Chapter 192
2011 -- H 5573 SUBSTITUTE B
Enacted 07/01/11
A N A C T
RELATING TO THE
UNIFORM COMMERCIAL CODE - SECURED TRANSACTIONS
Introduced By: Representatives Kennedy, and Corvese
Date Introduced: March 03, 2011
It is enacted by the
General Assembly as follows:
SECTION 1. Section 6A-2.1-103 of the General Laws in Chapter
6A-2.1 entitled
"Leases" is
hereby amended to read as follows:
PART
1
GENERAL
PROVISIONS
6A-2.1-103.
Definitions and index of definitions. -- (1) In this chapter unless the
context otherwise requires:
(a) "Buyer in
ordinary course of business" means a person who in good faith and without
knowledge that the sale to him or her is in violation of the
ownership rights or security interest or
leasehold interest of a third party in the goods buys in
ordinary course from a person in the
business of selling goods of that kind but does not include a
pawnbroker. "Buying" may be for
cash or by exchange of other property or on secured or
unsecured credit and includes acquiring
goods or documents of title under a preexisting contract
for sale but does not include a transfer in
bulk or as security for or in total or partial
satisfaction of a money debt.
(b)
"Cancellation" occurs when either party puts an end to the lease
contract for default
by the other party.
(c) "Commercial
unit" means such a unit of goods as by commercial usage is a single
whole for purposes of lease and division of which
materially impairs its character or value on the
market or in use. A commercial unit may be a single chapter,
as a machine, or a set of chapters, as
a suite of furniture or a line of machinery, or a
quantity, as a gross or carload, or any other unit
treated in use or in the relevant market as a single whole.
(d)
"Conforming" goods or performance under a lease contract means goods
or
performance that are in accordance with the obligations under the
lease contract.
(e) "Consumer
lease" means a lease that a lessor regularly
engaged in the business of
leasing or selling makes to a lessee who is an individual and
who takes under the lease primarily
for a personal, family, or household purpose.
(f) "Fault"
means wrongful act, omission, breach, or default.
(g) "Finance
lease" means a lease with respect to which:
(i)
The lessor does not select, manufacture, or supply
the goods;
(ii) The lessor acquires the goods or the right to possession and
use of the goods in
connection with the lease; and
(iii) One of the
following occurs:
(A) The lessee receives
a copy of the contract by which the lessor acquired
the goods or
the right to possession and use of the goods before
signing the lease contract;
(B) The lessee's
approval of the contract by which the lessor acquired
the goods or the
right to possession and use of the goods is a condition to effectiveness
of the lease contract;
(C) The lessee, before
signing the lease contract, receives an accurate and complete
statement designating the promises and warranties, and any
disclaimers of warranties, limitations
or modifications of remedies, or liquidated damages,
including those of a third party, such as the
manufacturer of the goods, provided to the lessor
by the person supplying the goods in connection
with or as part of the contract by which the lessor acquired the goods or the right to possession
and use of the goods; or
(D) If the lease is not
a consumer lease, the lessor, before the lessee signs
the lease
contract, informs the lessee in writing (a) of the identity of
the person supplying the goods to the
lessor, unless the lessee has selected that person and
directed the lessor to acquire the goods or the
right to possession and use of the goods from that person,
(b) that the lessee is entitled under this
chapter to the promises and warranties, including those of
any third party, provided to the lessor
by the person supplying the goods in connection with or
as part of the contract by which the
lessor acquired the goods or the right to possession and use
of the goods, and (c) that the lessee
may communicate with the person supplying the goods to
the lessor and receive an accurate and
complete statement of those promises and warranties, including
any disclaimers and limitations of
them or of remedies.
(h) "Goods"
means all things that are movable at the time of identification to the lease
contract, or are fixtures (section 6A-2.1-309), but the term
does not include money, documents,
instruments, accounts, chattel paper, general intangibles, or
minerals or the like, including oil and
gas, before extraction. The term also includes the unborn
young of animals.
(i)
"Installment lease contract" means a lease contract that authorizes
or requires the
delivery of goods in separate lots to be separately accepted,
even though the lease contract
contains a clause "each delivery is a separate
lease" or its equivalent.
(j) "Lease"
means a transfer of the right to possession and use of goods for a term in
return for consideration, but a sale, including a sale on
approval or a sale or return, or retention or
creation of a security interest is not a lease. Unless the
context clearly indicates otherwise, the
term includes a sublease.
