CLEBC - Courses On Demand

Real Estate: Commercial Lending 2023

Course Date: October 12, 2023

Full Course Materials

Total: 5h 40min

Total Ethics: 1h

Course Introduction and Land Acknowledgement (9:00 – 9:10)

Teresa Sheward — Program Lawyer, CLEBC, Vancouver
Timothy J. Lack — Redpoint Law LLP, Vancouver
Jennifer M. Williams — MLT Aikins LLP, Vancouver

Parties to the Loan Transaction (9:10 – 10:00)

limited partnership borrowers
non-Canadian borrowers/extra-provincial companies
covenantors, conflicts, and ILA
trustees and beneficiaries
JV companies/co-owners
ethics component: know your client rules and avoiding conflicts

Timothy J. Lack — Redpoint Law LLP, Vancouver
David Moonje — Stewart, Aulinger & Company, Vancouver

Acting for Borrowers on Commercial Loans (10:00 – 10:25)

tips/guidelines from lender's counsel on real property based loan transactions—what borrower's counsel should consider in terms of:
- commitment letter requirements
- ownership structure
- due diligence vs. title insurance
- CMHC insured loans
- PPSA issues
- other pre-funding conditions

Gary M. Yaffe — Owen Bird Law Corporation, Vancouver

BREAK (10:25 – 10:40)

Opinions (10:40 – 11:05)

Shauna Towriss — Cassels Brock & Blackwell LLP, Vancouver

Title Insurance (11:05 – 11:30)

the use of title insurance by commercial lenders
the coverages lenders request as part of their risk mitigation strategy
title fraud on commercial properties
priority concerns including CRA super priority
construction loans and title insurance

Brett A. Horton, BA, LLB — Counsel & Director, Commercial Business Development-BC, Stewart Title Guaranty Company, Vancouver

Commitment Letters (11:30 – 11:55)

introduction to commitment letters
the lawyer's role
enforcing commitment letters
remedies for breach
commitment fees and deposit
criminal rates of interest

Sergio C. Custodio — Bennett Jones LLP, Vancouver

Questions & Discussion (11:55 – 12:10)

LUNCH (12:10 – 1:00)

Competing Interests (1:00 – 1:25)

identifying common charges found on title including:
- judgments—registration and removal
- mortgages—registration and removal
- lien potpourri
- CPLs
- caveats
rights of landlords

David Moonje — Stewart, Aulinger & Company, Vancouver

Construction Financing, Priority, and Third Party Agreements (1:25 – 2:25)

lender's advances/draws
trust property financing
trust property as it relates to bare trusts
the standard form grant/language
when can the subordinate lender exercise its rights
partial discharges as projects complete and units sell
re-advances by the senior lender
what costs, charges, and expenses should have priority
payments received by the subordinate lender
ethics component: duties owed to other counsel
General Security Agreements

Mark C. Baron — Richards Buell Sutton LLP, Vancouver
Mark von Marksfeld — DLA Piper, Vancouver

BREAK (2:25 – 2:40)

Lending on Indigenous Lands (2:40 – 3:05)

First Nations land regimes
historic issues with financing First Nations lands and recent changes
applicable Indian Act and Land Code provisions
non-disturbance agreements/tripartite agreements
financing checklist

Jessica Fisher — McMillan Dubo Law Group, Kamloops

Hot Topics Roundtable (3:05 – 4:00)

liens
professional responsibilities
the engagement letter/informing the lender of risks
the limited scope retainer/due diligence by solicitor
special mortgages
payment reserves/debt service agreements
environmental indemnities

Mark C. Baron — Richards Buell Sutton LLP, Vancouver
Sergio C. Custodio — Bennett Jones LLP, Vancouver
Jessica Fisher — McMillan Dubo Law Group, Kamloops
Brett A. Horton, BA, LLB — Counsel & Director, Commercial Business Development-BC, Stewart Title Guaranty Company, Vancouver
Timothy J. Lack — Redpoint Law LLP, Vancouver
David Moonje — Stewart, Aulinger & Company, Vancouver
Shauna Towriss — Cassels Brock & Blackwell LLP, Vancouver
Mark von Marksfeld — DLA Piper, Vancouver
Jennifer M. Williams — MLT Aikins LLP, Vancouver
Gary M. Yaffe — Owen Bird Law Corporation, Vancouver