In a receivership, the court gave advice and directions on competing claims to a travel lift between an owner-lessor and a secured lender with a general perfected security interest.
The court held that the lease was, in substance, a financing arrangement that secured payment for the equipment and therefore fell within s. 2(a) of the Personal Property Security Act.
Because the lessor failed to perfect its security interest, its claim was subordinate to the lender's perfected security interest under s. 20(1)(a)(i).
Any alleged pre-receivership termination of the lease, or contractual language purporting to end the debtor's rights on default, did not displace the prior-ranking secured creditor's rights under Part V of the PPSA.
