Commonwealth Consolidated Regulations Commonwealth Consolidated RegulationsFor subsection 119(2) of the Act, a provision in Chapter 4 of the Act mentioned in an item of the table is taken to have been complied with, in the circumstances for the Act mentioned in the item, if a provision of the National Credit Code (the NCC ) mentioned in the item has been complied with, in the circumstances for the NCC mentioned in the item.
Item | Provision of Act | Circumstances for Act | Provision of NCC | Circumstances for NCC |
1 | Section 130 | At least 10 business days before collateral is to be disposed of, the secured party gives notice to the grantor and to any secured party with a higher priority | Section 102 | Within 14 days after taking possession of collateral under a mortgage, the secured party provides a notice to the debtor, and does not sell the goods within 21 days after providing the notice |
2 | Sections 128 and 131 | After seizing collateral, a secured party disposes of the collateral by sale, lease or licence, having first obtained the market value or, if the collateral does not have a market value, the best price reasonably available | Section 104 | An outstanding obligation has not been paid within 21 days after receiving a notice under section 102 of the National Credit Code and the secured party sells the goods, in accordance with section 103, for at least the estimated value, to a nominated person or to another person for the best price reasonably available |
3 | Section 132 | After the sale of mortgaged goods, a secured party, on request by the grantor, higher secured parties and the debtor, gives a notice that contains the following information : (a) the total amount received from the sale; (b) the enforcement expenses, amounts paid to other secured parties; (c) amounts paid to other secured parties; (d) the balance owing to the grantor or by the debtor to the secured party | Subsection 104(3) | After the sale of mortgaged goods, a secured party gives the mortgagor a notice that contains the following information: (a) the gross amount realised; (b) the net proceeds of the sale; (c) the amount required to pay out the credit contract; (d) any further recovery action that the secured party intends to take against the grantor; (e) any other information prescribed by these Regulations |
4 | Section 140 | A secured party distributes funds received in the following order: (a) interests with a higher priority; (b) enforcement costs; (c) higher ranking security interests; (d) the secured interests of the enforcing party; (e) lower priority security interests; (f) the grantor | Section 105 | A secured party deducts the following amounts from any money received from a sale: (a) the secured amount that is outstanding; (b) the amount payable to discharge any prior mortgage; (c) the amounts payable to discharge any subsequent mortgages of which the secured party has notice; (d) the secured party's reasonable enforcement expenses |