Assembly Vote
12th Assembly, 5th SessionDecember 14, 1993
Motion Sponsor
Bill 7
Personal Property Security Act
Bill Sponsor:
Stephen Kakfwi
Last Stage Completed:
Law (Assent given) (March 17, 1994)
Topic
Motion Text
Madam Speaker, I move, seconded by the honourable Member for Hay River, that Bill 7, The Personal Property Security Act, be read for the second time. This bill would establish a new system for the registration of transactions involving security interests in personal property, to replace the various systems set out in the assignment of the Bad Debts Act, Bills of Sale Act, Conditional Sales Act, Corporation Security Registration Act, and Document Registry Act.
The bill will comprehensively establish rules to deal with the priorities of various parties who may have secured interest in the same collateral and set out the remedies available to various debtors, creditors, and third parties. The rules established in the bill strike a more fair balance between purchasers, borrowers, and lenders, than the law does now. The current law can be determined only by looking at a great number of judicial decisions. It is not consistent in the way it treats creditors who hold different types of security interest, and has not always accommodated changes in consumer and commercial lending practices.
The bill would bring the law of the territories in line with the law of a number of the provinces, establishing proper foundation for commercial lending activities by removing existing obstacles to commercial activity in the Northwest Territories. Thank you.