PERSONAL PROPERTY SECURITIES (CONSEQUENTIAL AMENDMENTS) BILL 2009

i Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

B09AP201.v06.docx 25/9/2009 3:25 PM

Contents

1 Short

title

...........................................................................................

2 Commencement

.................................................................................

3 Schedule(s)

........................................................................................

Schedule 1--Fisheries legislation

Fisheries Management Act 1991

Torres Strait Fisheries Act 1984

Schedule 2--Intellectual property legislation

Designs Act 2003

Patents Act 1990

Plant Breeder's Rights Act 1994

Trade Marks Act 1995

Schedule 3--Maritime legislation

Admiralty Act 1988

Marine Navigation Levy Collection Act 1989

Marine Navigation (Regulatory Functions) Levy Collection Act 1991

Navigation Act 1912

Protection of the Sea (Civil Liability) Act 1981

Protection of the Sea (Harmful Anti-fouling Systems) Act 2006

Protection of the Sea (Prevention of Pollution from Ships) Act 1983

Protection of the Sea (Shipping Levy Collection) Act 1981

Shipping Registration Act 1981

Schedule 4--Personal Property Securities Act 2009

Schedule 5--Other legislation

Air Services Act 1995

Bankruptcy Act 1966

Commonwealth Inscribed Stock Act 1911

Corporations (Aboriginal and Torres Strait Islander) Act 2006

Health Insurance Act 1973

Insurance Act 1973

Privacy Act 1988

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 1

A Bill for an Act to deal with consequential matters

arising from the enactment of the Personal Property

Securities Act 2009, to amend that Act, and for

related purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Personal Property Securities

(Consequential Amendments) Act 2009.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

2 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Commencement information

Column 1

Column 2

Column 3

Provision(s) Commencement

Date/Details

1. Schedules 1, 2

and 3

The registration commencement time within

the meaning of section 306 of the Personal

Property Securities Act 2009.

However, the provision(s) do not commence

at all if the Personal Property Securities Act

2009 does not commence.

2. Schedule 4,

items 1 to 7

The later of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009.

However, the provision(s) do not commence

at all if the event mentioned in paragraph (b)

does not occur.

3. Schedule 4,

item 8

The latest of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009; and

the National Consumer Credit Protection

Act 2009 commences.

However, the provision(s) do not commence

at all if either of the events mentioned in

paragraphs (b) and (c) does not occur.

4. Schedule 4,

items 9 to 35

The later of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009.

However, the provision(s) do not commence

at all if the event mentioned in paragraph (b)

does not occur.

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 3

Commencement information

Column 1

Column 2

Column 3

Provision(s) Commencement

Date/Details

5. Schedule 4,

item 36

The latest of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009; and

the National Consumer Credit Protection

Act 2009 commences.

However, the provision(s) do not commence

at all if either of the events mentioned in

paragraphs (b) and (c) does not occur.

6. Schedule 4,

items 37 to 64

The later of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009.

However, the provision(s) do not commence

at all if the event mentioned in paragraph (b)

does not occur.

7. Schedule 5,

items 1 to 18

The registration commencement time within

the meaning of section 306 of the Personal

Property Securities Act 2009.

However, the provision(s) do not commence

at all if the Personal Property Securities Act

2009 does not commence.

8. Schedule 5,

items 19 and 20

The later of:

(a) the start of the day this Act receives the

Royal Assent; and

(b) immediately after the commencement of

the Personal Property Securities Act

2009.

However, the provisions do not commence

at all if the event mentioned in paragraph (b)

does not occur.

9. Schedule 5,

The registration commencement time within

4 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Commencement information

Column 1

Column 2

Column 3

Provision(s) Commencement

Date/Details

items 21 to 50

the meaning of section 306 of the Personal

Property Securities Act 2009.

However, the provision(s) do not commence

at all if the Personal Property Securities Act

2009 does not commence.

Note:

This table relates only to the provisions of this Act as originally

passed by both Houses of the Parliament and assented to. It will not be

expanded to deal with provisions inserted in this Act after assent.

(2) Column 3 of the table contains additional information that is not

part of this Act. Information in this column may be added to or

edited in any published version of this Act.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or

repealed as set out in the applicable items in the Schedule

concerned, and any other item in a Schedule to this Act has effect

according to its terms.

Fisheries legislation Schedule 1

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 5

Schedule 1--Fisheries legislation

Fisheries Management Act 1991

1 Subsection 4(1)

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

2 Subsection 4(1)

Insert:

statutory fishing rights option has the meaning given by

section 31A.

3 Subsection 31A(1)

Omit "statutory fishing rights option", substitute "statutory fishing

rights option".

4 Subsection 31A(4)

Omit "statutory fishing rights option", substitute "statutory fishing

rights option".

Schedule 1 Fisheries legislation

6 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

5 At the end of subsection 31F(1)

Add ", other than an interest that is a PPSA security interest".

Note 1: The heading to section 31F is altered by omitting "Creation etc. of interests" and

substituting "Registration of dealings".

Note 2: The following heading to subsection 31F(1) is inserted "Scope".

Note 3: The following heading to subsection 31F(2) is inserted "Registration of dealings".

Note 4: The following heading to subsection 31F(6) is inserted "Partial assignment of statutory

fishing rights options".

Note 5: The following heading to subsection 31F(7) is inserted "Refusal to register dealings".

Note 6: The following heading to subsection 31F(8) is inserted "Documentation of registration

of dealings".

6 Subsection 31F(9)

Repeal the subsection.

7 After section 31F

Insert:

31FA Interests in statutory fishing rights options--priority between

section 31F interests and PPSA security interests

Scope

(1) This section sets out the priority between the following interests in

a statutory fishing rights option:

(a) an interest (the section 31F interest) that is the subject of a

dealing (the section 31F dealing), if the dealing has effect

under section 31F (by registration);

(b) a PPSA security interest.

Priority rules

(2) The priority is as set out in the following table:

Priority between PPSA security interests and section 31F interests

Item

If ...

then ...

the PPSA security interest is not

perfected (whether by registration or

otherwise) within the meaning of the

the section 31F interest has priority.

Fisheries legislation Schedule 1

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 7

Priority between PPSA security interests and section 31F interests

Item

If ...

then ...

Personal Property Securities Act

2009

(a) the PPSA security interest is

perfected (whether by

registration or otherwise) within

the meaning of the Personal

Property Securities Act 2009;

and

(b) the section 31F dealing is

registered under section 31F of

this Act before the priority time

for the PPSA security interest

under section 55 of the Personal

Property Securities Act 2009

the section 31F interest has priority.

(a) the PPSA security interest is

perfected (whether by

registration or otherwise) within

the meaning of the Personal

Property Securities Act 2009;

and

(b) the section 31F dealing is

registered under section 31F of

this Act at or after the priority

time for the PPSA security

interest under section 55 of the

Personal Property Securities Act

2009

the PPSA security interest has

priority.

(3) Subsection 73(2) of the Personal Property Securities Act 2009

applies to the section 31F interest.

Note 1:

The effect of subsection (3) is that the priority between a section 31F

interest and a PPSA security interest in a statutory fishing rights

option is to be determined in accordance with this Act rather than the

Personal Property Securities Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to section 31F interests that arise after the commencement of

subsection (3) of this section (which commences at the registration

commencement time within the meaning of the Personal Property

Securities Act 2009).

8 Subsection 31J(1)

Schedule 1 Fisheries legislation

8 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Omit ", subject only to any rights appearing in the Register to be vested

in another person,", substitute ", subject to this section,".

9 After subsection 31J(1)

Insert:

(1A) A dealing mentioned in subsection (1) is subject to:

(a) any rights appearing in the Register to be vested in another

person, other than any such rights that are PPSA security

interests; and

(b) any rights or interests in the statutory fishing rights option

that are PPSA security interests, to the extent provided by the

Personal Property Securities Act 2009.

