Announcements

Important Changes in the Québec Civil Code

Effective September 17, 1999, the Quebec Government brought into affect several important changes to the Civil Code that effect vendors and lessors of equipment.

Equipment suppliers in Quebec have always sold under the condition of "Resevation of Ownership". Simply put, the vendor has the right to repossess the machinery if it has not been paid for. This condition is always indicated on the sales contract and invoice.

As a result of the Civil Code changes, vendors are now forced to formally register this condition of sale with the Quebec Register of Movable and Personal Real Rights (RDPRM). This is done by way of a new form of registration termed "global inscription". The "global inscription" applies for a standard 10 year period and covers all transaction during that time.

It is very important to stress that the vendor has no rights whatsoever against equipment that is fully paid or sold by other suppliers.

Rubenstein will be pleased to provide more information on these changes in procedure. Furthermore, we will communicate with your notaries or bankers should you require.

Please contact Jeff Teitelbaum.
Tel. (514) 747-2929 ext 223