Service Overview
Focused legal support for ppsa registration
A PPSA registration gives public notice of a claimed security interest in personal property, such as equipment, vehicles, inventory, or accounts receivable. It is commonly used when a borrower offers those assets as collateral for a loan. This differs from registering a mortgage against land.
The security agreement and the registration serve different purposes. The agreement sets out the security granted by the borrower, while a financing statement records information in Ontario’s personal property security registry. Registration can be part of perfecting a security interest, but enforceability and priority depend on the agreement, the collateral, and the applicable legal requirements. Registration alone does not guarantee repayment or an unrestricted right to seize assets. These matters are governed by Ontario’s Personal Property Security Act.
The PPSA registration process
A secured lending transaction may involve:
- Searches and due diligence: We search the registry for registrations against the borrower and review the results for potential competing interests. A search helps identify issues requiring further investigation; it does not establish that all assets are free of claims.
- Preparing the security agreement: We draft or review a General Security Agreement or an agreement covering specified assets, describing the collateral and the parties’ rights and obligations.
- Registering the financing statement: We prepare the debtor details, collateral classifications, and other required information for the financing statement and arrange registration for the appropriate term.
- Reviewing the registration confirmation: We check the verification statement against the intended registration and provide confirmation as appropriate to the transaction.
- Maintaining the registration: We assist with amendments, renewals before expiry, and discharges when the secured obligations and applicable release requirements have been addressed.
How we can help
- Pre-lending review: Reviewing PPSA search results and discussing existing registrations, competing creditors, and the proposed collateral.
- Security agreements: Preparing documents that reflect the loan arrangement and explain the remedies available if a default occurs.
- Registration details: Checking borrower names, asset descriptions, and other information needed for the filing.
- Ongoing administration: Assisting with changes to debtor information, renewal instructions, and releases after repayment.
Who may need PPSA assistance
This service may be appropriate for private lenders and businesses taking personal property as collateral, or clients who need an existing registration amended, renewed, or discharged. We help clarify how the security documents and registration fit into the wider transaction.