Revised Laws of Saint Lucia (2023)

SECURITY INTEREST IN MOVABLE PROPERTY (ELECTRONIC ACCESS TO THE REGISTER) REGULATIONS – SECTION 118

Commencement [29 November 2023]

PRELIMINARY

1.   Citation

These Regulations may be cited as the Security Interest in Movable Property (Electronic Access to the Register) Regulations.

2.   Interpretation

In these Regulations —

“Act” means the Security Interest in Movable Property Act;

“address” means —

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   (a)     a physical address or post office box number, with the name of the city, State and postal code, where applicable; or

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   (b)     an electronic mail address;

“bank account” means an account, at a financial institution approved by the Registrar, of a master user client for the deposit of monies and payment of fees with respect to a master user client account;

“certified search” means a partial or full search result that is certified by the Registrar;

“designated field” means the space in an electronic notice form that is designated for entering a specified type of information;

“master user client” means the person who is the administrator of a master user client account;

“master user client account” means a master user client account issued under regulation 6(1);

“master user client account number” means the master user client account number issued under regulation 6(3)(a);

“master user client temporary password” means the master user client temporary password issued under regulation 6(3)(b);

“master user client username” means the master user client username issued under regulation 6(3)(c);

“password” —

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   (a)     means —

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      (i)     the master user client temporary password issued under regulation 6(3)(b),

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      (ii)     a changed password under regulation 6(4),

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      (iii)     a confidential key issued by or under the authority of the Registrar to gain access to the Register;

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   (b)     includes a sub-user account password;

“registration number” means the number assigned to an initial notice;

“searcher” means —

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   (a)     a master user client;

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   (b)     a sub-user;

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   (c)     a person other than a person referred to under paragraphs (a) and (b);

“serial number” —

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   (a)     in relation to a motor vehicle, means the chassis number of the motor vehicle;

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   (b)     in relation to equipment, means the serial number marked on or attached to the equipment by the manufacturer;

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   (c)     in relation to a ship, means the serial number marked on or attached to the ship for identification by the manufacturer;

“sub-user” means a person, other than the master user client, who is authorized by the master user client to access the Register;

“sub-user account” means an account created by a master user client under regulation 7(1)(d);

“sub-user account password” means the sub-user account password issued under regulation 8(1)(e);

“unique identification number” means the unique identification number issued under regulation 6(3)(d);

“username” means an identification name issued under regulation 6(3)(c);

“website”, in relation to the Register, means www.simpr. govt.lc.

PART 1
MASTER USER CLIENT ACCOUNT

3.   Restriction on access to the Register

A person shall not have access to the Register, unless that person has a master user client account or a sub-user account under these Regulations.

4.   Application for master user client account

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   (1)   A person may make an electronic application for a master user client account to the Registrar by logging onto the website.

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   (2)   An electronic application under subregulation (1) must —

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      (a)     be in the prescribed form;

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      (b)     be supported by —

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         (i)     in the case of an individual —

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            (A)     the name of the individual;

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            (B)     a certified copy of 2 forms of identification;

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            (C)     the social security number of the individual;

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            (D)     proof of address, such as, a utility bill with the name of the individual or an authorization letter from the owner of the property showing the name of the owner on the utility bill;

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            (E)     the country of residence of the individual;

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            (F)     a business or mailing address;

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            (G)     a valid electronic mail address,

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         (ii)     in the case of a business or company —

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            (A)     the name of the business or company;

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            (B)     proof of address, such as, a utility bill with the name of the business or company;

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            (C)     a business or other mailing address;

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            (D)     a valid electronic mail address;

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            (E)     a copy of the Certificate of Incorporation issued under the Companies Act or the Registration Certificate issued under the Registration of Business Names Act;

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      (c)     contain an endorsement, by the person making the application, agreeing to the terms and conditions for use of the Register;

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      (d)     any other document or information requested by the Registrar.

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   (3)   Notwithstanding this regulation, a person may manually provide, to the Registrar, the supporting documents specified under subregulation (2)(b).

5.   Approval of application for master user client account

The Registrar, on being satisfied that a person making an application for a master user client account under regulation 4 has complied with the requirements, shall approve the application for a master user client account and give notice of his or her approval by an electronic mail to the person making the application.

6.   Refusal of application for master user client account

Where the Registrar is not satisfied that a person making an application for a master user client account under regulation 5 has complied with the requirements, the Registrar shall refuse an application for a master user client account and provide reasons for his or her refusal by an electronic mail to the person making the application.

7.   Issue of master user client account

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   (1)   Where the Registrar approves an application for a master user client account under regulation 5, the Registrar shall issue one master user client account to each person making an application for a master user client account.

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   (2)   Each master user client account must be separately identifiable by the date and time of being issued.

