Companies Act 2014 section 420

Transitional provisions in relation to priorities of charges

Section 420 sets out the transitional rules governing how the priority of charges created before Part 7 commenced interacts with the new priority rules under section 412 for charges created after commencement.

• The new priority rules in section 412 generally do not apply when determining priority between a pre-commencement charge and a post-commencement charge.
• An exception exists for charges that fall within the special transitional case under section 419(2) — if such a charge was not registered under the old rules before commencement, the new section 412 priority rules will apply to it.
• Where the new priority rules do apply to a special transitional case charge, references to the date or time of receipt of prescribed particulars are read as the date or time the Registrar actually received the registration documents under the old Part IV rules as continued by section 419.
• Any failure to comply with the specific requirement in section 102(1) of the Companies Act 1963 is to be disregarded when applying this date-of-receipt interpretation.