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Deed Of Assignment Of Receivables Template for Canada

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Key Requirements PROMPT example:

Deed Of Assignment Of Receivables

"I need a Deed of Assignment of Receivables to transfer $2.5M in construction industry receivables from my Ontario-based company to ABC Financial Ltd as security for a new credit facility, with the assignment to be effective from March 1, 2025."

Document background
The Deed of Assignment of Receivables is a crucial document in Canadian commercial finance, used when a business wishes to transfer its accounts receivable to another party, typically for financing purposes or as part of a larger commercial transaction. This document is essential in various scenarios, including factoring arrangements, security for loans, or business restructuring. The deed must comply with Canadian federal laws and provincial regulations, particularly regarding security interests and property transfer. It details the assigned receivables, contains necessary warranties about their existence and validity, and includes mechanisms for perfecting the assignment under applicable law. The document is structured to meet the formal requirements of a deed under Canadian law and typically requires registration under the relevant Personal Property Security Act (PPSA) regime.
Suggested Sections

1. Parties: Identification of Assignor and Assignee with full legal names and addresses

2. Background: Context of the assignment, relationship between parties, and purpose of the deed

3. Definitions and Interpretation: Definitions of key terms including Receivables, Debtors, Related Rights, and interpretation clauses

4. Assignment: Core provisions effecting the transfer of the receivables from Assignor to Assignee

5. Consideration: Details of the payment or other consideration for the assignment

6. Representations and Warranties: Assignor's warranties regarding ownership, right to assign, and status of receivables

7. Further Assurance: Obligations to execute further documents and take additional steps if needed

8. Power of Attorney: Appointment of Assignee as Assignor's attorney to perfect the assignment

9. Notices: Process for giving notices under the deed and to debtors

10. Governing Law and Jurisdiction: Specification of applicable law and courts

11. Execution: Execution blocks meeting requirements for a deed

Optional Sections

1. Security Interest Provisions: Required if the assignment is by way of security rather than absolute

2. Collections and Payment Mechanics: Required if specific payment arrangements or collection procedures need to be established

3. Regulatory Compliance: Required if the receivables are subject to specific regulatory requirements

4. Data Protection: Required if personal data is involved in the assigned receivables

5. Foreign Law Requirements: Required if receivables or debtors are in multiple jurisdictions

6. Continuing Obligations: Required if ongoing servicing or reporting obligations exist

7. Tax Provisions: Required if specific tax treatments or obligations need to be addressed

8. Anti-assignment Prohibitions: Required if dealing with receivables that may have assignment restrictions

Suggested Schedules

1. Schedule of Receivables: Detailed list of all receivables being assigned, including debtor details, amounts, and due dates

2. Form of Notice to Debtors: Template notice to be sent to debtors informing them of the assignment

3. Form of Acknowledgment: Template acknowledgment for debtors to confirm receipt of assignment notice

4. Related Contracts: List or copies of contracts from which the receivables arise

5. Registration Requirements: Details of PPSA and other registration requirements and forms

6. Payment Instructions: Details of bank accounts and payment procedures for assigned receivables

Authors

Alex Denne

Head of Growth (Open Source Law) @ ºÚÁÏÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions




































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Relevant Industries

Banking and Financial Services

Manufacturing

Wholesale Trade

Retail

Construction

Healthcare

Technology

Professional Services

Transportation and Logistics

Energy and Utilities

Telecommunications

Agriculture

Relevant Teams

Legal

Finance

Treasury

Accounts Receivable

Credit Control

Risk Management

Compliance

Commercial Operations

Corporate Finance

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Credit Controller

Accounts Receivable Manager

Legal Counsel

Commercial Director

Risk Manager

Financial Controller

Business Development Manager

Corporate Finance Manager

Compliance Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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