Thank you. It's probably easiest to understand this provision by drawing an analogy to builders' liens. People are familiar with the fact that the construction industry, when building a home, has a lien on the property for the work and the materials that they put into that particular building, in priority to other lenders and to perhaps the home owner. This is really the same sort of thing where it's giving a priority to those things which contributed to, effectively the growth or the improvement of the particular collateral. That's really the essence of this. So if somebody has lent money to someone to provide food for animals which contributes to their growth, then it gives them a higher priority than one who otherwise has a security interest in those animals.
Mr. Macdougall on Bill 7: Personal Property Security Act
In the Legislative Assembly on March 2nd, 1994. See this statement in context.
Bill 7: Personal Property Security Act
Item 18: Consideration In Committee Of The Whole Of Bills And Other Matters
March 1st, 1994
Page 482
Macdougall
See context to find out what was said next.