'Personal Property' is a legal term for any property that is not land, buildings or fixtures. This definition can vary considerably from goods, stock, artworks, motor vehicles, livestock/crops, equipment and even intangible property such as commercial licenses, intellectual property and debts/loans.
In short, you will need to register a notice on the PPSR to prove that you have rights over property and secure repayment of a debt or another obligation that someone owes you. The introduction of the Personal Properties Securities Act 2009 has abolished the ordinary legal concepts of 'legal title' and 'ownership'.
- Sell goods on credit (with or without 'Retention of Title')
- Rent, lease or hire equipment (or any asset) to customers or provide equipment or goods on consignment or bailment (including related parties)
- Provide credit facilities, make loans or advances to anyone and in any form (including to related parties)
- Have property located off-site (or held in trust) by other parties (including related parties)
- Grant licenses to other parties to use any of your products, trademarks or intellectual property
- Intend to take security over personal property
- Use a traditional 'asset protection structure' (such as an asset holding entity providing equipment to a trading entity)
- Have involvement in leasing commercial land, buildings or offices to tenants
If you have answered 'Yes' to one or more of the above, we encourage you to enquire further as to whether you need to take appropriate action now to protect yourself.
Our experienced advisors can assist you with this process.