Document ID: chunk:federal_register_of_legislation:C2024C00719:section:66
Version: federal_register_of_legislation:C2024C00719
Segment Type: section
Provision Reference: s 66
Character Range: 156980–158252

66  Application of this Division
 (1) This Division sets out the priority between 2 security interests (a transferor‑granted interest and a transferee‑granted interest) if:
 (a) a grantor transfers collateral (the transferred collateral) to a transferee; and
 (b) immediately before the transfer, a security interest (the transferor‑granted interest) is attached to the collateral; and
 (c) the transferee grants (whether before or after the transfer) a security interest (the transferee‑granted interest) in the transferred collateral; and
 (d) neither the transferor‑granted interest nor the transferee‑granted interest is currently perfected by control.
Note 1: If either or both of the interests are currently perfected by control under paragraph 21(2)(c), section 57 applies.
Note 2: If the priority between a transferor‑granted interest and a transferee‑granted interest is not covered by this section, then section 55 applies.
Note 3: For attachment and perfection in relation to transferred collateral, see section 34.
Note 4: For a grantor's rights in relation to transferring collateral, see section 79.
 (2) This Division does not prevent a secured party from perfecting a security interest in any way in order to have priority over another security interest.