Supplier beware: what to do if your customer won't grant you an ROT security interest

摘要

Many manufacturers and suppliers have retention of title (ROT) security interests in goods supplied to their customers which must be registered on the Personal Property Securities Register (PPSR). Sometimes a customer will require ownership in the goods to pass to the customer on delivery (regardless of whether the goods have been paid for), meaning the supplier has no security interest. In these circumstances, suppliers should understand their risk profile in relation to unpaid goods and consider a multi-faceted approach to risk mitigation.