PPSR Australia; Updated how Security Type, Default Grantor Status works

Background

You MUST send a Verification Statement to all Grantors, except where the Property is Commercial and the Grantor has waived their rights (which would normally be included in the Loan Contract) -

For more information see https://www.ppsr.gov.au/registering/create-your-registration/informing-grantors-verification-statements

BUT, you cannot enter Grantor details in a Consumer registration over a Serial Numbered property (such as a car, boat or plane).

For more information see https://www.ppsr.gov.au/registering/you-create-registration/grantors

So, sending Verification Statements to Grantors only applies for some Collateral Classes - and if Commercial this can be waived.

Changes

The Security Type default can only be set for Commercial Property, and the options are Required or Waived. For Consumer Collateral Types it is Required, except where there will be no Grantors, and in this case set to Not Applicable.

Collateral Classes that require you to send a Verification Statements to Grantors:

• Consumer: Agriculture
• Consumer: Agriculture - Crops
• Consumer: Agriculture - Livestock
• Consumer: All Present and after-acquired Property
• Consumer: All Present and after-acquired Property Except
• Consumer: Financial Property - Chattel Paper
• Consumer: Financial Property - Currency
• Consumer: Financial Property - Document Of Title
• Consumer: Financial Property - Intermediated Security
• Consumer: Financial Property - Investment Instrument
• Consumer: Financial Property - Negotiable Instrument
• Consumer: Intangible Property - Account
• Consumer: Intangible Property - General Intangible
• Consumer: Intangible Property - Intellectual Property - Circuit Layout
• Consumer: Intangible Property - Intellectual Property - Copyright
• Consumer: Other Good

Collateral Classes that may require you to send a Verification Statements to Grantors, i.e. can be Waived:

• Commercial: Agriculture
• Commercial: Agriculture - Crops
• Commercial: Agriculture - Livestock
• Commercial: Aircraft - Aircraft Engine
• Commercial: Aircraft - Airframe
• Commercial: Aircraft - Helicopter
• Commercial: Aircraft - Small Aircraft
• Commercial: All Present and after-acquired Property
• Commercial: All Present and after-acquired Property Except
• Commercial: Financial Property - Chattel Paper
• Commercial: Financial Property - Currency
• Commercial: Financial Property - Document Of Title
• Commercial: Financial Property - Intermediated Security
• Commercial: Financial Property - Investment Instrument
• Commercial: Financial Property - Negotiable Instrument
• Commercial: Intangible Property - Account
• Commercial: Intangible Property - General Intangible
• Commercial: Intangible Property - Intellectual Property
• Commercial: Intangible Property - Intellectual Property - Circuit Layout
• Commercial: Intangible Property - Intellectual Property - Copyright
• Commercial: Intangible Property - Intellectual Property - Design
• Commercial: Intangible Property - Intellectual Property - Patent
• Commercial: Intangible Property - Intellectual Property - Plant Breeders Right
• Commercial: Intangible Property - Intellectual Property - Trade Mark
• Commercial: Motor Vehicle
• Commercial: Other Good
• Commercial: Watercraft

Collateral Classes that will NOT have Verification Statements, and therefore cannot be sent to Grantors:

• Consumer: Aircraft - Aircraft Engine
• Consumer: Aircraft - Airframe
• Consumer: Aircraft - Helicopter
• Consumer: Aircraft - Small Aircraft
• Consumer: Intangible Property - Intellectual Property - Design
• Consumer: Intangible Property - Intellectual Property - Patent
• Consumer: Intangible Property - Intellectual Property - Plant Breeders Right
• Consumer: Intangible Property - Intellectual Property - Trade Mark
• Consumer: Motor Vehicle
• Consumer: Watercraft