Whilst the amount of activity in the first year of the Personal Property Securities Register is impressive (7,109,397 current consumer and commercial registrations including 2.6 million new registrations and almost 6 million searches, more details here) is that really the best test of whether it has fulfilled its original aims?

After all there is no choice, it is now the only register in Australia for personal property securities, both commercial and consumer.

The volume of new registrations reflects the increase in the type of registrations now available as well as the ease of registration and economic activity.

The transition has had some procedural uncertainty relating to transfer of existing registrations, searches and amendments and discharges.

For business suppliers retention of title issues have been raised in respect of insolvencies, but probably no more than when these interests could not be registered.

And a recent insolvency has exposed the impracticality of registering a security interest to secure the consignment by individuals of consumer items for sale.

There has not been any significant legal decision on the Act yet.

The majority of searches relates to motor vehicles, reflecting the historical REVS component of the Register.

The next largest search component is for organisation grantors, presumably related to business transactions.

An analysis of registrations by collateral class shows the largest is motor vehicles.

But the next 2 categories reflect some uncertainty about the legislation: “All present and after acquired property” and “other goods”.

There is no ability to amend security interests registered as “All present and after acquired property”.

Perhaps lenders still have fond memories of “floating charges” and Form 312 discharges.

It would be interesting to see what a survey of Register account holders says.