10 At the end of subsection 46(1)

Add ", other than an interest that is a PPSA security interest".

Note 1: The heading to section 46 is altered by omitting "Creation etc. of interests" and

substituting "Registration of dealings".

Note 2: The following heading to subsection 46(1) is inserted "Scope".

Note 3: The following heading to subsection 46(2) is inserted "Registration of dealing".

Note 4: The following heading to subsection 46(5) is inserted "Documentation of registration of

dealings".

11 Subsection 46(6)

Repeal the subsection.

12 After section 46

Insert:

46A Interests in fishing rights--priority between section 46 interests

and PPSA security interests

Scope

(1) This section sets out the priority between the following interests in

a fishing right:

(a) an interest (the section 46 interest) that is the subject of a

dealing (the section 46 dealing), if the dealing has effect

under section 46 (by registration);

(b) a PPSA security interest.

Fisheries legislation Schedule 1

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 9

Priority rules

(2) The priority is as set out in the following table:

Priority between PPSA security interests and section 46 interests

Item

If ...

then ...

the PPSA security interest is not

perfected (whether by registration or

otherwise) within the meaning of the

Personal Property Securities Act

2009

the section 46 interest has priority.

(a) the PPSA security interest is

perfected (whether by

registration or otherwise) within

the meaning of the Personal

Property Securities Act 2009;

and

(b) the section 46 dealing is

registered under section 46 of

this Act before the priority time

for the PPSA security interest

under section 55 of the Personal

Property Securities Act 2009

the section 46 interest has priority.

(a) the PPSA security interest is

perfected (whether by

registration or otherwise) within

the meaning of the Personal

Property Securities Act 2009;

and

(b) the section 46 dealing is

registered under section 46 of

this Act at or after the priority

time for the PPSA security

interest under section 55 of the

Personal Property Securities Act

2009

the PPSA security interest has

priority.

(3) Subsection 73(2) of the Personal Property Securities Act 2009

applies to the section 46 interest.

Note 1:

The effect of subsection (3) is that the priority between a section 46

interest and a PPSA security interest in a fishing right is to be

determined in accordance with this Act rather than the Personal

Property Securities Act 2009.

Schedule 1 Fisheries legislation

10 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to section 46 interests that arise after the commencement of

subsection (3) of this section (which commences at the registration

commencement time within the meaning of the Personal Property

Securities Act 2009).

13 Subsection 48(1)

Omit ", subject only to any rights appearing in the Register to be vested

in another person and to section 49,", substitute ", subject to this

section,".

14 After subsection 48(1)

Insert:

(1A) A dealing mentioned in subsection (1) is subject to:

(a) section 49; and

(b) any rights appearing in the Register to be vested in another

person, other than any such rights that are PPSA security

interests; and

security interests, to the extent provided by the Personal

Property Securities Act 2009.

15 Subsection 50(3)

Repeal the subsection.

16 Subdivision F of Division 6 of Part 6

Repeal the Subdivision, substitute:

Subdivision F--Enforcement action under this Act prevails

over other action

108A Seizure or forfeiture has effect despite other proceedings

(1) The seizure, detention or forfeiture of a boat or any other property

(including fish) under this Act has effect despite:

(a) any or all of the following events (each of which is an

admiralty event):

(i) the arrest of the boat under the Admiralty Act 1988;

(ii) the making of an order for the sale of the boat by a court

in proceedings brought under the Admiralty Act 1988;

Fisheries legislation Schedule 1

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 11

(iii) the sale of the boat under an order made by a court in

proceedings brought under the Admiralty Act 1988; or

(b) any action (a PPSA event) taken in relation to the

enforcement under Part 4.3 of the Personal Property

Securities Act 2009 of a PPSA security interest in the boat or

other property.

(2) Subsection (1) has effect regardless of whether the seizure,

detention or forfeiture, or the event that was the basis for the

seizure, detention or forfeiture, occurred before or after the

admiralty event or the PPSA event.

17 Application of amendments of the Fisheries Management

Act 1991

The requirements in sections 31F and 46 of the Fisheries Management

Act 1991 in relation to the registration of dealings in respect of interests

that are PPSA security interests stop applying at the time item 5 of this

Schedule commences.

Note:

Item 5 commences at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

18 Transitional--item 15

(1)

This item applies if:

(a) before the time that item 15 of this Schedule commenced, the

Australian Fisheries Management Authority was required to

give a person written notification under subsection 50(3) of

the Fisheries Management Act 1991 (as in force at that time);

and

(b) at that time, the Australian Fisheries Management Authority

had not complied with the requirement.

Note:

Item 15 commences at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

(2)

The Australian Fisheries Management Authority must comply with the

requirement as if the repeal of subsection 50(3) of the Fisheries

Management Act 1991 by item 15 of this Schedule had not happened.

Torres Strait Fisheries Act 1984

19 Subsection 3(1)

Schedule 1 Fisheries legislation

12 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

20 Section 52J

Repeal the section, substitute:

52J Seizure or forfeiture has effect despite other proceedings

(1) The seizure, detention or forfeiture of a boat or any other property

(including fish) under this Act has effect despite:

(a) any or all of the following events (each of which is an

admiralty event):

(i) the arrest of the boat under the Admiralty Act 1988;

(ii) the making of an order for the sale of the boat by a court

in proceedings brought under the Admiralty Act 1988;

(iii) the sale of the boat under an order made by a court in

proceedings brought under the Admiralty Act 1988; or

(b) any action (a PPSA event) taken in relation to the

enforcement under Part 4.3 of the Personal Property

Securities Act 2009 of a PPSA security interest in the boat or

other property.

(2) Subsection (1) has effect regardless of whether the seizure,

detention or forfeiture, or the event that was the basis for the

Schedule 2 Intellectual property legislation

14 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Schedule 2--Intellectual property legislation

Designs Act 2003

1 Section 5

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

2 After subsection 12(2)

Insert:

(2A) Despite subsection (1), the recording in the Register of a right that

is a PPSA security interest does not affect a dealing with an interest

in a registered design.

3 At the end of section 12

Add:

(4) Subsection (3) does not apply in relation to an equity that is a

PPSA security interest.

Note: The

Personal Property Securities Act 2009 deals with the rights of

purchasers of personal property (including intellectual property such

as designs) that is subject to PPSA security interests. That Act also

Intellectual property legislation Schedule 2

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 15

provides for the priority and enforcement of PPSA security interests.

See the following provisions of that Act:

(a) Part 2.5 (taking personal property free of security interests);

(b) Part 2.6 (priority between security interests);

4 After subsection 118(3)

Insert:

(3A) This section does not apply in relation to any particulars recorded

in the Register in relation to a PPSA security interest.

Note:

Certain particulars relating to registrations in respect of PPSA security

interests under the Personal Property Securities Act 2009 are

admissible in evidence: see section 174 of that Act.

5 Section 119

Before "A document", insert "(1)".

6 At the end of section 119

Add:

(2) However, subsection (1) does not restrict the admissibility in

evidence in a court of a document or instrument in relation to a

PPSA security interest.

Note:

Certain particulars relating to registrations in respect of PPSA security

interests under the Personal Property Securities Act 2009 are

admissible in evidence: see section 174 of that Act.

7 Application of amendments of the Designs Act 2003

(1)

The amendment of the Designs Act 2003 made by item 2 of this

Schedule does not apply in relation to a dealing that starts before the

time the item commences.

(2)

The amendment of the Designs Act 2003 made by item 3 of this

Schedule does not apply in relation to the enforcement of an equity if

the equity starts to be enforced before the time the item commences.

(3)

The amendments of the Designs Act 2003 made by items 4, 5 and 6 of

this Schedule do not apply in relation to any proceedings in a court or

tribunal in relation to designs (or interests in designs) that are

commenced before the time the items commence.