(k) "Lease
agreement" means the bargain, with respect to the lease, of the lessor and the
lessee in fact as found in their language or by implication
from other circumstances including
course of dealing or usage of trade or course of performance
as provided in this chapter. Unless
the context clearly indicates otherwise, the term
includes a sublease agreement.
(l) "Lease
contract" means the total legal obligation that results from the lease
agreement
as affected by this chapter and any other applicable
rules of law. Unless the context clearly
indicates otherwise, the term includes a sublease contract.
(m) "Leasehold
interest" means the interest of the lessor or
the lessee under a lease
contract.
(n) "Lessee"
means a person who acquires the right to possession and use of goods under
a lease. Unless the context clearly indicates
otherwise, the term includes a sublessee.
(o) "Lessee in
ordinary course of business" means a person who in good faith and
without knowledge that the lease to him or her is in
violation of the ownership rights or security
interest or leasehold interest of a third party in the goods
leases in ordinary course from a person
in the business of selling or leasing goods of that kind
but does not include a pawnbroker.
"Leasing" may be for cash or by exchange of
other property or on secured or unsecured credit and
includes acquiring goods or documents of title under a
preexisting lease contract but does not
include a transfer in bulk or as security for or in total or
partial satisfaction of a money debt.
(p) "Lessor" means a person who transfers the right to
possession and use of goods under
a lease. Unless the context clearly indicates
otherwise, the term includes a sublessor.
(q) "Lessor's residual interest" means the lessor's interest in the goods after expiration,
termination, or cancellation of the lease contract.
(r) "Lien"
means a charge against or interest in goods to secure payment of a debt or
performance of an obligation, but the term does not include a
security interest.
(s) "
or delivery, whether or not it is sufficient to perform
the lease contract.
(t) "Merchant
lessee" means a lessee that is a merchant with respect to goods of the
kind
subject to the lease.
(u) "Present
value" means the amount as of a date certain of one or more sums payable
in
the future, discounted to the date certain. The discount
is determined by the interest rate specified
by the parties if the rate was not manifestly
unreasonable at the time the transaction was entered
into; otherwise, the discount is determined by a
commercially reasonable rate that takes into
account the facts and circumstances of each case at the time
the transaction was entered into.
(v)
"Purchase" includes taking by sale, lease, mortgage, security
interest, pledge, gift, or
any other voluntary transaction creating an interest in
goods.
(w)
"Sublease" means a lease of goods the right to possession and use of
which was
acquired by the lessor as a lessee
under an existing lease.
(x)
"Supplier" means a person from whom a lessor
buys or leases goods to be leased
under a finance lease.
(y) "Supply
contract" means a contract under which a lessor
buys or leases goods to be
leased.
(z)
"Termination" occurs when either party pursuant to a power created by
agreement or
law puts an end to the lease contract otherwise than for
default.
(2) Other definitions
applying to this chapter and the sections in which they appear are:
"Accessions".
section 6A-2.1-310(1).
"Construction
mortgage". section 6A-2.1-309(1)(d).
"Encumbrance".
section 6A-2.1-309(1)(e).
"Fixtures".
section 6A-2.1-309(1)(a).
"Fixture
filing". section 6A-2.1-309(1)(b).
"Purchase money
lease". section 6A-2.1-309(1)(c).
(3) The following
definitions in other chapters apply to this Chapter:
"Account".
section 6A-9-102(a)(2).
"Between
merchants". section 6A-2-104(3).
"Buyer".
section 6A-2-103(1)(a).
"Chattel
paper". section 6A-9-102(a)(11).
"Consumer
goods". section 6A-9-102(a)(23).
"Document".
section 6A-9-102(a)(30).
"Entrusting".
section 6A-2-403(3).
"General
intangibles". section 6A-9-102(a)(42).
"Good
faith". section 6A-2-103(1)(b).
"Instrument".
section 6A-9-102(2)(47).
"Merchant".
section 6A-2-104(1).
"Mortgage".
section 6A-9-102(a)(55).
"Pursuant
to commitment". section 6A-9-102(a)(68)(69)
"Receipt".
section 6A-2-103(1)(c).
"
"
"
"Seller".
section 6A-2-103(1)(d).
(4) In addition,
chapter 1 of this title contains general definitions and principles of
construction and interpretation applicable throughout this
chapter.
