Personal Property Security Act (PPSA)

FCT is the only provider in Canada that also offers a PPSA policy for collateral that is personal property. This policy is issued alone or alongside a title insurance policy, providing protection for security other than real estate that may be included as part of your transaction.

Covered items may be specific in nature such as inventory, equipment or accounts receivable, or part of a general security agreement. A PPSA policy provides valuable protection for the failure of attachment, perfection, and priority of the lender’s security interest due to the following:

  • Forgery and fraud
  • Undue influence
  • Duress
  • Incompetency
  • Lack of authority
  • Incapacity
  • Impersonation of the debtor

Our PPSA policy also protects the lender against invalidity or unenforceability of the grant of security interest as a result of incorrectly filed registrations and/or financing statements, as well as filing and recording gaps.