Enforcement of securities

This guidance note provides expert insight into the enforcement of securities, focusing on the critical legal frameworks that secured parties must navigate when enforcing security interests in Australia. It covers enforcement mechanisms across multiple asset classes and legal contexts, highlighting essential statutory rights and procedural nuances.

Topics Covered

• Enforcing mortgages over real property
• Enforcing security interests over personal property
• Enforcing security interests in relation to consumer credit
• Appointing a receiver or other controller of property
• Considerations where secured party’s security interest is not first-ranking

Essential Insights

• Understand statutory rights to possession and sale of mortgaged land, including jurisdictional variations.
• Assess the complex interaction between contractual powers and statutory enforcement mechanisms.
• Recognise when and how the Personal Property Securities Act 2009 (Cth) impacts enforcement of personal property securities.
• Evaluate procedural safeguards and notice obligations under the National Credit Code for consumer credit enforcement.
• Consider the strategic appointment of receivers or controllers and their extensive powers under the Corporations Act.
• Analyse priority issues when a security interest is not first-ranking and the implications for enforcement viability.