Whisk first 4 ingredients well together in a medium saucepan. Place saucepan over medium heat, stirring almost constantly until scalding and thickened. It will get foamy and start lightly boiling. This is the time to remove it from the stove, taking about 4-5 minutes. Stir in extract and chocolate chips until chips are completely melted. Transfer to a bowl, cover with film wrap adn refrigerate at least 2 hours, or until completely cooled and set.
When ready to serve, remove from refrigerator and beat, vigorously, until as smooth as possible.
Divide among serving dishes, garnish with candy canes and serve.
*If you are unable to find clear spearmint extract, try oil of spearmint of another clear minty extract or oil. I love to keep this pudding as white as newly fallen snow. One teaspoon extract will give you that perfect, subtle flavor but if you prefer a more robust minty flavor, add 2 teaspoons.