Schedule 2 Intellectual property legislation

16 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Note:

Items 2 to 6 commence at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Patents Act 1990

8 Section 3 (list of definitions)

Insert "PPSA security interest".

9 After subsection 189(2)

Insert:

(2A) Despite subsection (1), the recording in the Register of a right that

is a PPSA security interest does not affect a dealing with a patent.

10 At the end of section 189

Add:

(4) Subsection (3) does not apply in relation to an equity that is a

PPSA security interest.

Note: The

Personal Property Securities Act 2009 deals with the rights of

purchasers of personal property (including intellectual property such

as patents) that is subject to PPSA security interests. That Act also

provides for the priority and enforcement of PPSA security interests.

See the following provisions of that Act:

(a) Part 2.5 (taking personal property free of security interests);

(b) Part 2.6 (priority between security interests);

11 At the end of section 195

Add:

(3) This section does not apply in relation to any particulars registered

in the Register in relation to a PPSA security interest.

Note:

Certain particulars relating to registrations in respect of PPSA security

interests under the Personal Property Securities Act 2009 are

admissible in evidence: see section 174 of that Act.

12 Section 196

Before "A document", insert "(1)".

13 At the end of section 196

Add:

Intellectual property legislation Schedule 2

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 17

(2) However, subsection (1) does not restrict the admissibility in any

proceedings of a document in relation to a PPSA security interest.

Note:

Certain particulars relating to registrations in respect of PPSA security

interests under the Personal Property Securities Act 2009 are

admissible in evidence: see section 174 of that Act.

14 Schedule 1 (Dictionary)

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

15 Application of amendments of the Patents Act 1990

(1)

The amendment of the Patents Act 1990 made by item 9 of this

Schedule does not apply in relation to a dealing that starts before the

time the item commences.

(2)

The amendment of the Patents Act 1990 made by item 10 of this

Schedule does not apply in relation to the enforcement of an equity if

the equity starts to be enforced before the time the item commences.

(3)

The amendments of the Patents Act 1990 made by items 11, 12 and 13

of this Schedule do not apply in relation to any proceedings in a court or

tribunal in relation to patents (or interests in patents) that are

commenced before the time the items commence.

Schedule 2 Intellectual property legislation

18 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Note:

Items 9 to 13 commence at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Plant Breeder's Rights Act 1994

16 At the end of section 20

Add:

Note 1:

The Personal Property Securities Act 2009 applies to PBR, and any

licence in PBR, as intellectual property (see paragraph (d) of the

definition of that phrase in section 10 of that Act). That Act deals with

security interests in personal property, including intellectual property

and intellectual property licences.

Note 2:

Section 106 of the Personal Property Securities Act 2009 corresponds

to subsection 20(3) of this section. Section 106 of that Act provides

for security agreements in relation to intellectual property licences (or

sub-licences) to be binding on successors in title to the licences (or

sub-licences).

17 At the end of section 25

Add:

Note: The

Personal Property Securities Act 2009 deals with security

interests in personal property, including a right to apply for PBR.

Trade Marks Act 1995

18 Section 6

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Intellectual property legislation Schedule 2

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 19

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

19 After subsection 22(2)

Insert:

(2A) Despite subsection (1), the recording in the Register of a right that

is a PPSA security interest does not affect a dealing with a trade

mark.

Note: For

PPSA security interest see section 6.

20 At the end of section 22

Add:

(4) Subsection (3) does not apply in relation to an equity that is a

PPSA security interest.

Note: The

Personal Property Securities Act 2009 deals with the rights of

purchasers of personal property (including intellectual property such

as trade marks) that is subject to PPSA security interests. That Act

also provides for the priority and enforcement of PPSA security

interests. See the following provisions of that Act:

(a) Part 2.5 (taking personal property free of security interests);

(b) Part 2.6 (priority between security interests);

21 Section 113

Repeal the section, substitute:

113 Application for registration of interest or right in trade mark

Scope

(1) This section applies in relation to an interest in, or right in respect

of, a registered trade mark, if the interest or right may not be

recorded in the Register under Part 10.

Application for registration of interest or right

(2) A person claiming the interest or right may apply to the Registrar

to have particulars of the claim recorded in the Register.

(3) The application must:

Schedule 2 Intellectual property legislation

20 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(a) be in an approved form; and

(b) be accompanied by proof to the reasonable satisfaction of the

Registrar of the applicant's entitlement to the claimed interest

or right; and

Note: For

registered trade mark, approved form and file see section 6.

22 Section 117

Repeal the section, substitute:

117 Application for recording of interest or right in trade mark

Scope

(1) This section applies in relation to an interest in, or right in respect

of, a trade mark, if a person has applied for the registration of the

trade mark.

Application for recording of interest or right

(2) A person claiming the interest or right may apply to the Registrar

for a record to be kept of the claim.

(3) The application must:

(a) be in an approved form; and

(b) be accompanied by proof to the reasonable satisfaction of the

Registrar of the applicant's entitlement to the claimed interest

or right; and

Note: For

registered trade mark, approved form and file see section 6.

23 At the end of section 210

Add:

(4) This section does not apply in relation to any particular or other

matter entered in the Register in relation to a PPSA security

interest.

Note 1:

For PPSA security interest see section 6.

Note 2:

Certain particulars relating to registrations in respect of PPSA security

interests under the Personal Property Securities Act 2009 are

admissible in evidence: see section 174 of that Act.

Intellectual property legislation Schedule 2

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 21

24 Application of amendments of the Trade Marks Act 1995

(1)

The amendment of the Trade Marks Act 1995 made by item 19 of this

Schedule does not apply in relation to a dealing that starts before the

time the item commences.

(2)

The amendment of the Trade Marks Act 1995 made by item 20 of this

Schedule does not apply in relation to the enforcement of an equity if

the equity starts to be enforced before the time the item commences.

(3)

The amendments of the Trade Marks Act 1995 made by items 21 and 22

of this Schedule do not apply in relation to applications to the Registrar

made under section 113 or 117 of that Act before the time the items

commence.

(4)

The amendment of the Trade Marks Act 1995 made by item 23 of this

Schedule does not apply in relation to any proceedings in a court or

tribunal in relation to trade marks (or interests in trade marks) that are

commenced before the time the item commences.

Note:

Items 19 to 23 commence at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Schedule 3 Maritime legislation

22 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Schedule 3--Maritime legislation

Admiralty Act 1988

1 Section 32

After "59", insert "or 59A".

Marine Navigation Levy Collection Act 1989

2 Section 10

Before "Any", insert "(1)".

3 At the end of section 10

Add:

(2) While a ship is detained under subsection (1), a person does not

have the power of seizure provided for by section 123 of the

Personal Property Securities Act 2009 in relation to the ship.

Marine Navigation (Regulatory Functions) Levy Collection

Act 1991

4 Section 9

Before "Any", insert "(1)".

5 At the end of section 9

Add:

(2) While a ship is detained under subsection (1), a person does not

have the power of seizure provided for by section 123 of the

Personal Property Securities Act 2009 in relation to the ship.

Navigation Act 1912

6 Subsection 6(1)

Insert:

Maritime legislation Schedule 3

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 23

PPSA security interest (short for Personal Property Securities Act

security interest) means:

(a) a security interest within the meaning of the Personal

Property Securities Act 2009 and to which that Act applies

(other than a transitional security interest within the meaning

of that Act); or

(b) a transitional security interest within the meaning of that Act,

and to which Division 4 of Part 9.4 of that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009. Division 4 of Part 9.4 of

that Act applies to transitional security interests in situations including

the bankruptcy or insolvency of a secured party, grantor or debtor.

7 Subsection 83(2)

Omit "shall have priority over all other liens.", substitute:

has priority over:

(a) all other liens; and

(b) any PPSA security interest in the ship.

8 After subsection 83(2)

Insert:

(2A) Subsection 73(2) of the Personal Property Securities Act 2009

applies to the lien for seamen's wages.