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   (3)   Where a person is issued a master user client account, the Registrar shall, in relation to the master user client account, issue to the person —

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      (a)     a master user client account number;

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      (b)     a master user client temporary password;

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      (c)     a master user client username;

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      (d)     a unique identification number;

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      (e)     a copy of the terms and conditions for use of the Register.

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   (4)   A master user client may change a password by making a written request to the Registrar for a change of the password.

8.   Responsibilities of master user client

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   (1)   A master user client is responsible for —

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      (a)     ensuring that the correct information is entered in the designated field in the Register;

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      (b)     attaching a file or other document that relates to an attached file;

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      (c)     depositing monies into a bank account;

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      (d)     creating a sub-user account;

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      (e)     issuing, to a sub-user, a sub-user account password;

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      (f)     de-activating a sub-user account.

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   (2)   A master user client may create one or several sub-user accounts.

9.   Electronic access to the Register

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   (1)   A master user client —

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      (a)     may access the Register by signing into the master user client account and using the username and password; and

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      (b)     has access to the Register in accordance with the terms and conditions for use of the Register.

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   (2)   Subject to the terms and conditions for use of the Register, a master user client or a sub-user may have electronic access to the Register to —

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      (a)     request a search;

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      (b)     generate a report, such as, an administration, a search, or registration report;

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      (c)     effect registration of —

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         (i)     an initial notice,

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         (ii)     an amendment notice,

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         (iii)     a cancellation notice.

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   (3)   Subject to regulation 10, electronic access to the Register is available 24 hours a day, 7 days a week, at a time during or outside ordinary business hours, including a Saturday, Sunday and public holiday.

10.   Suspension of electronic access to the Register

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   (1)   After giving notice of the suspension of electronic access to the Register, the Registrar may suspend electronic access to the Register.

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   (2)   The maintenance of the Register may cause electronic access to the Register to be suspended.

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   (3)   Where electronic access to the Register is suspended under subregulation (1), there is no electronic access to the Register during the period of suspension.

11.   Termination of a master user client account

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   (1)   The Registrar or a master user client may, in accordance with the terms and conditions for use of the Register, terminate a master user client account.

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   (2)   On termination of a master user client account under subregulation (1), the Registrar shall, in relation to the master user client account, return to the master user client the balance of monies remaining in the bank account.

PART 2
SEARCHES

12.   Request for search of the Register

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   (1)     A search of the Register under section 49 of the Act may be conducted by a searcher under this regulation.

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   (2)   A searcher may request an electronic search of the Register —

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      (a)     in the case of a master user client or sub-user, by logging onto the master user client account or the sub-user account;

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      (b)     in the case of a person other than a master user client or a sub-user for an electronic search, by logging onto the website and filling out the designated fields; and

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      (c)     on payment of the search fee specified in the Schedule.

13.   Search result

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   (1)   After requesting a search under regulation 12, the Register generates the finding of a search which includes —

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      (a)     the date, which specifies the day, month and year; and

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      (b)     the time, which specifies the hour, minutes and seconds,

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   on which the search is conducted.

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   (2)   Where a search is requested by using the identifier of a grantor or the registration number as the search criterion, the search result includes all information in each registered notice that contains information matching that exact search criterion.

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   (3)   Where a search is conducted by using the identifier of a grantor or the name of a grantor as the search criterion, the search result indicates —

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      (a)     all information in each registered notice that contains information matching that search criterion; or

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      (b)     that a notice does not contain information matching that exact search criterion.

14.   Search report

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   (1)   On the request of a searcher and on payment of the certified search report fee specified in the Schedule, the Registrar shall issue a search report to a searcher.

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   (2)   A search report that purports to have been issued by the Registrar is proof of its contents in the absence of evidence to the contrary.

15.   Certified search report and certified registered notice

On the request of a searcher and on payment of the certified search fee and certified registered notice fee specified in the Schedule, the Registrar shall issue a certified search report and certified registered notice.

PART 3
REGISTERED NOTICES

16.   Electronic registration of initial notice

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   (1)   A master user client or sub-user shall register a security interest in movable property electronically in the Register by an initial notice under section 29(1) of the Act by entering the following information —

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      (a)     the amount of years for which the registration is valid;

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      (b)     the identifier of the grantor;

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      (c)     the identifier of the secured creditor;

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      (d)     the electronic mailing address of the grantor and the secured creditor;

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      (e)     the physical address of the grantor and the secured creditor;

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      (f)     the serial numbered property or a specific or general collateral description of the property;

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      (g)     the maximum collateral amount secured by the security interest;

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      (h)     other relevant information.

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   (2)   Where an initial notice includes an acquisition security interest, an indication, by checking the designated field, to note the effect of the acquisition security interest on the initial notice.

