Eseosa Omoruyi, Regulating the Use of Crypto-Assets as Collateral in Secured Transactions: U.S. and Canadian Perspectives

January 18, 2024: The emergence of crypto-assets (like cryptocurrencies and NFTs) as valuable personal property has made them appealing forms of collateral in secured transactions. At present day, under the Personal Property Security Act (PPSA), crypto-assets constitute “intangible” personal property, and are thus subject to the same rules as accounts receivable, deposit accounts and licences. This basic treatment presents acute difficulties for parties intent on utilizing crypto as collateral to secure payment or performance obligations. In this thesis, successfully defended in 2023, Eseosa draws on recent legislative reform initiatives in the United States of America to formulate her own recommendations for reform to the Canadian PPSAs. Provincial and territorial legislators would be well-advised to consult this insightful thesis as they turn their attention to PPSA reform. Indeed, Eseosa presented her research to the Canadian Conference on Personal Property Security Law (CCPPSL) at its 2022 annual meeting held in Montreal.

To view the thesis, click on the image Felicity Fonda Forest.

Clayton Bangsund, Commentary for the Law Reform Commission of Saskatchewan regarding the Consultation Report containing Proposals for Amendments to the Sale of Goods Act

I never saw such a bird for delivering opinions. Nothing escapes him; he notices everything that happens, and brings out his opinion about it, particularly if it is a matter that is none of his business. And it is never a mild opinion but always violent – violent and profane – the presence of ladies does not affect him. His opinions are not the outcome of reflection, for he never thinks about anything, but heaves out the opinion that is on top in his mind, and which is often an opinion about some quite different thing and does not fit the case. But that is his way; his main idea is to get out an opinion, and if he stopped to think he would lose chances.

- Mark Twain, Following the Equator

December 15, 2023: In September 2023, the Law Reform Commission of Saskatchewan (LRCS) published a Consultation Report on Proposals for Amendments to The Sale of Goods Act (Consultation Report). This brief memorandum sets out my comments on the amendments proposed in the Consultation Report. I hope my opinions are helpful to the LRCS, unlike the opinions of that nasty bird in Mark Twain’s Following the Equator.

To view the memorandum, click on the image Mist.

Clayton Bangsund, An Ode to the Large Value Transfer System

January 15, 2022: In September 2021, Lynx replaced the Large Value Transfer System (LVTS) as Canada’s high-value payment system. Lynx is a real-time gross settlement payment system that operates in much the same manner as the high-value payment systems of other developed nations. The LVTS, on the other hand, was unique to Canada. The LVTS facilitated immediate finality of payment, but did so using a deferred-settlement feature supported by a collective collateralization scheme and the residual guarantee of the Bank of Canada. The LVTS is no longer operational, which unfortunately means I can no longer conduct simulations of LVTS cycles in my course on Banking, Payment & Transfer Systems, or pose questions about the system on the final exam. For posterity’s sake, I post a document describing the operations of the LVTS, a uniquely Canadian payment system.

To view the document, click on the image Bessel Siblings.

Madison Kowalchuk, Monetary Policy and the 2% Inflation Control Target: The Best-Known Method for the Canadian Economy

January 20, 2020: In this technical piece, Madison describes how Canadian monetary policy is implemented by the Bank of Canada. She argues that inflation targeting remains the best-known method available to Canada’s central bank, citing this method’s advantages over price-level targeting and employment targeting as monetary policy alternatives. This paper is certainly worth reading for those who seek enlightenment on the important monetary policy decisions that lie ahead for the Bank of Canada in 2021 and beyond.

To view the paper, click on the image Schoepp Siblings.

Laura Wolfe, The Value of Negotiability

November 19, 2019: In this paper, Laura concisely describes the concept of negotiability and the manner in which negotiable instruments facilitate commercial transactions. This paper will be particularly useful for my students in Banking, Payment & Transfer Systems.

To view the paper, click on the image Sir.

Nicole Krupski, PPSA Problems: Exploring a Priority Hitch Between Chattel Paper Purchasers and Purchase-Money Security Interest Proceeds Claimants

August 21, 2019: In this paper, Nicole highlights a contradiction in the rules that resolve priority disputes between chattel paper purchasers and inventory financiers claiming the same chattel paper as proceeds of their original collateral. She argues that the amendments recently passed by Saskatchewan’s Legislative Assembly, in response to recommendations made by the Canadian Conference on Personal Property Security Law, represent an improvement over the legislation currently in force, but that further improvements could be made in order to eliminate any residual ambiguity and uncertainty. Nicole’s paper is timely and important since The Personal Property Security Amendment Act, 2019 has received Royal Assent and is set to take force upon Proclamation.

