The Explanatory Memorandum for this amendment says:
This Bill would significantly reduce the regulatory impact which the Act is having on short term hire and rental businesses, the majority of which are small to medium enterprise. The hire and rental sector almost exclusively uses indefinite term leases which usually run for less than a week and rarely exceed a period of two years. Very few hire and rental industry related transactions would be caught by the amended provision due to the increased minimum duration. An amended section 13 of the Act would continue to appropriately capture longer term high value hire and rental industry leases. The amendments would not modify the operation of the Act in relation to leases which are in-substance security interests.”
The Bill will commence operation the day after Royal Assent, and will be notified via announcements on the website and Register.
For information about the amendment and how it might affect your business see https://www.ppsr.gov.au/pps-lease-change-2017
Personal Property Securities