THE LEGAL PROBLEMS OF WHOLESALE FINANCING OF DURABLE GOODS IN CANADA

Abstract

In this article, the author assesses whether the laws regulating inventory financing of durable goods in Canada are sufficiently crafted. The author questions whether current security instruments are up to the challenge of meeting the requirements of inventory financing. Through an examination of current Canadian legislation and jurisprudence, as well as through offering a comparison with the American experience on this subject, with particular attention paid to the Uniform Commercial Code, the author concludes that a law that is tailored specifically to the particular problems that arise in the context of inventory financing of identifiable goods is required.