27ARegistration of security interests in relation to aircraft and components of aircraft

#### 27A Registration of security interests in relation to aircraft and components of aircraft (1) This section applies to an aircraft: (a) that engages in trade or commerce: (i) between Australia and places outside Australia; or (ii) among the States; or (iii) within a Territory; or (iv) between a State and a Territory; or (v) between 2 Territories; or (b) that is owned by a body corporate that: (i) is a foreign corporation; or (ii) is incorporated in a Territory; or (iii) is a trading corporation formed within the limits of the Commonwealth (other than a trading corporation incorporated in a Territory); or (iv) is a financial corporation formed within the limits of the Commonwealth (other than a financial corporation incorporated in a Territory). (2) Without prejudice to the operation that subsection (1) has apart from this subsection, that subsection also has the effect that it would have if: (a) the reference to an aircraft that is owned by a body corporate that is a trading corporation formed within the limits of the Commonwealth were a reference only to such an aircraft that is used by the body corporate for the purposes of its trading activities; and (b) the reference to an aircraft that is owned by a body corporate that is a financial corporation formed within the limits of the Commonwealth were a reference only to such an aircraft that is used by the body corporate for the purposes of its financial activities. (3) In this section: > hire‑purchase agreement, in relation to an aircraft or a component of an aircraft, means an agreement for the bailment of the aircraft or component under which: (a) the bailee may buy the aircraft or component; or (b) the property in the aircraft or component will or may pass to the bailee. > instalment purchase agreement, in relation to an aircraft or a component of an aircraft, means an agreement for the purchase of the aircraft or component by instalments (whether the instalments are described as instalments of the purchase price, as rent, as hiring charges or otherwise) other than such an agreement: (a) under which the property in the aircraft or component passes to the purchaser when the agreement is made; or (b) in respect of which the purchaser is a person who is engaged in the business of selling aircraft or components of aircraft. > security interest, in relation to an aircraft or a component of an aircraft: (a) means: (i) a mortgage, charge or other encumbrance over the aircraft or component; or (ii) any other interest in, or any power over or in relation to, the aircraft or component (however the interest or power is created) for the purpose of securing repayment of a debt (including payment of interest on a debt) or the performance of any other obligation; and (iii) any other interest in the aircraft or component that is of a kind declared by the regulations to be a security interest; and (b) includes: (i) if the aircraft or component is the subject of a hire‑purchase agreement—the interest of the bailee under the agreement; and (ii) if the aircraft or component is the subject of an instalment purchase agreement—the interest of the purchaser under the agreement. (4) The regulations may make provision for or in relation to the following: (a) the establishment or keeping of a register containing particulars of security interests in relation to aircraft and components of aircraft; (b) the appointment of a person (the registrar) to keep the register; (c) requiring the owner of an aircraft or of a component of an aircraft to notify the registrar of particulars of any security interest, a change in any particulars entered in the register in relation to a security interest, or the termination of a security interest, in relation to the aircraft or component; (d) the period within which, and the manner and form in which, a notification is to be given, including any documents to be lodged with, and any information to be given to, the registrar in connection with a notification; (e) the manner in which any such document or information is to be verified (which may include verification by means of a statutory declaration); (f) the registration of particulars of a security interest duly notified, the amendment of registered particulars of a security interest and the cancellation of the registration of particulars of a security interest; (g) the publishing by the registrar of information about the registration of particulars of a security interest, the amendment of registered particulars of a security interest or the cancellation of the registration of particulars of a security interest; (h) the giving by the registrar of a certificate in relation to the registration of particulars of a security interest and the amendment or cancellation of such a certificate; (i) the return by the registrar of documents to the person by whom they were lodged; (j) the return of certificates to the registrar for amendment or cancellation; (k) the giving by the registrar of copies of, or extracts from, entries on the register; (l) the prescribing of fees for: (i) the registration of particulars of a security interest, the amendment of registered particulars of a security interest or the cancellation of the registration of particulars of a security interest; or (ii) the giving by the registrar of certificates in relation to the registration of particulars of a security interest or the amendment or cancellation of such a certificate; or (iii) the giving by the registrar of copies of, or extracts from, entries on the register or documents lodged with the registrar; (m) providing that a notification to the registrar is taken not to be duly given unless and until: (i) the notification is given in the manner and form, and is accompanied by the documents and information, required by the regulations; and (ii) any relevant prescribed fees are paid; (n) the prescribing of penalties (not exceeding a fine of 50 penalty units) for offences against regulations made for the purposes of any of the above paragraphs. (5) The fees that may be prescribed under paragraph (4)(l) may not exceed amounts or rates that are reasonably related to the expenses incurred by the Commonwealth in relation to the matters in respect of which the fees are prescribed. (6) A person is not taken to have notice of any matter relating to a security interest in relation to an aircraft or a component of an aircraft merely because of anything entered in the register in relation to the aircraft or component.