17.   Fee for registration of initial notice

For the purposes of section 29(4) of the Act, the fee for registration of an initial notice is set out in the Schedule.

18.   Electronic registration of amendment notice

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   (1)   A master user client or a sub-user may register an amendment notice electronically in the Register under section 30 of the Act by entering information for an amendment notice.

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   (2)   The information for an amendment notice under subregulation (1) allows a master user client or sub-user to change, add or delete information with regard to an initial notice, such as —

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      (a)     the description of the collateral;

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      (b)     the information of the grantor;

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      (c)     information of the secured creditor.

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   (3)   The information for an amendment notice under subregulation (1) may introduce new movable property to the serial number, specific or general description of an existing registered security interest in movable property.

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   (4)   An amendment notice is effective with respect to the new movable property and has priority, from the date of registration of the amendment notice, to the new movable property to which the amendment notice relates.

19.   Fee for registration of amendment notice

For the purposes of section 30(4) of the Act, the fee for registration of an amendment notice is set out in the Schedule.

20.   Cancellation of initial notice

An initial notice may be cancelled where —

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   (a)     the grantor has not authorized the initial notice in relation to the movable property, and the secured creditor is informed by the grantor that the grantor will not authorize the registration of an initial notice regarding the movable property;

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   (b)     the authorization of the grantor has been withdrawn and the security agreement regarding the movable property has not been concluded.

21.   Payment of fees

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   (1)   A payment for a search, search report, certified search, certified registered notice, the registration of an initial notice and amendment notice may be made by cash, an electronic wire transfer, a credit or debit card, a manager's cheque or any other method of payment authorized by the Registrar.

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   (2)   The Registrar may debit the bank account of a master user for processing a payment under subregulation (1).

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   (3)   Where there are insufficient monies in the bank account for processing a payment, the Registrar shall notify the master user client and the transaction will not be completed until the master user client deposits sufficient monies into the bank account and the fees are debited from the bank account.

22.   Transmission of a copy of a registered notice

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   (1)   The Registrar shall transmit, by using the electronic mail address specified in the initial notice, to the secured creditor and the grantor, a copy of a registered notice which includes, in relation to the registered notice —

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      (a)     the date, including the day, month and year;

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      (b)     the time, including the hour, minutes and seconds; and

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      (c)     the registration number.

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   (2)   Where the Registrar transmits a copy of a registered notice under subregulation (1) and the Registrar becomes aware that the copy was not received due to the electronic mail address returning as an incorrect electronic mail address, the Registrar must transmit to the secured creditor, at its electronic mail address as set out in the initial notice, a message indicating that the copy of the registered notice was not received by the grantor.

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   (3)   Where the electronic mail address of the grantor is not set out in the initial notice and the Registrar has notified the secured creditor under subregulation (2), the secured creditor must send to the grantor —

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      (a)     an electronic copy of the information in the registered notice, if the secured creditor knows or has a reasonable opportunity to determine the current electronic mail address of the grantor;

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      (b)     a paper copy of the registered notice, at the postal address of the grantor as set out in the initial notice; or

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      (c)     where the secured creditor knows that the address of the grantor has changed, at the most recently known postal address, if the secured creditor does not know or have a reasonable opportunity to determine the current electronic mail address of the grantor.

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   (4)   The transmission of a copy of a registered notice under subregulation (3) must be undertaken by the secured creditor no later than —

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      (a)     5 days after the secured creditor receives a copy of the registered notice under subregulation (1), if the electronic mail address of the person identified in the notice as the grantor was not set out in the initial notice; or

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      (b)     5 days after the secured creditor receives a message from the Registrar under subregulation (2).

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   (5)   The failure of a person to comply with an obligation under subregulation (3) does not affect the effectiveness of the registered notice.

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   (6)   A person that fails to comply with an obligation under subregulation (3) is liable to the grantor for any actual loss or damage that results from the failure.

23.   Identifier of secured creditor

Without prejudice to section 38 of the Act, the person to be identified as the secured creditor in an initial notice or amendment notice is the name of the secured creditor as it appears on —

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   (a)     in the case of bankruptcy or insolvent proceedings, the Court order or other legal instrument of appointment;

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   (b)     in the case of a deceased person, the last will and testament of the deceased person or other legal instrument of appointment.

24.   Language of information in registered notice

The information contained in a registered notice must be expressed in English, except the name and address of the grantor and the secured creditor or a representative of the secured creditor or the grantor.

25.   Recording of information on the Register

The Registrar must enter information in a registered notice in chronological order.

PART 4
MISCELLANEOUS

26.   Effected search and registration

A search, and the registration of a notice of a security interest in movable property effected under these Regulations, by using the master user client account or sub-user account, is deemed to have been effected by the master user client.