SECTION 2. Sections 6A-9-102, 6A-9-105, 6A-9-307, 6A-9-311,
6A-9-316, 6A-9-317,
6A-9-326, 6A-9-406,
6A-9-408, 6A-9-502, 6A-9-503, 6A-9-507, 6A-9-515, 6A-9-516, 6A-9-518,
6A-9-521, 6A-9-607,
6A-9-625 and 6A-9-710 of the General Laws in Chapter 6A-9 entitled
"Secured
Transactions" are hereby amended to read as follows:
6A-9-102.
Definitions. -- (a) Chapter 9 definitions.
- In this chapter:
(1)
"Accession" means goods that are physically united with other goods
in such a
manner that the identity of the original goods is not lost.
(2)
"Account", except as used in "account for", means a right
to payment of a monetary
obligation, whether or not earned by performance, (i) for property that has been or is to be sold,
leased, licensed, assigned, or otherwise disposed of, (ii)
for services rendered or to be rendered,
(iii) for a policy of
insurance issued or to be issued, (iv) for a secondary obligation incurred or
to
be incurred, (v) for energy provided or to be provided,
(vi) for the use or hire of a vessel under a
charter or other contract, (vii) arising out of the use of a
credit or charge card or information
contained on or for use with the card, or (viii) as winnings in
a lottery or other game of chance
operated or sponsored by a State, governmental unit of a
State, or person licensed or authorized to
operate the game by a State or governmental unit of a State.
The term includes health-care-
insurance receivables. The term does not include (i) rights to payment evidenced by chattel paper
or an instrument, (ii) commercial tort claims, (iii)
deposit accounts, (iv) investment property, (v)
letter-of-credit rights or letters of credit, or (vi) rights to
payment for money or funds advanced or
sold, other than rights arising out of the use of a credit
or charge card or information contained on
or for use with the card.
(3) "Account
debtor" means a person obligated on an account, chattel paper, or general
intangible. The term does not include persons obligated to pay a
negotiable instrument, even if
the instrument constitutes part of chattel paper.
(4)
"Accounting", except as used in "accounting for", means a
record:
(i)
Authenticated by a secured party;
(ii) Indicating the
aggregate unpaid secured obligations as of a date not more than 35
days earlier or 35 days later than the date of the record;
and
(iii) Identifying the
components of the obligations in reasonable detail.
(5) "Agricultural
lien" means an interest in farm products:
(i)
Which secures payment or performance of an obligation for:
(A) Goods or services
furnished in connection with a debtor's farming operation; or
(B) Rent on real
property leased by a debtor in connection with its farming operation;
(ii) Which is created
by statute in favor of a person that:
(A) In the ordinary
course of its business furnished goods or services to a debtor in
connection with a debtor's farming operation; or
(B) Leased real
property to a debtor in connection with the debtor's farming operation;
and
(iii) Whose
effectiveness does not depend on the person's possession of the personal
property.
(6) "As-extracted
collateral" means:
(i)
Oil, gas, or other minerals that are subject to a security interest that:
(A) Is created by a
debtor having an interest in the minerals before extraction; and
(B) Attaches to the
minerals as extracted; or
(ii) Accounts arising
out of the sale at the wellhead or minehead of oil,
gas, or other
minerals in which the debtor had an interest before
extraction.
(7)
"Authenticate" means:
(i)
To sign; or
(ii) To execute or
otherwise adopt a symbol, or encrypt or similarly process a record in
whole or in part, with the present intent of the
authenticating person to identify the person and
adopt or accept a record With present intent to adopt or accept a record, to attach to or
logically
associate with the record an electronic sound, symbol, or
process.
(8) "Bank"
means an organization that is engaged in the business of banking. The term
includes savings banks, savings and loan associations, credit
unions, and trust companies.
(9) "Cash
proceeds" means proceeds that are money, checks, deposit accounts, or the
like.
(10) "Certificate
of title" means a certificate of title with respect to which a statute
provides for the security interest in question to be indicated
on the certificate as a condition or
result of the security interest's obtaining priority over
the rights of a lien creditor with respect to
the collateral. The term includes another record
maintained as an alternative to a certificate of title
by the governmental unit that issues certificates of
title if a statute permits the security interest in
question to be indicated on the record as a condition or
result of the security interest's obtaining
priority over the rights of a lien creditor with respect to
the collateral.
(11) "Chattel
paper" means a record or records that evidence both a monetary obligation
and a security interest in specific goods, a security
interest in specific goods and software used in
the goods, a security interest in specific goods and
license of software used in the goods, a lease
of specific goods, or a lease of specific goods and
license of software used in the goods. In this
paragraph, "monetary obligation" means a monetary
obligation secured by the goods or owed
under a lease of the goods and includes a monetary
obligation with respect to software used in the
goods. The term does not include (i)
charters or other contracts involving the use or hire of a
vessel or (ii) records that evidence a right to payment
arising out of the use of a credit or charge
card or information contained on or for use with the card.
