Section 11
Description of collateral in security agreement
(1)
A security agreement is enforceable and a security interest created in respect of the collateral only if —
(a)
a security agreement contains an adequate description of the collateral, which description may be generic or specific; and
(b)
(deleted by S 76/2016);
(c)
the debtor has rights in the collateral.
(2)
A description of the collateral is adequate if the collateral is described by —
(a)
item, kind, type or category;
(b)
a statement that a security interest is taken in all of the debtor’s present and after-acquired property; or
(c)
a statement that a security interest is taken in all of the debtor’s present and after-acquired property except for specified items or kinds of personal property.
(3)
For the purposes of subsection (2), a description of the collateral is inadequate if the collateral is described as consumer goods without specific reference to the item or kind of collateral.
(4)
Except as otherwise provided in this Act, a security interest in proceeds is enforceable against a third party, whether or not the security agreement providing for the security interest contains a description of the proceeds.
Secured Transactions 20