Note 1:

The effect of subsection (2A) is that the priority between a lien for

seamen's wages and a PPSA security interest is to be determined in

accordance with this Act rather than the Personal Property Securities

Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to liens for seamen's wages that arise after the commencement of

subsection (2A) of this section (which commences at the registration

commencement time within the meaning of the Personal Property

Securities Act 2009).

9 After subsection 128(2)

Insert:

Schedule 3 Maritime legislation

24 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(2A) A charge that arises under subsection (2) and that relates to

expenses that are being recovered in the same court and manner as

wages due to seamen has priority over a PPSA security interest in

the ship.

(2B) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a charge covered by subsection (2A).

Note 1:

The effect of subsection (2B) is that the priority between a charge

covered by subsection (2A) and a PPSA security interest is to be

determined in accordance with this Act rather than the Personal

Property Securities Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to charges that are covered by subsection (2A) that arise after the

commencement of subsection (2B) of this section (which commences

at the registration commencement time within the meaning of the

Personal Property Securities Act 2009).

10 After subsection 298(2)

Insert:

(2A) A charge that arises under subsection (2) has priority over any

PPSA security interest in the ship.

(2B) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a charge that arises under subsection (2).

Note 1:

The effect of subsection (2B) is that the priority between a charge that

arises under subsection (2) and a PPSA security interest is to be

determined in accordance with this Act rather than the Personal

Property Securities Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to charges that arise under subsection (2) that arise after the

commencement of subsection (2B) of this section (which commences

at the registration commencement time within the meaning of the

Personal Property Securities Act 2009).

Protection of the Sea (Civil Liability) Act 1981

11 After subsection 22(1A)

Insert:

(1B) While a ship is detained under this section, a person does not have

the power of seizure provided for by section 123 of the Personal

Property Securities Act 2009 in relation to the ship.

Maritime legislation Schedule 3

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 25

Protection of the Sea (Harmful Anti-fouling Systems) Act

2006

12 At the end of section 18

Add:

(6) While a ship is detained under subsection (1), a person does not

have the power of seizure provided for by section 123 of the

Personal Property Securities Act 2009 in relation to the ship.

Protection of the Sea (Prevention of Pollution from Ships)

Act 1983

13 After subsection 27A(5A)

Insert:

(5B) While a foreign ship is detained under subsection (1), a person

does not have the power of seizure provided for by section 123 of

the Personal Property Securities Act 2009 in relation to the ship.

Protection of the Sea (Shipping Levy Collection) Act 1981

14 At the end of section 12

Add:

(4) While a ship is detained under subsection (1), a person does not

have the power of seizure provided for by section 123 of the

Personal Property Securities Act 2009 in relation to the ship.

Shipping Registration Act 1981

15 Subsection 3(1) (definition of mortgage)

Repeal the definition.

16 Subsection 3(1)

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means a security interest within the meaning of

the Personal Property Securities Act 2009 and to which that Act

Schedule 3 Maritime legislation

26 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

applies (other than a transitional security interest within the

meaning of that Act).

Note: The

Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

17 Part III (heading)

Repeal the heading, substitute:

Part III--Transfers, transmissions, security

interests and other dealings

18 Sections 38 to 44A

Repeal the sections.

19 Section 47

Omit "41,".

20 After subsection 47A(1)

Insert:

(1A) Subsection (1) does not apply to an interest in a ship, or in a share

in a ship, that is a PPSA security interest.

21 Paragraphs 47B(1)(a) and (b)

Omit ", or as a mortgagee,".

22 Subsection 47D(3)

Repeal the subsection, substitute:

(3) A caveat does not prevent the Registrar from entering in the

person if the person becomes entitled to the transmission by

operation of law, except to the extent that the caveat specifies

otherwise.

23 Subparagraph 58(1)(b)(i)

Maritime legislation Schedule 3

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 27

Omit ", other than particulars relating to a mortgage,".

24 Paragraph 58(3)(a)

Omit "except so far as it relates to any unsatisfied mortgage of the

ship".

25 After section 59

Insert:

59A Rectification of Personal Property Securities Register

(1) This section applies if:

(a) a financing statement describing a ship, or a share in a ship,

has been registered in the PPS Register; and

(b) any of the following circumstances apply (whether or not by

reason of a decision of the PPS Registrar):

(i) data in relation to the financing statement (including the

entire registration) has been removed from the PPS

(ii) the financing statement, or a financing change statement

to amend the financing statement, was wrongly

registered, or was registered without sufficient cause;

(iii) there is an error, omission or other defect in the

financing statement.

(2) A person aggrieved by the circumstance or the PPS Registrar may

apply to the Supreme Court of a State or Territory for rectification

of the PPS Register.

(3) Notice of an application under subsection (2) by a person

aggrieved must be served on the PPS Registrar, who:

(a) may appear and be heard; and

(b) must appear if so directed by the Court.

(4) On an application under subsection (2), the Court may make such

order as it thinks fit directing the rectification of the PPS Register.

(5) A Court may, in proceedings on an application under

subsection (2), decide any question that it is necessary or expedient

to decide in connection with the rectification of the PPS Register.

Schedule 3 Maritime legislation

28 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(6) An office copy of an order under subsection (4) must be served on

the PPS Registrar, and the PPS Registrar must, upon receipt of the

order, rectify the PPS Register accordingly.

(7) If the PPS Register is rectified under this section, but could have

been similarly rectified under a provision of the Personal Property

Securities Act 2009, that Act applies as if the PPS Register had

been rectified under that provision of the Personal Property

Securities Act 2009.

Note: The

Personal Property Securities Act 2009 includes various rules

about access to data in the PPS Register that has been the subject of

rectification under that Act. Subsection (7) of this section ensures that

those rules apply in relation to rectification under this Act as well.

(8) In this section:

financing change statement has the meaning given by the

Personal Property Securities Act 2009.

financing statement has the meaning given by the Personal

Property Securities Act 2009.

PPS Register means the Personal Property Securities Register

established under section 147 of the Personal Property Securities

Act 2009.

PPS Registrar means the Registrar of Personal Property Securities

appointed under section 194 of the Personal Property Securities

Act 2009.

Note:

The heading to section 59 is replaced by the heading "Rectification of Australian

Register of Ships".

26 Paragraph 66(3)(a)

Omit "except so far as it relates to any unsatisfied mortgage of the

ship".

27 Subsections 66(4) to (9) and (11)

Repeal the subsections.

28 Subsection 74(1)

Omit "24(1), 26(3), 36(2), 37(1), 41(2), 42(2), 43(1) or 44(1)",

substitute "26(3), 36(2) or 37(1)".

Maritime legislation Schedule 3

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 29

29 Subsection 74(2)

Omit "41(2), 42(2), 43(1) or 44(1), subsection".

30 Section 79

Omit ", the registration of a mortgage, the transfer of a mortgage".

31 Section 81

Omit ", 66".

32 Subsection 82(1)

Omit ", 66".

33 Application--items 15, 17 to 19 and 22 to 24

(1)

The amendments of the Shipping Registration Act 1981 made by

items 15, 17 to 19 and 22 to 24 of this Schedule apply in relation to an

interest of a mortgagor in a mortgage of a ship, or of a share in a ship,

regardless of when the interest arose.

(2)

However, interests that are mortgages registered under the Shipping

Registration Act 1981 before the time the items covered by subitem (1)

commence have the priority between themselves that they would have

had under that Act as in force immediately before that time, subject to

Chapter 9 (Transitional provisions) of the Personal Property Securities

Act 2009.

34 Application--item 20

The amendment of the Shipping Registration Act 1981 made by item 20

of this Schedule does not affect the validity or effectiveness of a caveat

lodged under section 47A of the Shipping Registration Act 1981 before

the time the item commences.

35 Application--item 21

The amendment of the Shipping Registration Act 1981 made by item 21

of this Schedule does not apply to an interest in relation to which a

caveat has been lodged under section 47A of that Act before the time

the item commences.