To view the paper, click on the image Ludwig & Frieda Schoepp on Portage Avenue in Winnipeg.

Cory Kapeller, Keeping Up With the Joneses: A Review, Critique and Analysis of Electronic Chattel Paper Approaches and Proposals

January 23, 2019: In this timely piece, Cory reviews and critiques existing and proposed legislative regimes governing security interests in, and sales of, electronic chattel paper. The subject matter is important because the proposed electronic chattel paper provisions, contained in the 2017 CCPPSL Report, have been given first reading in the Legislative Assembly for the Province of Saskatchewan, and may very well become law in the not too distant future.

To view the paper, click on the image Thelma.

Clayton Bangsund, The Devil is in the Details: A Case Comment on Royal Bank v. Ramco Sales Inc.

April 17, 2018: This long-lost case comment was written in 2011 while I transitioned from legal practice to academia. The Ramco decision caught my attention so I recorded some thoughts. My students in Secured Transactions in Personal Property should probably take note.

To view the paper, click on the image Nuance.

Evan Hutchison, The Right Answer to the Wrong Question: Atlantic Potato Distributors Ltd. v. Meersseman

April 10, 2018: In this insightful piece, Evan critically examines the New Brunswick Court of Appeal’s interpretation of Sale of Goods Act provisions governing assessment of damages for seller’s breach. I recommend it for anyone with an interest in sales & contract law, especially my students in Commercial Relationships.

To view the paper, click on the image Ridges.

Braeden Pivnick, Once is Enough, Twice is Too Much: An Analysis of the Dual Search Requirement for Serial Numbered Goods in Canadian Personal Property Security Legislation

April 2, 2018: In this paper, Braeden critiques Ontario jurisprudence that imposes, on a searcher of the Personal Property Registry, a dual search requirement for serial numbered goods. Since the paper was completed, the Ontario legislature has codified the dual search requirement and formally entrenched this key difference between Ontario's PPSA and its counterparts in other Canadian jurisdictions. 

To view the paper, click on the image Buffalo Boy.

Clayton Bangsund, Another Appeal for Pragmatic Reform: The Future of Section 427 Bank Act Security and Canadian Personal Property Security Law

Colonel Sellers: “Don’t you fail to write your father about it, Washington. And tell him the idea is mine – I’m no more conceited than most people, I reckon, but you know it is human nature for a man to want credit for a thing like that.”

- Mark Twain & Charles Dudley Warner, The Gilded Age: A Tale of Today

March 27, 2018: In this paper I propose specific amendments to the Bank Act security provisions that would ultimately result in the repeal of Bank Act security. While the idea of repealing Bank Act security isn't novel, my recommended approach is unique in that it diverges from the Law Commission of Canada’s recommendations. The paper was originally written and posted to SSRN in January 2012, and remains available for review there. Like Colonel Sellers, I want credit for this one.

To view the paper, click on the untitled image.

Clayton Bangsund, Realigning Incentives: Reforming the Securitization Model Under Dodd-Frank 

March 19, 2018: I wrote this paper in 2012 while taking a course on International Banking and Financial Law at Columbia Law School. The research project was supervised by Professors P. Nicholoas Kourides and Paul L. Lee. I post it for my students in Banking, Payment & Transfer Systems, and for anyone else interested in securitization. 

To view the paper, click on the image Extra Energy.

Clayton Bangsund, Control v. Registration: Contemplating a Potential Paradigm Shift in the PPSA's Governance of Security Interests in Deposit Accounts

None denieth that, indeed; an the law mean anything, what is the lord’s is his, and what is mine is his also.

- Mark Twain, A Connecticut Yankee in King Arthur’s Court

March 15, 2018: I wrote my doctoral thesis under the supervision of Professor Roderick J. Wood of the University of Alberta, Faculty of Law. The thesis, which I defended in October 2017, explores and interrogates the control paradigm for perfection and priority ordering of security interests in deposit accounts. It subjects control, alongside registration, to a critical examination having regard for the traditional values of personal property security law. In due course I intend to publish my thesis as a book, with some extra bells & whistles of course, so stay tuned...

To view the thesis, click on the image Regina Solis.