Section 12
Perfection of security interest
(1)
A security interest is perfected when —
(a)
the security interest is created; and
(b)
either —
(i)
a financing statement is registered in respect of the security interest;
(ii)
the secured party or another person on behalf of the secured party has possession of the collateral (except where possession is a result of seizure or repossession); or
(iii)
the secured party or another person on behalf of the secured party has control of the collateral that is a deposit account or investment security.
(2)
Subsection (1) applies regardless of the order in which creation referred to in subsection (1)(a) and either of the steps referred to in subsection (1)(b) occur.
(3)
A security interest in cash other than cash proceeds may only be perfected by possession by the secured party or a person acting on behalf of the secured party.