36 Application--item 25

Schedule 3 Maritime legislation

30 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

The amendment of the Shipping Registration Act 1981 made by item 25

of this Schedule applies in relation to a registration under the Personal

Property Securities Act 2009 with respect to a security interest

regardless of when the security interest arises.

37 Application--item 27

The requirement in subsection 66(4) of the Shipping Registration Act

1981 (as in force immediately before the time item 27 of this Schedule

commences) to give notice to a mortgagee stops applying at the time

that item commences.

38 Application--items 28 and 29

The amendments of the Shipping Registration Act 1981 made by

items 28 and 29 of this Schedule do not apply in relation to a

contravention of a provision mentioned in subsection 74(1) or (2) of

that Act (as in force immediately before the time the items commence)

if the contravention occurred before that time.

Note:

The items in this Schedule commence at the registration commencement time within the

meaning of section 306 of the Personal Property Securities Act 2009.

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 31

Schedule 4--Personal Property Securities Act

2009

1 After subsection 6(1)

Insert:

(1A) This Act applies to a security interest in an investment entitlement

if:

(a) the investment entitlement intermediary in relation to the

investment entitlement is located in Australia; or

(b) the grantor is an Australian entity.

Note:

For when a person is located in a jurisdiction, see section 235.

2 Paragraph 6(2)(e)

Repeal the paragraph, substitute:

(e) the intangible property is created, arises or is provided for by

either or both of the following:

(i) a law of the Commonwealth, a State or a Territory;

(ii) the general law (to the extent to which it applies in

Australia, a State or a Territory).

3 At the end of paragraph 8(1)(d)

Add "(within the ordinary meaning of the term "accounts")".

4 Subsection 8(2) (at the end of the table)

Add:

a provision prescribed by regulations

made for the purposes of this item

an interest mentioned in

subsection (1) (including an interest

prescribed by regulations made for

the purposes of paragraph (1)(l)) that

is prescribed by regulations made

for the purposes of this item.

5 Section 10 (definition of ADI account)

Repeal the definition, substitute:

ADI account means an account, within the ordinary meaning of

that term, kept by a person (whether alone or jointly with one or

more other persons) with an ADI that is payable on demand or at

Schedule 4 Personal Property Securities Act 2009

32 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

some time in the future (as agreed between the ADI and the person

or persons).

Example: A savings account, or a term deposit, kept with an ADI.

6 Section 10 (definition of Australia)

Omit "subsection 7(4)", substitute "section 7".

7 Section 10

Insert:

jurisdiction, in which personal property, or an individual, is

located, has a meaning affected by subsections 235(6) and (7).

8 Section 10

Insert:

National Credit Code means Schedule 1 to the National Consumer

Credit Protection Act 2009, and includes regulations made under

section 329 of that Act for the purposes of that Schedule.

9 Section 10 (paragraph (b) of the definition of registration)

Omit "paragraph 148(c);", substitute "paragraph 148(c).".

10 After subsection 12(4)

Insert:

(4A) An ADI may take a security interest in an ADI account that is kept

with the ADI.

11 After subsection 14(2)

Insert:

(2A) Despite paragraph (2)(c), a purchase money security interest

includes an interest if:

(a) the interest is covered by subsection (1); and

(b) the interest is in collateral that (at the time the interest

attaches to the collateral) the grantor intends to use

predominantly for personal, domestic or household purposes;

and

regulations to be described by serial number.

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 33

12 Section 23

Omit:

(a)

goods in the possession of a common carrier;

Substitute:

(a)

goods transported by a common carrier;

13 Subsection 26(1)

Omit "(1)".

14 Subparagraph 26(1)(b)(i)

Omit "and", substitute "or".

15 Subsection 26(2)

Repeal the subsection.

16 Subsection 32(2)

After "investment instrument", insert "or an investment entitlement".

17 Subsection 39(1)

Omit all the words after "subsection (2)" (not including the note),

substitute:

if, immediately before the collateral became located in Australia,

and at the time it became so located:

(a) the security interest was effective; and

(b) the security agreement providing for the security interest was

enforceable against third parties.

18 Subsection 39(2)

Repeal the subsection, substitute:

(2) This subsection covers the period:

(a) starting at whichever of the following times is applicable:

(i) if the law of the foreign jurisdiction provides for the

perfection (and the effect of perfection or

Schedule 4 Personal Property Securities Act 2009

34 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

non-perfection) of the security interest--when the

security interest last became perfected under that law;

(ii) if subparagraph (i) does not apply to the law of the

foreign jurisdiction, but that law provides for the public

registration or recording of the security interest, or of a

notice relating to the security interest--when the

security interest, or such a notice, was so registered or

recorded (or was last so registered or recorded);

(iii) if neither subparagraph (i) nor (ii) applies to the law of

the foreign jurisdiction--when the security interest last

became enforceable against third parties under that law;

and

(b) ending when the property becomes located in Australia.

(2A) However, a security interest in collateral is not taken to have been

continuously perfected under subsection (1) if, immediately before

the collateral became located in Australia:

(a) in a case in which the law of the foreign jurisdiction provides

for the perfection (and effect of perfection or non-perfection)

of the security interest--the security interest was not

perfected under that law; or

(b) in a case in which paragraph (a) does not apply to the law of

the foreign jurisdiction, but that law provides for the public

registration or recording of the security interest, or of a notice

relating to the security interest--the security interest, or such

a notice, was not so registered or recorded.

19 Subsections 40(1) and (2)

Repeal the subsections, substitute:

Continuous perfection prior to relocation event

(1) If the law of a foreign jurisdiction has governed a security interest

in intangible property, or financial property, the security interest is

taken to have been continuously perfected for the period covered

by subsection (2) if:

(a) either of the following events (the relocation event) occurs:

(i) the grantor becomes located in Australia;

(ii) the grantor transfers the collateral to a person who is

located in Australia; and

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 35

(b) immediately before the relocation event, and at the time of

that event:

(i) the security interest was effective; and

(ii) the security agreement providing for the security

interest was enforceable against third parties; and

perfection (and the effect of perfection or non-perfection) of

the security interest becomes governed by the law of

Australia.

Note 1:

For when bodies corporate, bodies politic or individuals are located in

a jurisdiction, see section 235.

Note 2:

For when laws of other jurisdictions govern a security interest, see

Part 7.2.

(2) This subsection covers the period:

(a) starting at whichever of the following times is applicable:

(i) if the law of the foreign jurisdiction provides for the

perfection (and the effect of perfection or

non-perfection) of the security interest--when the

security interest last became perfected under that law;

(ii) if subparagraph (i) does not apply to the law of the

foreign jurisdiction, but that law provides for the public

registration or recording of the security interest, or of a

notice relating to the security interest--when the

security interest, or such a notice, was so registered or

recorded (or was last so registered or recorded);

(iii) if neither subparagraph (i) nor (ii) applies to the law of

the foreign jurisdiction--when the security interest last

became enforceable against third parties under that law;

and

(b) ending when the relocation event occurs.

(2A) However, a security interest is not taken to have been continuously

perfected under subsection (1) if, immediately before the relocation

event:

(a) in a case in which the law of the foreign jurisdiction provides

for the perfection (and effect of perfection or non-perfection)

of the security interest--the security interest was not

perfected under that law; or

(b) in a case in which paragraph (a) does not apply to the law of

the foreign jurisdiction, but that law provides for the public

Schedule 4 Personal Property Securities Act 2009

36 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

registration or recording of the security interest, or of a notice

relating to the security interest--the security interest, or such

a notice, was not so registered or recorded.

20 Paragraphs 41(b) to (j)

Repeal the paragraphs, substitute:

(b)

serial number defects;

(c)

motor

vehicles;

(d)

taking in the ordinary course of business;

(e)

personal, domestic or household property;

(f)

currency;

(g)

taking investment instruments or investment

entitlements in the ordinary course of trading;

(h)

investment

instruments;

(i)

investment

entitlements;

(j)

temporarily perfected security interests.

