Secured Transactions Act · s 2

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2.
Application of Act
(1) Subject to subsection (2), this Act applies to —
(a) liens created by judgment or by operation of the law;
(b) every transaction that in substance creates security interests, without regard to its form and without regard to the person who has title to the collateral, including —
(i) conditional sale agreements (including agreements to sell subject to retention of title);
(ii) hire-purchase agreements;
(iii) consignments;
(iv) operating and financial leases; and
(v) outright assignments of intangibles.
(2) This Act does not apply to —
(a) any right of set-off whether or not arising under or from financial contracts governed by netting agreements; or

Secured Transactions 10
(b) an interest created or provided for by any of the following transactions —
(i) the creation or transfer of an interest in land;
(ii) a transfer of a right to payment that arises in connection with an interest in land, including a transfer of rental payments payable under a lease of or licence to occupy land, unless the right to payment is evidenced by an investment security;
(iii) a transfer of present or future claim to wages, salary, pay, commission or any other compensation for labour or personal services of an employee;
(iv) an assignment for the general benefit of creditors of the person making the assignment;
(v) a transfer of an interest or claim in or under a contract of annuity or life policy of insurance or takaful;
(vi) a transfer of a right to damages in tort not related to commercial activity;
(vii) (deleted by S 76/2016);
(viii) a transfer or mortgage in a licence, concession or other personal privilege issued or granted under any other written law for which a security interest is prohibited.

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s 2Application of Act

(1)

Subject to subsection (2), this Act applies to —

(a)

liens created by judgment or by operation of the law;

(b)

every transaction that in substance creates security interests, without regard to its form and without regard to the person who has title to the collateral, including —

(i)

conditional sale agreements (including agreements to sell subject to retention of title);

(ii)

hire-purchase agreements;

(iii)

consignments;

(iv)

operating and financial leases; and

(v)

outright assignments of intangibles.

(2)

This Act does not apply to —

(a)

any right of set-off whether or not arising under or from financial contracts governed by netting agreements; or

Secured Transactions 10

(b)

an interest created or provided for by any of the following transactions —

(i)

the creation or transfer of an interest in land;

(ii)

a transfer of a right to payment that arises in connection with an interest in land, including a transfer of rental payments payable under a lease of or licence to occupy land, unless the right to payment is evidenced by an investment security;

(iii)

a transfer of present or future claim to wages, salary, pay, commission or any other compensation for labour or personal services of an employee;

(iv)

an assignment for the general benefit of creditors of the person making the assignment;

(v)

a transfer of an interest or claim in or under a contract of annuity or life policy of insurance or takaful;

(vi)

a transfer of a right to damages in tort not related to commercial activity;

(vii)

(deleted by S 76/2016);

(viii)

a transfer or mortgage in a licence, concession or other personal privilege issued or granted under any other written law for which a security interest is prohibited.