Document ID: chunk:federal_register_of_legislation:C2024C00719:section:151:p2
Version: federal_register_of_legislation:C2024C00719
Segment Type: section
Provision Reference: s 151 (pt 2/2)
Character Range: 266436–267770

day when there stopped being reasonable grounds for the belief.
Note: The period of 5 business days may be extended by a court under section 293.

Damages for contravention of requirements
 (5) For the purposes of section 271 (but without limiting that section):
 (a) compliance with subsection (1) or (2) is taken to be an obligation imposed on a person who applies, or is required to apply, for the registration of a financing statement or a financing change statement; and
 (b) any person with an interest in personal property described in the financing statement or financing change statement is taken to be a person to whom that obligation is owed; and
 (c) a contravention of subsection (1) or (2) is taken to be a failure to discharge that obligation.
Note: Section 271 gives a right to recover damages for any loss or damage in relation to such a failure.

Registration unaffected by contravention
 (6) However, if a person applies for a registration of a financing statement or a financing change statement in contravention of subsection (1), and the statement is registered accordingly, the contravention does not affect the validity or effectiveness of the registration.

Registrations with respect to security interests only
 (7) This section only applies in relation to a registration with respect to a security interest.