21 Subsection 43(1)

Omit "new value", substitute "value".

22 Subsection 44(1)

Omit ", for new value,".

Note:

The heading to section 49 is altered by omitting "investment interest" and substituting

"investment instrument".

23 Paragraph 44(3)(a)

After "leased", insert "for new value".

24 Subsection 51(2)

Omit "an investment entitlement intermediary", substitute "the

investment entitlement intermediary".

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 37

25 Paragraph 55(5)(b)

Omit "first takes possession", substitute "first perfects the security

interest by taking possession or control".

26 Section 55 (note)

Omit "subsection 33(5)", substitute "subsection 32(5)".

27 Subsection 61(2)

Omit "An agreement to subordinate a security interest", substitute "The

subordination".

28 Paragraph 61(2)(b)

Omit "the agreement", substitute "the subordination".

29 Subparagraph 64(1)(b)(i)

Repeal the subparagraph, substitute:

(i) the secured party holding the priority interest gives a

notice in accordance with subsection (2) to the secured

party holding the purchase money security interest;

30 At the end of section 73 (before the note)

Add:

Interests arising under the general law

(7) The priority between an interest in collateral (the general law

interest) that arises by operation of the general law and a security

interest in the same collateral is to be determined in accordance

with an instrument made under subsection (8) if, and only if:

(a) no law of the Commonwealth (other than this Act and that

instrument) provides for the priority between the general law

interest and the security interest; and

(b) the instrument provides that this subsection applies to general

law interests of that kind; and

effect.

(8) The Minister may make a legislative instrument for the purposes of

subsection (7).

Schedule 4 Personal Property Securities Act 2009

38 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(9) Subsection (7) is subject to subsection (1).

31 Subsection 77(1)

Omit "or financial property", substitute ", financial property or an

investment entitlement".

32 Subsection 77(3)

After "financial property" (first occurring), insert "or an investment

entitlement".

Note:

The heading to subsection 77(3) is altered by adding at the end "or investment

entitlements".

33 Subsection 77(3)

After "financial property" (last occurring), insert "or investment

entitlement".

34 Subsection 79(1)

Omit "an agreement (whether or not a security agreement)", substitute

"a security agreement".

35 Subsection 80(7)

Omit "collateral that is".

36 Subsections 119(1) and (2)

Omit "Consumer Credit Code of a State or Territory", substitute

"National Credit Code".

37 Paragraph 128(2)(b)

Repeal the paragraph, substitute:

(b) by lease, if the security agreement so provides; or

38 Subsection 129(1)

Omit "that is commercial property".

39 Subsection 151(1)

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 39

Omit all the words from and including "the collateral secures" to and

including "the secured party", substitute "the person described in the

statement as the secured party is, or will become, a secured party in

relation to the collateral (otherwise than by virtue of the registration

itself)".

40 Subsection 157(4)

Omit "subsection (1)", substitute "a requirement under subsection (1) to

ensure that a notice is given to an individual".

41 After paragraph 171(1)(d)

Insert:

(da) a unique identifier allocated by the Registrar to a registered

financing statement;

42 Subsection 235(1)

Omit "(whether the jurisdiction of Australia or a foreign jurisdiction)".

43 At the end of section 235

Add:

Location within Australia

(6) For the purposes of this Act, in the application of this section in

relation to Australia:

(a)

the

jurisdiction in which personal property is located under

subsection (1), or in which an individual is located under

subsection (5), is the jurisdiction of the State or Territory in

which the property, or the individual's principal place of

residence, is situated (as the case may be); and

(b) a reference to the law of that jurisdiction is a reference to the

law of that State or Territory, and to the law of the

Commonwealth as it applies in that State or Territory.

Location within a foreign country that has a federal character

(7) For the purposes of this Act, in the application of this section in

relation to a foreign country that is divided into territorial units that

have their own rules of law about security interests (distinct from

those that apply to the foreign country generally):

Schedule 4 Personal Property Securities Act 2009

40 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(a)

the

jurisdiction in which personal property is located under

subsection (1), or in which an individual is located under

subsection (5), is the jurisdiction of the territorial unit in

which the property, or the individual's principal place of

residence, is situated; and

(b) a reference to the law of that jurisdiction is a reference to the

law of that territorial unit, and to the law of the foreign

country as it applies in that territorial unit.

44 Subsection 238(1)

Omit "A security interest", substitute "The validity of a security

interest".

Note:

The heading to subsection 238(1) is replaced by the heading "Main rules".

45 Subsection 238(1)

Omit "property is located", substitute "goods are located".

46 Subsection 238(2)

Repeal the subsection, substitute:

(1A) At a particular time, the perfection, and the effect of perfection or

non-perfection, of a security interest in goods is governed by the

law of the jurisdiction (other than the law relating to the conflict of

laws) in which the goods are located at that time.

Goods that are moved

(2) Despite subsections (1) and (1A), the validity, perfection, and the

effect of perfection or non-perfection, of a security interest in

goods is governed by the law of a particular jurisdiction (the

destination jurisdiction), other than the law relating to the conflict

of laws, if:

(a) at the time (the attachment time) the security interest

attaches, under that law, to the goods, it was reasonable to

believe that the goods would be moved to the destination

jurisdiction; and

(b) the goods are currently located in the destination jurisdiction.

(2A) Subsection (2) applies from the attachment time.

47 Subsection 238(3)

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 41

Omit "Despite subsections (1) and (2),", substitute "Despite

subsections (1) to (2A), the validity, perfection, and the effect of

perfection or non-perfection, of".

48 Paragraph 238(3)(b)

Omit "commercial property".

49 At the end of subsection 238(3) (before the note)

Add:

; and (c) the goods are not used predominantly for personal, domestic

or household purposes.

50 At the end of section 238 (after the note)

Add:

Goods entered on registers of ships

(4) Despite subsections (1A) to (3), at a particular time, the perfection,

and the effect of perfection or non-perfection, of a security interest

in goods is governed by the law of a country if:

(a) the goods are entered in a register of ships maintained by the

country containing the names and particulars of ships; and

(b) in proceedings in the country, the law of that country governs

title to the goods.

51 Subsection 239(5)

Omit all the words after "ADI account", substitute:

if:

(a) the ADI consents in writing; and

(b) applying the law of that other jurisdiction would not be

manifestly contrary to public policy.

52 Paragraph 265(e)

After "proceedings", insert ", and what constitutes knowledge".

53 Paragraph 267(1)(b)

Repeal the paragraph, substitute:

Schedule 4 Personal Property Securities Act 2009

42 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(b) a security interest granted by the body corporate, company or

bankrupt is unperfected at whichever of the following times

applies:

(i) in the case of a company or body corporate that is being

wound up--when, on a day, the event occurs by virtue

of which the winding up is taken to have begun or

commenced on that day (whether under section 513A or

513B of the Corporations Act 2001, under either section

as applied by force of a law of a State or Territory, or

otherwise);

(ii) in the case of any other company or body corporate--

when, on a day, the event occurs by virtue of which the

day is the section 513C day for the company or body,

within the meaning of the Corporations Act 2001

(including that Act as it is applied by force of a law of a

State or Territory, or otherwise);

(iii) in the case of a bankrupt--when a sequestration order is

made against the bankrupt under the Bankruptcy Act

1966, or when he or she becomes a bankrupt by force of

section 55, 56E or 57 of that Act.

54 Subsection 267(2)

Omit ", unless the security interest is unaffected by this section because

of section 268".

55 At the end of subsection 267(2)

Add:

Note:

This subsection does not apply to certain security interests (see

section 268).

