ADVOKS GLOBAL · KENYA
Movable Property Security Rights Act
92. Third-party effectiveness of a prior security right
Edition: 2022-12-31 · In force
92. Third-party effectiveness of a prior security right
(1)A prior security right that was effective against third parties under prior law continues to be effective against third parties under this Act until the earlier of—(a)the time it would have ceased to be effective against third parties under the prior law; and(b)the expiration of nine months after the coming into force of this Act.(2)A written agreement between the grantor and the secured creditor creating a prior security right and entered into before the coming into force of this Act is sufficient to constitute authorization by the grantor for the registration of a notice relating to that security right after the coming into force of this Act.(3)If the third-party effectiveness requirements of this Act are satisfied before the third-party effectiveness of a prior security right ceases in accordance with subsection (1), the security right continues to be effective against third parties under this Act from the time when it was made effective against third parties under the prior law.(4)If the third-party effectiveness requirements of this Act are not satisfied before the third-party effectiveness of a prior security right ceases in accordance with subsection (1), the prior security right is effective against third parties only from the time it is made effective against third parties under this Act.