Registration timing
The windows that decide whether a registration gets PMSI priority and survives s588FL.
Inventory: before the customer takes possession. Other goods and PPS leases: within 15 business days of possession. Any company grantor: within 20 business days of the security agreement coming into force. Any grantor: before an insolvency appointment. Missing a window does not void the registration, but it loses priority or, in the last two cases, the goods.
Related terms
- PMSI (purchase money security interest) — A security interest that secures the purchase price of goods, or a lessor's interest under a PPS lease; it can rank ahead of earlier registrations.
- Section 588FL (20 business days) — The Corporations Act rule that a security interest from a company must be registered within 20 business days of the agreement, or at least six months before insolvency, or it vests in the company.
- Vesting (s267) — The rule that an unperfected security interest passes to the grantor when the grantor becomes insolvent.
Need this registered, not just defined?
Free check: am I covered?