Canada: Quebec - New Publication Requirements

Last Updated: July 25 2001

Until now, certain contracts did not require publication in the register of personal and movable real rights ("RDPRM") in Quebec in order to have effect against third parties including, among others, the instalment sale contract (also known as the conditional sale contract or reservation of ownership). These contracts will now require publication.

Which Contracts Must Now Be Published?

  • Conditional sale contract or reservation of ownership (instalment sale contract, Article 1745 C.C.Q.)
  • Leasing ("crédit-bail")(Article 1842 C.C.Q.)
  • Lease pertaining to movable property for a term exceeding one year (Article 1851 C.C.Q.) (see note 1)
  • Sale with a right of redemption (Article 1750 C.C.Q.)
  • Transfer of any of the above contracts

Note 1

A lease of less than one year shall be deemed of more than one year if it contains a provision by which its term may be extended to more than one year (example: a renewal provision)

What Property Is Covered?

Property used in the operation of an enterprise

Any of the contracts outlined above that pertain to movable property acquired for the service or operation of an enterprise must now be published in order to have effect against third parties.

Property Used By An Individual

As for contracts entered into by an individual, only the contracts pertaining to movable property on which an individual may now grant a movable hypothec without delivery (i.e. the property described on the previous page, with the exception of rights and indemnities arising from insurance, both present and future, covering that property) must now be published in order to have effect against third parties. As for a leasing contract ("crédit-bail"), it should be noted that only a person who operates an enterprise can validly enter into such a contract. Therefore, an individual may not enter into a leasing contract for his/her personal use.

When Do These Contracts Need To Be Published?

Contracts entered into before September 17, 1999

In order to preserve the initial effect against third parties, a contract entered into before September 17, 1999, must be published in the RDPRM within one year thereof, namely, before September 17, 2000.

Contracts Entered Into After September 17, 1999

A contract entered into after September 17, 1999, must be published in the RDPRM within fifteen days (15) of the date it was entered into in order to have effect against third parties from that date.

Transfer And Prior Notice Of Exercise Of A Right

It should be noted that the publication of the transfer of, or a prior notice of exercise of a right resulting from, a contract will only be possible if the contract which such publication refers to has itself been published.

What Are The Effects Of These New Rules On The Rights Of The Creditor?

Conditional sale contract, reservation of ownership or instalment sale contract If the contract was not published, the vendor or transferee may take the property back only in the hands of the original purchaser; the vendor or transferee takes the property back in its existing condition and subject to the rights and encumbrances granted by the original purchaser.

If the contract was published, the vendor or transferee can take the property back in the hands of the original purchaser and in the hands of any subsequent purchaser, free and clear of any rights or charges.

If the contract was published late, the vendor or transferee may take the property back only if it is in the hands of the original purchaser, unless the reservation of ownership was published before the sale of the property by the original purchaser, in which case the vendor or transferee may also take the property back if it is in the hands of a subsequent purchaser. In any case, the vendor or transferee takes the property back in its existing condition, but subject only to such rights and charges with which the original purchaser may have encumbered it (by publication) at the time of the publication of the contract.

Right Of Redemption

The right of redemption is a provision by which the vendor reserves the right to redeem the property (Article 1750 C.C.Q.). The vendor may only exercise its right of redemption by giving notice of its intention to the purchaser; such notice must be published. When the vendor exercises its right of redemption, it takes back the property free and clear of any charge which the purchaser may have encumbered it with, provided the vendor's right was published in due time and in accordance with the rules regarding the publication of rights.

Lease Pertaining To Movable Property And Leasing ("Crédit-Bail")

Although the lease pertaining to movable property and leasing must now be published in order to have effect against third parties, the existing rules pertaining to the exercise of rights arising from these contracts are not modified by the present changes. However, since the statutory provisions do not specify the consequences of publishing such contracts late, it is recommended to publish them in the prescribed fifteen (15) day period in order to avoid any loss of right.

A New Concept: The Single Registration

The single registration allows two enterprises to publish a single inscription in order to establish effect against third parties of contracts of the same type pertaining to a universality of movable property of the same kind and the transfer of such contracts (Article 2961.1 C.C.Q.). However, such publication has no effect against third parties who acquire the property in the ordinary course of the business of their vendor. For example, the single registration of a universality of conditional sale contracts entered into between an automobile manufacturer and an automobile dealership will have no effect (may not be set up) against a customer who acquired an automobile from the dealership. Only the individual publication of the conditional sale contract, under the identification number of the vehicle, will have effect against such purchaser. On the other hand, the same contract, on the sole basis of the single registration, will have effect against another creditor of the dealership.

Notwithstanding the single registration, a creditor may always elect to publish, on an individual basis, specific contracts that may have otherwise been covered by a single registration. This will ensure that the contract will have effect against third parties in the most complete manner.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions