need advice on PPSA

[Paul S]

I use to factor invoices with Comdata (Permicom) they registered PPSA on my business, we haven't done any business with them for over 7 years and they have not taken it off. Any advise how to handle this? they are currently in the US, closed there canadian operations.

 

[bubba-one]

I'm not 100% sure but I believe a PPSA has to be reregistered every 5 yrs or it will expire. You may have to go to the registry office in person.

 

[whatiship]

Hi Paul
When you say they registered a PPSA on your business, I am assuming it was for receivables only. I believe that unless there is a specified expiration date it could remain in force indefinitely until the holder of the PPSA signs a release. Hopefully you have a copy of it and can confirm. I would contact their U.S head office, explain your situation and send them a written request to release. If it has been 7 years and if you do not owe them any money, there is no reason why they would not release it and no reason why they would need to enforce it. Also, if there were specific assets listed in the PPSA such as equipment, and the PPSA is in effect you will have difficulty in selling them since there is still a "lien" in effect.
Yes, a trip to the registry office will also confirm if it is still in effect (or any others for that matter) but I think that contacting the "title" department of Comdata U.S is the easiest way to resolve unless you think there may be other unresolved PPSA's out there

 

[htcollections]

@ Paul. There are to be expiry dates on PPSA registries. You can contact the Consumer and corporate affairs to assist you with the removal.