Document ID: chunk:federal_register_of_legislation:C2025C00185:section:588fp:p2
Version: federal_register_of_legislation:C2025C00185
Segment Type: section
Provision Reference: s 588FP (pt 2/2)
Character Range: 2032468–2033812

the debt, liability or obligation is void under subsection (1).
 (7) Subsection (1) does not affect the title of a person to property if:
 (a) the person acquires the property for new value (within the meaning of the Personal Property Securities Act 2009) from any of the following persons (the seller):
 (i) a person covered by subsection (2);
 (ii) another person on behalf of a person covered by subsection (2);
 (iii) a receiver, or receiver and manager, appointed under powers conferred by an instrument creating or evidencing the security interest; and
 (b) at the time the person acquires the property, the person has no actual or constructive knowledge that the seller is a secured party or acting on behalf of a secured party.
 (8) Sections 297 to 300 of the Personal Property Securities Act 2009 apply in relation to the determination of whether or not a person has actual or constructive knowledge as mentioned in paragraph (7)(b) of this section.

Onus of proof
 (9) In a proceeding in Australia under this Act, the onus of proving the fact that a person acquires property without actual or constructive knowledge as mentioned in paragraph (7)(b) lies with the person asserting that fact.

Division 3—Duties to prevent insolvent trading and creditor‑defeating dispositions

Subdivision A—Director's duty to prevent insolvent trading