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This scenario involving a repossession was recently dealt with in our office. All references, details, names have been altered for Privacy Purposes.
In attempting to repossess a security (interest listed on the PPSR) we became aware it was in the possession of a 3rd party. The the third party engaged a lawyer who requested a copy of the notice issued pursuant to s120 of the PPSR whose header reads: Enforcement of security interests in liquid assets - general, and provides that a written notice must be given 5 business days demanding payment of the amounts owed 5 days before any seizure can occur.
Relevantly, it is noted within s120 that this section of the PPSR does not apply to collateral that is predominantly used for person, domestic or household purposes. As our clients security was of this nature, s120 did not apply and no notice was required under this section.
Furthermore, it is also noted that obligations under the Privacy Act would prevent any such disclosure.
With all our agents on the ground in the area on the lookout for the security - we are hopeful of a positive outcome for our client soon - whether that be a negotiated outcome or repossession of the security.
The above does not constitute legal advice and should not be relied on.