If a transaction is evidenced by records
that include an instrument or series of instruments, the
group of records taken together constitutes
chattel paper.
(12)
"Collateral" means the property subject to a security interest or
agricultural lien. The
term includes:
(i) Proceeds to which a security interest attaches;
(ii) Accounts, chattel
paper, payment intangibles, and promissory notes that have been
sold; and
(iii) Goods that are
the subject of a consignment.
(13) "Commercial
tort claim" means a claim arising in tort with respect to which:
(i)
The claimant is an organization; or
(ii) The claimant is an
individual and the claim:
(A) Arose in the course
of the claimant's business or profession; and
(B) Does not include
damages arising out of personal injury to or the death of an
individual.
(14) "Commodity
account" means an account maintained by a commodity intermediary
in which a commodity contract is carried for a commodity
customer.
(15) "Commodity
contract" means a commodity futures contract, an option on a
commodity futures contract, a commodity option, or another
contract if the contract or option is:
(i)
Traded on or subject to the rules of a board of trade that has been designated
as a
contract market for such a contract pursuant to federal
commodities laws; or
(ii) Traded on a
foreign commodity board of trade, exchange, or market, and is carried
on the books of a commodity intermediary for a commodity
customer.
(16) "Commodity
customer" means a person for which a commodity intermediary carries
a commodity contract on its books.
(17) "Commodity
intermediary" means a person that:
(i)
Is registered as a futures commission merchant under federal commodities law;
or
(ii) In the ordinary
course of its business provides clearance or settlement services for a
board of trade that has been designated as a contract
market pursuant to federal commodities law.
(18)
"Communicate" means:
(i)
To send a written or other tangible record;
(ii) To transmit a
record by any means agreed upon by the persons sending and receiving
the record; or
(iii) In the case of
transmission of a record to or by a filing office, to transmit a record by
any means prescribed by filing-office rule.
(19)
"Consignee" means a merchant to which goods are delivered in a
consignment.
(20)
"Consignment" means a transaction, regardless of its form, in which a
person
delivers goods to a merchant for the purpose of sale and:
(i)
The merchant:
(A) Deals in goods of
that kind under a name other than the name of the person making
delivery;
(B) Is not an
auctioneer; and
(C) Is not generally
known by its creditors to be substantially engaged in selling the
goods of others;
(ii) With respect to
each delivery, the aggregate value of the goods is $1,000 or more at
the time of delivery;
(iii) The goods are not
consumer goods immediately before delivery; and
(iv)
The transaction does not create a security interest that secures an
obligation.
(21)
"Consignor" means a person that delivers goods to a consignee in a
consignment.
(22) "Consumer
debtor" means a debtor in a consumer transaction.
(23) "Consumer
goods" means goods that are used or bought for use primarily for
personal, family, or household purposes.
(24)
"Consumer-goods transaction" means a consumer transaction in which:
(i)
An individual incurs an obligation primarily for personal, family, or household
purposes; and
(ii) A security
interest in consumer goods secures the obligation.
(25) "Consumer
obligor" means an obligor who is an individual and who incurred the
obligation as part of a transaction entered into primarily for
personal, family, or household
purposes.
(26) "Consumer
transaction" means a transaction in which (i) an
individual incurs an
obligation primarily for personal, family, or household
purposes, (ii) a security interest secures
the obligation, and (iii) the collateral is held or
acquired primarily for personal, family, or
household purposes. The term includes consumer-goods
transactions.
(27) "Continuation
statement" means an amendment of a financing statement which:
(i)
Identifies, by its file number, the initial financing statement to which it
relates; and
(ii) Indicates that it
is a continuation statement for, or that it is filed to continue the
effectiveness of, the identified financing statement.
(28) "Debtor"
means:
(i)
A person having an interest, other than a security interest or other lien, in
the
collateral, whether or not the person is an obligor;
(ii) A seller of
accounts, chattel paper, payment intangibles, or promissory notes; or
(iii) A consignee.
(29) "Deposit
account" means a demand, time, savings, passbook, or similar account
maintained with a bank. The term does not include investment property
or accounts evidenced by
an instrument.
(30)
"Document" means a document of title or a receipt of the type
described in
subsection 6A-7-201(b).
