Picture of British Columbia Purchase Money Security Agreement Picture of British Columbia Purchase Money Security Agreement

British Columbia Purchase Money Security Agreement

When you sell inventory on credit to a distributor, make sure you protect your security interest in those goods until you're paid in full under this Purchase Money Security Agreement for BC.

  • The contract attaches a purchase money security interest (PMSI) to the goods being sold, which then become collateral under the Agreement.
  • The supplier (secured party) extends credit to the customer (debtor) for the purchase of the inventory, and the debtor agrees to pay the purchase amount in a series of instalment payments.
  • In return for being allowed to pay over time, the debtor grants the secured party a PMSI over the goods and over the proceeds that will be realized from the goods.
  • This is a downloadable legal form intended for use in the Province of British Columbia, Canada.
Document Type: Microsoft Word
Last Updated: 31-March-2021
SKU: 9155
$17.99
Related products
Picture of Purchase Money Inventory Security Agreement | Canada

Purchase Money Inventory Security Agreement | Canada

If you sell inventory on credit to your customers, secure payment for the goods with this Canada Purchase Money Security Agreement.

  • The supplier (as secured party) agrees to extend credit to the customer (as debtor) for the purchase of inventory, in exchange for a purchase money security interest in all of the debtor's present and future inventory and proceeds.
  • The term 'proceeds' includes cash and non-cash proceeds, such as accounts, contract rights, and chattel paper.
  • The debtor cannot sell or transfer any of the collateral except in the ordinary course of business, and the customer must hold the proceeds of the sale in trust for the secured party.
  • The secured party has the right to take possession of the collateral if the debtor fails to make payment or defaults under the terms of the Agreement.
  • The Purchase Money Inventory Security Agreement gives Canadian suppliers a more secure method of selling goods on credit. It can be used in any province that has Personal Property Security Act legislation.
$17.99
Picture of General Security Agreement | Canada

General Security Agreement | Canada

Secure a loan or line of credit with this General Security Agreement for Canadian lenders.

  • The borrower grants the lender a security interest in all of the borrower's personal property (inventory, equipment, accounts and book debts), and all income and proceeds from that personal property.
  • The General Security Agreement secures payment and performance of all of the borrower's present and future indebtedness to the lender, including the lender's costs of enforcing the Agreement.
  • The borrower agrees to protect and preserve the collateral property, to keep it in good condition and repair, to pay all taxes and charges levied against it, and to keep it fully insured.
  • So long as the borrower is not in breach of its obligations, the borrower retains possession of the collateral and can use it in the ordinary course of its business.
  • This legal document template is intended for use only in Canada.
$17.99