Back to the text
Secured Transactions Act · s 37
Suggest a correction
Tell us what is wrong in this text. We check every suggestion against the official version before we change anything.
Secured Transactions Act · s 37
Tell us what is wrong in this text. We check every suggestion against the official version before we change anything.
A possessory lien arising out of materials or services provided in respect of goods that are subject to a security interest in the same goods shall have priority over that security interest if —
the materials or services relating to the lien were provided in the ordinary course of business;
the lien has not arisen under any written law that provides that the lien does not have the priority; and
the person who provided the materials or services did not, at the time the person provided those materials or services, know that the security agreement relating to the goods contained a provision prohibiting the creation of a lien by the debtor.