the personal property Securities act changes the nature of security in Australia and creates a new Central law and register hi I'm part of the business banking team at NAB and wanted to quickly fill you in on the new Federal government's personal property Securities register or ppsr that goes live in 2012 the ppsr is a public notice board developed as a single repository for recording and viewing security interests everyone from individuals companies trusts Partnerships and big corporations will need to register their security interest in property in order to preserve their rights to that property in today's world title or ownership of property is sufficient to hold on to your rights but under the new ppsa if you don't register a security interest in your own property you could lose [Music] it we're a large manufacturer and like other manufacturers wholesalers and suppliers of goods we Supply Goods on terms of trade which often include retention of title Arrangements we'll now have to register these Ro Arrangements in order to be enforcable against the customer or the customer's Liquidator if they become insolvent if we're not registered then we won't be entitled to recover Goods even though title is retained by us the personal property Securities act encompasses all kinds of property except land buildings and fixtures on land and some water rights and also extends to include leases Goods on retention of title commercial Consignment balment and hire of equipment amongst other things registering on the PPS register perfects the security interest generally a search of the register will identify registered personal property Securities although fees will apply to use this service NAB will need to make registrations against you in relation to your business and your business will probably need to make registration on that register in relation to your [Music] customers the ppsa contains some new rules with regard to hiring Arrangements of Serial numbered Goods if your business hirees serial Goods like we do to a customer for 90 days or longer it's important you register that interest with a ppsr that way if your customer becomes insolvent you can get your equipment back it's important to just take the time to note and specify the correct serial [Music] number if NAB provides funding to you for a new piece of equipment NAB will register a security interest in in that equipment on the PPS register or if a supplier provides Goods to you on trade terms they may register a security interest on the PPS register to protect their interest in those goods neb will ask you to ensure that you register your own interest in property that you either Supply on a retention of title basis or un lease as part of your [Music] business NAB sends us notices from time to time letting us know that they've registered security interest against us from our window we need to make sure we keep our registrations up to date whether it's registering more interest in my crops or even leasing in my price stud bll if these interests don't appear in the PPS register there's a chance we could lose them we also might need to provide evidence of my registration for my NAB Banker these examples are by no means exhaustive and registering Securities goes well beyond these you should consider implementing business PR process and systems to protect your interest with the highest priority possible in some circumstances NAB will require you to demonstrate that you have done this so be ready to provide further information to your Banker if requested for example vinor serial number information about your goods security interests you have registered and security interests registered against you on the PPS register and any priority arrangements with other parties make sure you seek your own legal advice from appropriate experts about the application of the PPS act to your business and speak with your NAB Banker additionally be prepared to provide verification statements or other evidence of your registration to your bank if requested for more information about the PPS register visit the PPS website www. ppsr dogo.com