Cash collateral under the PPSA - need for reform
ISDA has written to the governments of Alberta and Ontario to recommend amendments to the provincial PPSAs dealing with cash collateral. The letters explain the importance of cash collateral arrangements in financial markets, including derivatives transacting and securities lending. The recommendation is that the provinces adopt a regime similar to that under the U.S. Uniform Commercial Code, to permit perfection by control of a deposit account. To see the letters sent in June, 2009 and April, 2010, click on the links below.
ISDA Letter to Alberta and Ontario Governments of April 13, 2010
ISDA Proposal for Amendments to Treatment of Deposit Accounts under PPSA of June 8, 2009