56 Subsection 268(1)

Repeal the subsection, substitute:

Security interests to which vesting rule does not apply

(1) Subsection 267(2) (security interests vested in grantor) does not

apply to the following security interests:

(a) a security interest provided for by any of the following

transactions, if the interest does not secure the payment or

performance of an obligation:

(i) a transfer of an account or chattel paper;

Personal Property Securities Act 2009 Schedule 4

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 43

(ii) a PPS lease, if paragraph (e) (serial numbered goods) of

the definition of PPS lease in subsection 13(1) applies

to the lease, and none of paragraphs (a) to (d) of that

definition applies to the lease;

(iii) a commercial consignment;

(b) a security interest covered by subsection (2) of this section.

Example: An example of a security interest mentioned in subparagraph (a)(ii) is

a PPS lease of goods that does not secure the payment or performance

of an obligation, if:

(a) the goods leased may or must be described by serial number in

accordance with the regulations; and

(b) the lease is for a term of between 90 days and 1 year; and

subsection 13(1) do not apply to the lease.

57 Subsection 268(3)

Repeal the subsection.

58 Subsection 317(1)

Omit "(when a non-constitutional security interest becomes a

constitutional security interest)", substitute "(personal property taken

free of security interest when Act starts to operate)".

59 Subsection 327(1)

After "particular time", insert "(the applicable time)".

60 Subsection 327(2)

Omit "(the applicable time)", substitute "(also the applicable time)".

61 Section 338

Omit "this Act" (first occurring), substitute "laws of the

Commonwealth".

62 At the end of subsection 339(1)

Add:

; and (c) the charge is a security interest to which this Act applies.

63 Subsection 340(5)

Omit "section", substitute "subsection".

Note:

The heading to subsection 340(5) is replaced by the heading "Current assets".

Schedule 4 Personal Property Securities Act 2009

44 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

64 Section 342

Repeal the section, substitute:

342 Guide to this Part

This Part provides for the review of the operation of the Act within

3 years after it starts to apply.

The Act starts to apply under Part 9.3 at the registration

commencement time (26 months after the Act is given the Royal

Assent, or an earlier time determined by the Minister).

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 45

Schedule 5--Other legislation

Air Services Act 1995

1 Paragraph 60(3)(a)

Omit "floating charge", substitute "security interest that has attached to

the aircraft as a circulating asset, within the meaning of the Personal

Property Securities Act 2009".

2 At the end of subsection 60(3)

Add:

Note:

Part 9.5 of the Personal Property Securities Act 2009 deals with

security interests that attach to circulating assets. These interests are

also described as floating charges.

3 After subsection 60(3)

Insert:

(3A) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a statutory lien.

Note 1:

The effect of this subsection is that the priority between a statutory

lien on an aircraft and a security interest in the aircraft to which the

Personal Property Securities Act 2009 applies is to be determined in

accordance with this Act rather than the Personal Property Securities

Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to statutory liens that arise after the commencement of

subsection (3A) (which is the registration commencement time within

the meaning of the Personal Property Securities Act 2009).

4 Application of amendments of the Air Services Act 1995

The amendment of the Air Services Act 1995 made by item 1 of this

Schedule does not apply in relation to a floating charge if the floating

charge was created before the time that item commences.

Note:

Item 1 commences at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Bankruptcy Act 1966

5 Subsection 5(1)

Schedule 5 Other legislation

46 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Insert:

PPSA grantor or debtor (short for Personal Property Securities

Act grantor or debtor), in relation to a PPSA security interest,

means a grantor or debtor within the meaning of the Personal

Property Securities Act 2009.

6 Subsection 5(1)

Insert:

PPSA secured party (short for Personal Property Securities Act

secured party), in relation to a PPSA security interest, means a

secured party within the meaning of the Personal Property

Securities Act 2009.

7 Subsection 5(1)

Insert:

PPSA security agreement (short for Personal Property Securities

Act security agreement), in relation to a PPSA security interest,

means a security agreement within the meaning of the Personal

Property Securities Act 2009.

8 Subsection 5(1)

Insert:

PPSA security interest (short for Personal Property Securities Act

security interest) means a security interest within the meaning of

the Personal Property Securities Act 2009 and to which that Act

applies, other than a transitional security interest within the

meaning of that Act.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009.

9 Subsection 5(1) (definition of secured creditor)

Repeal the definition, substitute:

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 47

secured creditor, in relation to a debtor, means:

(a) in the case of a debt secured by a PPSA security interest--the

PPSA secured party in relation to the interest, if the interest:

(i) arose as security for the debt; and

(ii) is perfected (within the meaning of the Personal

Property Securities Act 2009); or

(b) in the case of any other debt--a person holding a mortgage,

charge or lien on property of the debtor as a security for a

debt due to him or her from the debtor.

10 Subsection 301(1)

Omit "or in a licence", substitute ", in a licence or in a PPSA security

agreement".

11 Paragraphs 301(1)(a), (b) and (c)

Repeal the paragraphs, substitute:

(a) the contract, agreement, lease, hire-purchase agreement,

licence or PPSA security agreement is to terminate, or may

be terminated by the vendor, lessor, owner, licensor or PPSA

secured party; or

(b) the operation of the contract, agreement, lease, hire-purchase

agreement, licence or PPSA security agreement is to be

modified; or

hire-purchase agreement, licence or PPSA security agreement

relates may be repossessed by or on behalf of the vendor,

lessor, owner, licensor or PPSA secured party;

12 Subsection 301(1)

Omit "or licensee", substitute ", licensee or PPSA grantor or debtor".

13 After subsection 301(2)

Insert:

(2A) This section extends to a PPSA security agreement entered into at

or after the time this subsection commences.

Note:

This subsection commenced at the registration commencement time

within the meaning of section 306 of the Personal Property Securities

Act 2009.

Schedule 5 Other legislation

48 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

14 Subsection 302(1)

Omit "or charge" (first occurring), substitute ", charge or PPSA security

agreement".

15 Paragraphs 302(1)(a) and (b)

Repeal the paragraphs, substitute:

(a) enabling the grantee, mortgagee, person entitled to the

benefit of the lien or charge or PPSA secured party to

exercise any power or remedy; or

(b) to the effect that the operation of the bill of sale, mortgage,

lien, charge or PPSA security agreement is to be modified;

16 Subsection 302(1)

Omit "or person whose property is subject to the lien or charge",

substitute ", the person whose property is subject to the lien or charge or

the PPSA grantor or debtor".

17 At the end of section 302

Add:

(3) This section extends to a PPSA security agreement entered into at

or after the time this subsection commences.

Note:

This subsection commenced at the registration commencement time

within the meaning of section 306 of the Personal Property Securities

Act 2009.

18 Application of amendments of the Bankruptcy Act 1966

The amendment of the Bankruptcy Act 1966 made by item 9 of this

Schedule does not apply in relation to a bankruptcy if the date of the

bankruptcy (within the meaning of that Act) is before the time the item

commences.

Note:

Item 9 commences at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Commonwealth Inscribed Stock Act 1911

19 Section 24B

Before "The regulations", insert "(1)".

20 At the end of section 24B

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 49

Add:

(2) Subsection (1) does not apply in relation to the keeping of a record

of the ownership of any equitable interest in the stock that is a

security interest within the meaning of the Personal Property

Securities Act 2009, and to which that Act applies.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property (including stock). See the following

provisions of that Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

That Act provides for registration in respect of security interests in

personal property, including stock (see Chapter 5 of that Act).

Corporations (Aboriginal and Torres Strait Islander) Act

2006

21 After subsection 453-10(5)

Insert:

(5A) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a charge created in accordance with paragraph (4)(b).

Note 1:

The effect of this subsection is that the priority between a charge

created in accordance with paragraph (4)(b) and a security interest to

which the Personal Property Securities Act 2009 applies is to be

determined in accordance with this Act rather than the Personal

Property Securities Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to charges that arise after the commencement of subsection (5A)

(which is the registration commencement time within the meaning of

the Personal Property Securities Act 2009).

