Acts and Regulations

P-7.1 - Personal Property Security Act

Section 60
Disposition versions

Full text
Surplus or deficiency after disposition
60(1)In this section
“secured party” includes a receiver.
60(2)If a security agreement secures an indebtedness and the secured party has dealt with the collateral under section 57, or has disposed of it, the secured party shall account for any surplus and shall, subject to subsection (5) or the agreement otherwise of all interested persons, pay any surplus in the following order to
(a) a creditor or person with a security interest in the collateral whose security interest is subordinate to that of the secured party and
(i) who has registered, before the distribution of the surplus, a financing statement that includes the name of the debtor or that includes the serial number of the collateral if the collateral is goods of a kind that are prescribed as serial numbered goods, or
(ii) whose security interest was perfected by possession when the secured party seized or repossessed the collateral,
(b) a judgment creditor whose interest in the collateral is subordinate to that of the secured party and who has registered, before the distribution of the surplus, a notice of judgment that includes the name of the debtor or that includes the serial number of the collateral if the collateral is goods of a kind that are prescribed as serial numbered goods,
(c) any other person with an interest in the surplus who has given a written notice to the secured party of that person’s interest before the distribution of the surplus, and
(d) the debtor and any other person who is known by the secured party to be an owner of the collateral.
60(3)The priority of the claim of any person referred to in subsection (2) shall not be prejudiced by payment to anyone in accordance with that subsection.
60(4)Within thirty days after receipt of a written request for an accounting from a person referred to in subsection (2), the secured party shall give to that person a written accounting of
(a) the amount received from the disposition of any collateral or any amount collected under section 57,
(b) the manner in which the collateral was disposed of,
(c) the amount of expenses as provided in paragraphs 17(3)(a) and 59(3)(a) and subsection 57(4),
(d) the distribution of the amount received from the disposition or collection, and
(e) the amount of any surplus.
60(5)Where there is a question as to who is entitled to receive payment under subsection (2), the secured party may pay the surplus into the Court and the surplus shall not be paid out except on an application under section 67 by a person claiming an entitlement to it.
60(6)Unless otherwise agreed, or unless otherwise provided in this or any other Act, the debtor is liable to pay any deficiency to the secured party.
Surplus or deficiency after disposition
60(1)In this section
“secured party” includes a receiver.
60(2)If a security agreement secures an indebtedness and the secured party has dealt with the collateral under section 57, or has disposed of it, the secured party shall account for any surplus and shall, subject to subsection (5) or the agreement otherwise of all interested persons, pay any surplus in the following order to
(a) a creditor or person with a security interest in the collateral whose security interest is subordinate to that of the secured party and
(i) who has registered, before the distribution of the surplus, a financing statement that includes the name of the debtor or that includes the serial number of the collateral if the collateral is goods of a kind that are prescribed as serial numbered goods, or
(ii) whose security interest was perfected by possession when the secured party seized or repossessed the collateral,
(b) a judgment creditor whose interest in the collateral is subordinate to that of the secured party and who has registered, before the distribution of the surplus, a notice of judgment that includes the name of the debtor or that includes the serial number of the collateral if the collateral is goods of a kind that are prescribed as serial numbered goods,
(c) any other person with an interest in the surplus who has given a written notice to the secured party of that person’s interest before the distribution of the surplus, and
(d) the debtor and any other person who is known by the secured party to be an owner of the collateral.
60(3)The priority of the claim of any person referred to in subsection (2) shall not be prejudiced by payment to anyone in accordance with that subsection.
60(4)Within thirty days after receipt of a written request for an accounting from a person referred to in subsection (2), the secured party shall give to that person a written accounting of
(a) the amount received from the disposition of any collateral or any amount collected under section 57,
(b) the manner in which the collateral was disposed of,
(c) the amount of expenses as provided in paragraphs 17(3)(a) and 59(3)(a) and subsection 57(4),
(d) the distribution of the amount received from the disposition or collection, and
(e) the amount of any surplus.
60(5)Where there is a question as to who is entitled to receive payment under subsection (2), the secured party may pay the surplus into the Court and the surplus shall not be paid out except on an application under section 67 by a person claiming an entitlement to it.
60(6)Unless otherwise agreed, or unless otherwise provided in this or any other Act, the debtor is liable to pay any deficiency to the secured party.