by Nick Miller of Clarity Advantage
In which we are reminded that the heart and art of sales is understanding and working our prospects’ desires and feelings.
Monthly Archives: May 2011
Bare Trustees And Nominees
by Chris Huband of Blake, Cassels & Graydon LLP
Bare trustees or nominees are often encountered in mortgage lending situations. Both borrowers and lenders need to know how to deal with a bare trustee in order to avoid potentially serious consequences.
What is a Bare Trustee?
A bare trustee, or nominee, arrangement exists where:
Intercreditor Agreements – Ontario Court Of Appeal Considers Circular Priorities
By Andrea Lockhart of Osler, Hoskin & Harcourt LLP
A recent decision of the Ontario Court of Appeal illustrates that secured creditors should address their priority position relative to all other creditors of their borrower in order to achieve a complete subordination of competing security. Failure to do so in this case resulted in circular priorities that the Court was left to resolve. In light of the Court of Appeal’s decision, secured creditors should ensure they are a party to all subordination agreements with the debtor in order to achieve their expected result.
Strategies For Margining In-Transit Inventory
By Andrew Biderman of Aird and Berlis LLP
Introduction
In-transit inventory represents a significant, and growing, proportion of inventory for many borrowers, who often look to their lenders to advance against such inventory. 1
As part of the lender’s security package, the lender will have a security interest over the borrower’s in-transit inventory. However, before the lender can consider including the inventory in the borrowing base, the lender needs to ensure that the borrower actually has title to the inventory. Further, unlike the typical situation where the inventory is located at the borrower’s premises (where the lender will have access pursuant to the loan agreement/ security documents and/or a landlord waiver), the lender does not have any control over what the borrower’s carriers will do with the inventory.
After a brief discussion of some of the issues involved in confirming ownership of the inventory, this article will examine a few of the different strategies available to give the lender the comfort necessary to include at least a portion of the in-transit inventory in the borrowing base.
Sales Thought – Head Voices
by Nick Miller of Clarity Advantage
In which we are reminded to focus on our clients’ voices to silence the voices in our heads.
There was a summer night, years ago, when I returned to Woods Hole, Massachusetts on the evening’s last ferry from Martha’s Vineyard. While I was staying with friends in Woods Hole, I had been out on the Vineyard for the day, enjoying the beach and reading Stephen King’s book, ‘Salem’s Lot, a story about a pretty Maine country town…overtaken by vampires. Hiding. In the dark. And people being snatched away. And dying. You know, a little light summer beach reading a year after reading Jaws.
Docked in Woods Hole, pre-occupied with the story, I walked silently off the ferry with other day-trippers and boarded the parking shuttle bus. A mile up Woods Hole Road, the driver let me out at the end FR Lilly Road, a 400 meter straight shot into the moonless Cape night, framed by overhanging trees and vines leading toward my friends’ cottage.
Independent Contractors: Count Them In
If your company utilizes independent contractors in Ontario, it may now be required to establish a joint health and safety committee. In Ontario (Ministry of Labour) v. United Independent Operators Limited, the Ontario Court of Appeal ruled that independent contractors count as workers “regularly employed” by an employer, and therefore must be included when determining whether an employer is required to establish a joint health and safety committee under the Occupational Health and Safety Act.
In July 2004 an independent contractor, operating as a truck driver for United Independent Operators Limited, suffered a broken pelvis and two broken legs when he was trapped between his truck and that of another United truck driver. As the accident occurred at the worksite of a United customer, the Ministry of Labour conducted an investigation. The Ministry charged United with failure to establish and maintain a joint health and safety committee (JHSC), and issued an order
Sales Thought – Pathways Overlooked
by Nick Miller of Clarity Advantage
In which we are reminded that bringing cookies(or some attention) to the receptionist may not be a waste of time after all.
My long-time family attorney, Al, retired from his practice about two years ago. He left with characteristically little fanfare, sending me and his other clients a letter indicating that he was retiring and selling his practice, and that he would be happy to pass my files to attorney X to whom he had sold his practice.
The two years following my receipt of his letter passed quickly. My needs during that period have been simple, our wills and other estate plan elements have been fine for the moment. I met with Attorney X and was not too thrilled with him.