22 After subsection 511-1(5)

Insert:

(5A) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a charge created in accordance with paragraph (4)(b).

Note 1:

The effect of this subsection is that the priority between a charge

created in accordance with paragraph (4)(b) and a security interest to

which the Personal Property Securities Act 2009 applies is to be

determined in accordance with this Act rather than the Personal

Property Securities Act 2009.

Schedule 5 Other legislation

50 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to charges that arise after the commencement of subsection (5A)

(which is the registration commencement time within the meaning of

the Personal Property Securities Act 2009).

Health Insurance Act 1973

23 After section 20A

Insert:

20AA Security interest must not be created in medicare benefit

(1) This section applies to a medicare benefit (an assigned benefit) if

an assignment has been made, or an agreement has been entered

into, in accordance with section 20A, in relation to the medicare

benefit.

(2) A person must not enter into a security agreement (within the

meaning of the Personal Property Securities Act 2009), to the

extent that the agreement purports to provide for a PPSA security

interest in an assigned benefit.

Note:

For the meaning of security agreement, see section 10 of the Personal

Property Securities Act 2009.

(3) A security interest that is purported to be provided for by a security

agreement entered into in contravention of subsection (2) is void

and is taken never to have had effect.

(4) This section applies despite anything in the Personal Property

Securities Act 2009.

(5) This section does not affect the operation of subsection 20A(5).

(6) In this section:

PPSA security interest means a security interest within the

meaning of the Personal Property Securities Act 2009 and to

which that Act applies, other than a transitional security interest

within the meaning of that Act.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 51

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009.

Insurance Act 1973

24 At the end of section 62S

Add:

(3) Subsection 73(2) of the Personal Property Securities Act 2009

applies to a charge created in accordance with subsection (2).

Note 1:

The effect of this subsection is that the priority between a charge and a

security interest to which the Personal Property Securities Act 2009

applies is to be determined in accordance with this Act rather than the

Personal Property Securities Act 2009.

Note 2:

Subsection 73(2) of the Personal Property Securities Act 2009 applies

to statutory interests that arise after the commencement of

subsection (3) (which is the registration commencement time within

the meaning of the Personal Property Securities Act 2009).

Privacy Act 1988

25 At the end of paragraphs 13(a) to (bb)

Add "or".

26 At the end of section 13

Add:

Note:

For the purposes of this section, each of the following is an

interference with the privacy of an individual:

(a) a contravention of the requirement to ensure that notice is given

in accordance with section 157 of the Personal Properties

Securities Act 2009 (see subsection 157(4) of that Act);

(b) a search of the Personal Property Securities Register that is

unauthorised under subsection 173(3) or (4) of that Act (see

subsection 173(2) of that Act).

27 Subsection 28(1)

Omit "and 28A", substitute ", 28A and 28B".

28 Subsection 28A(1)

Omit "and 28", substitute ", 28 and 28B".

Schedule 5 Other legislation

52 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

29 After section 28A

Insert:

28B Functions of Commissioner in relation to personal property

securities

(1) In addition to the functions under sections 27, 28 and 28A, the

Commissioner has the following functions in relation to personal

property securities:

(a) to investigate an act or practice that may be an interference

with the privacy of an individual under subsection 157(4) or

173(2) of the Personal Property Securities Act 2009 and, if

the Commissioner considers it appropriate to do so, to

attempt by conciliation, to effect a settlement of the matters

that gave rise to the investigation;

(b) to do anything incidental or conducive to the performance of

that function.

(2) The Commissioner has power to do all things that are necessary or

convenient to be done for or in connection with the performance of

his or her functions under subsection (1).

30 After section 49

Insert:

49A Investigation under section 40 to cease if civil penalty provision

under Personal Property Securities Act 2009 may have

been contravened

(1) If, in the course of an investigation under section 40, the

Commissioner forms the opinion that subsection 172(3) of the

Personal Property Securities Act 2009 (civil penalty for searching

otherwise than for authorised purposes) may have been

contravened, the Commissioner must:

(a) inform the Registrar of Personal Property Securities under

the Personal Property Securities Act 2009 of that opinion;

and

(b) in the case of an investigation under subsection 40(1), give a

copy of the complaint to the Registrar of Personal Property

Securities; and

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 53

concerns matters unconnected with the contravention that the

Commissioner believes may have taken place.

(2) The Registrar of Personal Property Securities must notify the

Commissioner in writing if, after having been informed of the

Commissioner's opinion under paragraph (1)(a), the Registrar

decides:

(a) not to apply for an order under section 222 of the Personal

Property Securities Act 2009; or

(b) to discontinue a proceeding that is an application for an order

under section 222 of that Act.

(3) Upon receiving a notice under subsection (2), the Commissioner

may continue an investigation discontinued under paragraph (1)(c).

Quarantine Act 1908

31 Subsection 5(1)

Insert:

PPSA security interest means a security interest within the

meaning of the Personal Property Securities Act 2009 and to

which that Act applies, other than a transitional security interest

within the meaning of that Act.

Note 1:

The Personal Property Securities Act 2009 applies to certain security

interests in personal property. See the following provisions of that

Act:

(a) section 8 (interests to which the Act does not apply);

(b) section 12 (meaning of security interest);

Note 2:

For the meaning of transitional security interest, see section 308 of

the Personal Property Securities Act 2009.

32 Section 65

Before "Any", insert "(1)".

33 At the end of section 65

Add:

Schedule 5 Other legislation

54 Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009

(2) While a vessel is detained under subsection (1), a person does not

have the power of seizure provided for by section 123 of the

Personal Property Securities Act 2009 in relation to the vessel.

34 Subsection 69A(14)

After "In this section", insert "and subject to subsection (14A)".

35 Subsection 69A(14)

After "in respect of the goods or premises", insert "(other than a PPSA

security interest)".

36 After subsection 69A(14)

Insert:

(14A) For the purposes of the definition of owner in subsection (14), a

person who, or a partnership which, had an interest in the goods or

premises at the time of their destruction does not include a person

or partnership if the person or partnership:

(a) holds a PPSA security interest in the goods or premises; but

(b) is not in possession or control of the goods or premises at that

time.

Wool International Act 1993

37 Subsection 22J(1)

Omit "(1)".

38 Subsection 22J(1)

Omit "Subject to this section, a", substitute "A".

39 At the end of subsection 22J(1)

Add:

Note 1:

A charge over (or another security interest in) a unit of equity in

WoolStock Australia Limited may be the subject of a registration in

the Personal Property Securities Register under the Personal Property

Securities Act 2009.

Note 2:

The priority of charges over (or other securities interests in) units of

equity is determined in accordance with the Personal Property

Securities Act 2009.

Other legislation Schedule 5

Personal Property Securities (Consequential Amendments) Bill 2009 No. , 2009 55

40 Subsections 22J(2) to (7)

Repeal the subsections.

41 Section 22K

Repeal the section.

42 Paragraph 22L(b)

Repeal the paragraph.

43 Subsection 22R(2) (note)

Repeal the note.

44 Subsection 22R(3)

Omit "Subject to subsection (4), a", substitute "A".

45 Subsection 22R(4)

Repeal the subsection.

46 Subsection 22S(1)

Omit "(1)".

47 Paragraph 22S(1)(b)

Omit "distribution;", substitute "distribution.".

48 Paragraph 22S(1)(c)

Repeal the paragraph.

49 Subsection 22S(2)

Repeal the subsection.

50 Application of amendments of the Wool International Act

1993

(1)

This item applies if immediately before the time item 42 of this

Schedule commences, WoolStock Australia Limited had not complied

with a request made by a person under paragraph 22L(b) of the Wool

International Act 1993.

Note:

Item 42 commences at the registration commencement time within the meaning of

section 306 of the Personal Property Securities Act 2009.

Commonwealth of Australia Bills

PERSONAL PROPERTY SECURITIES (CONSEQUENTIAL AMENDMENTS) BILL 2009