PPSA 1101 - Understanding the Basics of the Personal Property Security Act
About the Course
This course is designed for enrollees who wish to gain basic proficiency with The Personal Property Security Act, 1993 (PPSA) and its Regulations. In your daily business and practice, are you being asked questions about the PPSA for which you do not have ready answers? Are you encountering seemingly simple PPSA issues that require hours of painstaking research? If you did not enrol in a secured transactions course while in university, or are simply interested in learning about how the PPSA affects your business and practice, consider enrolling in PPSA 1101.
Scheduled Instruction
3 hours
Program
Session 1: Terminology & Taxonomy - Like any commercial statute, the PPSA is replete with technical terms and concepts. For example, it recognizes seven distinct categories (and numerous additional subcategories) of personal property.
Session 2: Scope of the PPSA - The PPSA applies to many commercial transactions including those that fall outside the realm of conventional security. Examples include conditional sale contracts, security leases, leases for a term of more than one year, security consignments, commercial consignments, security trusts, and transfers of accounts and chattel paper.
Session 3: Attachment of a Security Interest - The PPSA facilitates the contractual creation of security interests in personal property. The statutory requirements for attachment of a security interest are therefore hybrid in nature, pertaining to matters of both contract and property.
Session 4: Perfection of a Security Interest - A secured party must perfect a security interest to ensure its effectiveness against and priority over competing third party interests. For any given collateral, perfection requires the coincidence of attachment and a completed perfection step. Depending on the nature of the collateral involved, a secured party may avail itself of one or more of the following perfection steps: registration, possession, control, delivery.
Session 5: Priority Disputes Involving Security Interests - Priority refers to the ordering or ranking of competing security interests in personal property. However, the term is also used in more colloquial fashion as a generic reference to a security interest’s position in relation to any third party interest. A secured party who wishes to assert priority against third parties (like buyers, trustees in bankruptcy or other secured parties) should ensure, at the very least, that its security interest is perfected.
Session 6: Enforcement in the Event of Debtor Default - A secured party’s enforcement rights become operative when the debtor commits an act of default. The PPSA lays out detailed rules of enforcement for a secured party who, in its collection effort, chooses to pursue a debtor’s collateral.
About the PPSA
The PPSA governs security interests in personal property. In force in each common law province and territory, it is one of Canada’s most important commercial statutes. Transactions governed by the PPSA include conventional secured loans, conditional sale contracts, security leases, leases for a term of more than one year, security consignments, commercial consignments, security trusts, and transfers of accounts and chattel paper. Failure to comply with the technical requirements of the PPSA can be fatal to a secured party’s claim to the collateral. Sound command of the statute is therefore an absolute must for any successful commercial lawyer, banker or finance specialist.
Discontinued as a Public Course
PPSA 1101 is no longer delivered publicly, only privately. If your organization is interested in arranging for private delivery of PPSA 1101, please contact Clayton Bangsund for pricing, scheduling and other details.
