Explain the effects of non registration of a hire purchase agreement?

The non-registration of a hire purchase agreement can lead to several legal and financial ramifications. Primarily, it may result in the loss of priority over the asset in case of the hirer's insolvency or bankruptcy, meaning creditors could seize the asset. Additionally, the seller may face challenges in enforcing the agreement or reclaiming the goods if the hirer defaults on payments. Overall, non-registration can undermine the seller's security interest and complicate recovery processes.