According to the Ontario budget released today, personal property security legislation will be amended to make it easier for businesses and financial institutions to provide or obtain first-priority security interests in cash collateral. Sound familiar? That’s what the last budget said. But the budget does recognize that significant progress has been made on the government's proposals, and key aspects will be finalized pursuant to further consultations.
I think we can read into that that the government generally accepts the approach of the OBA’s Personal Property Security Law sub-committee proposing a perfection by control regime for cash, but that there are some details to work out. We all know the devil is in the details though!