Personal Property Securities Amendment Act 2004

1: Title
1: This Act is the Personal Property Securities Amendment Act 2004.
2: In this Act, the Personal Property Securities Act 1999 the principal Act
2: Commencement
This Act comes into force on the day after the date on which it receives the Royal assent.
3: How Act arranged
Section 5(1) Part 5
4: Part 5
1: The heading to section 9 goods or other collateral
2: Section 9 goods or other collateral
5: Interpretation
Section 16(1) regulations related company section 2(3) of the Companies Act 1993 .
6: New
section 17A The principal Act is amended by inserting, after section 17
17A: Subordinated trusts not security interests
For the avoidance of doubt, a beneficial interest in personal property held by a creditor (the senior creditor insolvent debtor
a: the personal property is property that has been distributed by the Official Assignee under the Insolvency Act 1967 Companies Act 1993 subordinated creditor
b: the beneficial interest was created or provided for under the terms of a security (as defined in section 2D of the Securities Act 1978
c: under those terms, the subordinated creditor must hold the personal property on trust for the senior creditor; and
d: the purpose of those terms is to postpone or subordinate the right of the subordinated creditor to the performance of all or any part of an obligation of the insolvent debtor to the right of the senior creditor to the performance of all or any part of another obligation of the insolvent debtor.
7: Meaning of knowledge
1: Section 19(1)
c: a government department knows or has knowledge of a fact in relation to a particular transaction when that fact has been brought to the attention of a senior employee of the government department with responsibility for the matters to which the fact relates, under circumstances in which a reasonable person would take cognisance of it.
2: Section 19
3: For the purposes of this section,— government department Part 1 of Schedule 1 of the Ombudsmen Act 1975 organisation
8: When Act does not apply
Section 23(c) except as provided in but without limiting the effect of
9: Rights or duties that apply to be exercised in good faith and in commercially reasonable manner
The heading to section 25 commercially reasonable manner accordance with reasonable standards of commercial practice
10: Temporary perfection of security interest in collateral moved to New Zealand in other cases
Section 28(1) by registration
11: Temporary perfection of security interest in negotiable instrument or investment security returned to debtor
Section 48(b) delivered gave possession of
12: Perfection where goods in hands of bailee
Section 50(c) bailee (being a person who is not the debtor)
13: Heading to
Part 5 The heading to Part 5 goods or other collateral
14: Secured party subrogated to rights of dealer against buyer or lessee
Section 65(1)(a) section 59 section 58
15: New
section 75A The principal Act is amended by inserting, before section 76
75A: Non-proceeds security interest in accounts receivable
1: A non-proceeds security interest in accounts receivable that is given for new value has priority over a purchase money security interest in the accounts receivable as proceeds of inventory if a financing statement relating to the security interest in the accounts receivable is registered before the purchase money security interest is perfected or a financing statement relating to it is registered.
2: In this section, non-proceeds security interest
3: Sections 73 to 75 Personal Property Security Act 1993, s 34(6), (7) (Saskatchewan) .
16: Lien has priority over perfected security interest relating to same goods
The heading to section 93 perfected
17: Priority of interests on assignment of account receivable or chattel paper
Section 102(1)(b) the assignor (including a defence by way of a right of set-off)
18: Execution creditor has priority over unperfected security interest
1: Section 103(1) who has seized in any
2: Section 103 subsection (1)
1A: In this section, time of execution
a: if the collateral is seized by an execution creditor or on an execution creditor's behalf, the time of seizure; or
b: in any other case, the time when a charging order or a garnishee order is made.
19: Contents of register
Section 140(d) or authorised
20: Data required to register financing statement
1: Section 142(e) or authorized
2: Section 142 subsection (2)
2: Subsection (1) section 149
21: When secured party to notify debtor about registration of financing statement
Section 148 financing change statement , or on whose behalf a financing statement or financing change statement has been registered,
22: New
section 169A The principal Act is amended by inserting, after section 169
169A: Restoration of registration
1: The Registrar may restore a registration if it appears to the Registrar that, due to a clerical error made by the Registrar, the registration has been incorrectly discharged or removed.
2: A registration restored under subsection (1)
23: New heading and
sections 170 170A The principal Act is amended by repealing the heading above section 170 and section 170 Removal of data from register and correction of errors or omissions
170: Removal of data from register
1: Data in a registration may be removed from the register—
a: when the registration is no longer effective; or
b: on the registration of a financing change statement discharging or partially discharging the registration; or
c: if the Registrar is satisfied that the data is frivolous or vexatious.
2: The Registrar must, before he or she makes a decision under subsection (1)(c)
3: If the secured party fails within 10 working days of the date on which the notice is given to show cause to the Registrar's satisfaction why the data is not frivolous or vexatious, the Registrar may, in the Registrar's discretion, remove the data from the register.
4: If data is removed from the register under subsection (1)(c)
5: The Court may make any other orders that it thinks proper for the purpose of giving effect to an order under subsection (4)
6: The Registrar must restore the data to the register in accordance with a court order made under subsection (4) Personal Property Security Act 1993, s 46 (New Brunswick)
170A: Correction of errors or omissions
The Registrar may, with the consent of the secured party, correct any clerical error or omission made by the Registrar in a registration.
24: Search criteria
Section 172(e) or authorised
25: Search purposes, etc
1: Section 173(c) subparagraph (ii)
iia: establishing whether to provide credit to, or to obtain a guarantee or an indemnity from, a related company of the company named in the search or of the company with an interest in the personal property described in the search: .
2: Section 173(c)
iv: establishing whether to invest in, with, or through, a related company of the company named in the search or of the company with an interest in the personal property described in the search: .
26: Secured party to provide certain information relating to security interest
Section 177(1)(c) personal property collateral
27: Certain other prior security interests deemed to be perfected during transitional period
Section 196 any other prior security interest every other prior security interest (if any)
28: Consequences of not perfecting certain security interests
Section 198 subsection (2)
2: If a prior security interest that is deemed to be an unperfected security interest under subsection (1)
29: Time of registration of certain prior security interests
Section 199(a) (b) time date