The definition of a PPS Lease has changed.
The change came into effect on 20 May 2017 and means leases and bailments that were entered into on or after 20 May 2017 will be subject to the new PPS lease definition.
If you hire, rent or lease out goods this change may affect you.
What are the changes?
The minimum duration of PPS leases has been extended from more than one year, to more than two years.
Leases of an indefinite term will not be deemed to be PPS leases unless and until they run for a period of more than two years.
It is important to note that this change does not affect agreements entered into prior to the 20 May 2017.
For information about the amendment and how it might affect your business see https://www.ppsr.gov.au/about-us/laws-rules-and-regulations/our-legislation/key-legislative-changes-and-pps-case-law.
Personal Property Securities