Commonwealth Numbered Acts

PERSONAL PROPERTY SECURITIES ACT 2009 (NO. 130, 2009) - SECT 238

Main rule

             (1)  A security interest in goods is governed by the law of the jurisdiction (other than the law relating to conflict of laws) in which the property is located when the security interest attaches, under that law, to the goods.

Note 1:       Under section 237, the parties to a security agreement may expressly provide for the law of the Commonwealth to apply instead.

Note 2:       For when personal property is located in a jurisdiction, see section 235.

Goods that are moved

             (2)  Despite subsection (1), a security interest in goods is governed by the law of a jurisdiction (other than the law relating to conflict of laws) if:

                     (a)  the goods are moved to that jurisdiction; and

                     (b)  at the time the security interest attaches, under that law, to the goods, the secured party reasonably believes that the goods will be moved to that jurisdiction.

Goods that are normally moved between jurisdictions

             (3)  Despite subsections (1) and (2), a security interest in goods is governed by the law of a jurisdiction (including the law relating to conflict of laws) if:

                     (a)  the grantor is located in that jurisdiction when the security interest attaches, under that law, to the goods; and

                     (b)  the goods are commercial property of a kind that is normally used in more than one jurisdiction.

Note:          For the location of bodies corporate, bodies politic and individuals, see section 235.