ppsa - tracing si

Question 1

S45 1 b
a perfceted SI contineues..

Answer 1

in the collateral and extends to the proceeds

Question 2

s45(2)
the amount secured….

Answer 2

is limit to the values of the colateral at the date of the dealing that gave rise to teh proceeds

Question 3

what is s16

Answer 3

proceeds definition

Question 4

s16 defeiniton of proceeds is

Answer 4

the identifiabke or traceable personal proeprty
- that is dervied directly or indorectly from a delaing with collateral or the proceeds of a collateral
- in whihc a debtor acquires an interest (KEY LIMITATION)

Question 5

S16 PROCEEDS doesnt include

Answer 5

animal merely becasue they are the offspring of the animals taht are collateral

Question 6

petty john

Answer 6

The original herd of cattle was sold, and the proceeds were deposited into a bank account, automatically reducing a loan. New cattle were later bought by withdrawing from the same account, thus drawing down the loan again. The new cattle are considered to be the proceeds of the original sale, as they effectively replaced the old herd in the Pettyjohns’ business operations.