparently, in the case of the first, the encumbrance registration is removed immediately upon payment of the fine. Couldn't get a straight answer regarding the second instance.

            While the encumbrance is there, the bike retains its current registration - however the registration cannot be renewed, transferred to another person or transferred to another state.

            Anyway - when I rang up to ask him he said he'd sold the bike to the next person in line because they hadn't asked as many questions and were able to show last night - I couldn't get there till Sunday morning...

            Comment


            • #7
              Originally posted by Fitze View Post
              I gave them a call when they opened up this morning - they said that the encumbrance meant:

              1. The owner was fined whilst riding that vehicle and the fine has been unpaid - beyond the allowable time.

              and/or

              2. The vehicle was seized by the "Sheriff's Office" under hoon laws.


              Apparently, in the case of the first, the encumbrance registration is removed immediately upon payment of the fine. Couldn't get a straight answer regarding the second instance.

              While the encumbrance is there, the bike retains its current registration - however the registration cannot be renewed, transferred to another person or transferred to another state.

              Anyway - when I rang up to ask him he said he'd sold the bike to the next person in line because they hadn't asked as many questions and were able to show last night - I couldn't get there till Sunday morning...
              lucky you asked the questions then

              because if those situations weren't rectified after you paid for the bike it wouldn't stop the interested parties coming and picking it up from you
              Do you remember the good old days before the internet?

              when arguments were only entered into by the physically or intellectually able.

              Comment


              • #8
                Originally posted by Fitze View Post
                I gave them a call when they opened up this morning - they said that the encumbrance meant:

                1. The owner was fined whilst riding that vehicle and the fine has been unpaid - beyond the allowable time.

                and/or

                2. The vehicle was seized by the "Sheriff's Office" under hoon laws.


                Apparently, in the case of the first, the encumbrance registration is removed immediately upon payment of the fine. Couldn't get a straight answer regarding the second instance.

                While the encumbrance is there, the bike retains its current registration - however the registration cannot be renewed, transferred to another person or transferred to another state.

                Anyway - when I rang up to ask him he said he'd sold the bike to the next person in line because they hadn't asked as many questions and were able to show last night - I couldn't get there till Sunday morning...
                Sounds like a good idea to stay away, we have our equipment on the ppsr for the simple reason if we have a contract go bad we retain our equipment even if it is financed and we don't make a payment due to not being paid we are to a degree protected from a financier getting toey!! It is a new thing out and legally largely untested, if that was their attitude toward you for asking a question then fuck em!! Problem is with this new legislation no one knows fuck all about it.
                No road to rough no muff to tough.

                Comment


                • #9
                  People with that attitude towards legitimacy of secondhand bikes or cars should not be trusted in any case.
                  Originally posted by tank-wombat
                  Geoff seems like a wise man who's soul will slowly be destroyed by the stupidity of some people
                  ----------------------------------------
                  TRX 850.

                  Comment

                  Working...
                  X