HOW TO KNOW IF YOUR MOTOR VEHICLE HAS BEEN ENCUMBERED UNDER THE MOVABLE PROPERTY SECURITY RIGHT ACT: KENYA
(MPSR: series 3)
Introduction
The term “Official Search” has always rang in our mind when we talk of due diligence in immovable property transactions relating to land and apartments. In very rare occasion do we talk of official search in movable property transactions like sale and purchase of motor vehicles. Now, just like the way the Kenya’s automotive industry is undergoing a transformative shift where Kenya presents a most promising and fastest-growing automobile markets in the Eastern Africa, due diligence is now key in this regard. Factors such as labor availability, geographic advantage, government support and greater household purchasing power have made motor vehicles demand to increase in recent days.
With increase in motor vehicle demand also comes the risk of buying an encumbered car without knowing. The Business Registration Service (BRS) collateral registry has come up with an online “official search” application process that enables citizens to conduct a search on movable properties like motor vehicles to establish whether the same has been encumbered under the MPSR Act or not.
The Search application service is available of Ecitizen and will cost you Ksh. 550 as the official government and Ecitizen convenient fees.
What you require to apply for the search:
- An applicant is required to have an Ecitizen account;
- Details of the motor vehicle you intend to search (Chassis number/log Book) or
- Grantor identity details (ID Number or Passport Number, if an incorporated body the registration number and name, if unincorporated body full name and establishing Act); and
- Prescribed fees.
Search by Grantor’s details permits the following type of entries: either as Kenyan citizen, Foreigner, Foreign resident, Kenyan corporation, Kenyan unincorporated body, Foreign corporation or Foreign unincorporated body and entity registration number.
Upon submission of the search application the applicant is issued with a search certificate that comes out instantly and is downloadable on the applicant’s ecitizen portal.
At A.O.WANGA ADVOCATES we are happy to assist you with due diligence over movable assets and registration of initial, amendment or cancellation notices under the MPSR Act.
Contact us on info@aowangaadvocates.com or +254794600191.
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