Chattel Securities Act 1987

A person who suffers loss or damage by reason that a security interest in registrable goods of which the person is the holder is extinguished by the operation of section 7(1), being a security interest —

for the registration of which application had been made under section 15; and

which at the time the loss or damage was suffered —

had not been entered in the register; or

was entered in the register but not correctly entered; or

having been entered in the register after the application was made, was no longer entered by reason of the cancellation of the entry under section 22,

If an application is made under subsection (1), the Commissioner shall determine whether or not compensation should be paid to the applicant and, if the Commissioner determines that compensation should be paid, shall make an order for the payment to the applicant of such amount including costs as the Commissioner determines.

The Commissioner shall not make an order under this section in relation to an application arising by reason of loss or damage suffered after the cancellation under section 22 of an entry in the register if the applicant did not show cause in accordance with that section unless the Commissioner is satisfied that the applicant did not show cause in accordance with that section why the registration should not be cancelled —

because of circumstances beyond the applicant’s control; or

for reasons that ought reasonably to be excused.

Compensation paid in respect of a claim under this section shall not exceed —

the amount of the debt or other pecuniary obligation or the value of any other obligation secured by the security interest; or

the value of the registrable goods in respect of which the application is made,