(31) "Electronic
chattel paper" means chattel paper evidenced by a record or records
consisting of information stored in an electronic medium.
(32)
"Encumbrance" means a right, other than an ownership interest, in
real property.
The term includes mortgages and other liens on real
property.
(33)
"Equipment" means goods other than inventory, farm products, or
consumer goods.
(34) "Farm
products" means goods, other than standing timber, with respect to which
the
debtor is engaged in a farming operation and which are:
(i)
Crops grown, growing, or to be grown, including:
(A) Crops produced on
trees, vines, and bushes; and
(B) Aquatic goods,
including seaweeds, produced in aquacultural
operations;
(ii) Livestock, born or
unborn, including fish, shellfish and other aquatic goods produced
in aquacultural operations;
(iii) Supplies used or
produced in a farming operation; or
(iv)
Products of crops or livestock in their unmanufactured states.
(35) "Farming
operation" means raising, cultivating, propagating, fattening, grazing, or
any other farming, livestock, or aquacultural
operation.
(36) "File
number" means the number assigned to an initial financing statement
pursuant
to section 6A-9-519(a).
(37) "Filing
office" means an office designated in section 6A-9-501 as the place to
file a
financing statement.
(38)
"Filing-office rule" means a rule adopted pursuant to section
6A-9-526.
(39) "Financing
statement" means a record or records composed of an initial financing
statement and any filed record relating to the initial
financing statement.
(40) "Fixture
filing" means the filing of a financing statement covering goods that are
or
are to become fixtures and satisfying section 6A-9-502(a)
and (b). The term includes the filing of
a financing statement covering goods of a transmitting
utility which are or are to become fixtures.
(41)
"Fixtures" means goods that have become so related to particular real
property that
an interest in them arises under real property law.
(42) "General
intangible" means any personal property, including things in action, other
than accounts, chattel paper, commercial tort claims,
deposit accounts, documents, goods,
instruments, investment property, letter-of-credit rights,
letters of credit, money, and oil, gas, or
other minerals before extraction. The term includes payment
intangibles and software.
(43) "Good
faith" means honesty in fact and the observance of reasonable commercial
standards of fair dealing.
(44) "Goods"
means all things that are movable when a security interest attaches. The
term includes (i) fixtures, (ii)
standing timber that is to be cut and removed under a conveyance or
contract for sale, (iii) the unborn young of animals, (iv)
crops grown, growing, or to be grown,
even if the crops are produced on trees, vines, or bushes,
and (v) manufactured homes. The term
also includes a computer program embedded in goods and any
supporting information provided
in connection with a transaction relating to the program
if (i) the program is associated with the
goods in such a manner that it customarily is considered
part of the goods, or (ii) by becoming the
owner of the goods, a person acquires a right to use the
program in connection with the goods.
The term does not include a computer program embedded
in goods that consist solely of the
medium in which the program is embedded. The term also does
not include accounts, chattel
paper, commercial tort claims, deposit accounts, documents,
general intangibles, instruments,
investment property, letter-of-credit rights, letters of credit,
money, or oil, gas, or other minerals
before extraction.
(45) "Governmental
unit" means a subdivision, agency, department, county, parish,
municipality, or other unit of the government of the
The term includes an organization having a separate
corporate existence if the organization is
eligible to issue debt on which interest is exempt from income
taxation under the laws of the
(46)
"Health-care-insurance receivable" means an interest in or claim
under a policy of
insurance which is a right to payment of a monetary obligation
for health-care goods or services
provided or to be provided.
(47)
"Instrument" means a negotiable instrument or any other writing that
evidences a
right to the payment of a monetary obligation, is not
itself a security agreement or lease, and is of
a type that in ordinary course of business is
transferred by delivery with any necessary
indorsement assignment. The term does not include (i) investment property, (ii) letters of credit,
or (iii) writings that evidence a right to payment
arising out of the use of a credit or charge card or
information contained on or for use with the card.
(48)
"Inventory" means goods, other than farm products, which:
(i)
Are leased by a person as lessor;
(ii) Are held by a
person for sale or lease or to be furnished under a contract of service;
(iii) Are furnished by
a person under a contract of service; or
(iv)
Consist of raw materials, work in process, or materials used or consumed in a
business.
(49) "Investment
property" means a security, whether certificated or uncertificated,
security entitlement, securities account, commodity contract,
or commodity account.
(50) "Jurisdiction
of organization", with respect to a registered organization, means the
jurisdiction under whose law the organization is formed or
organized.
(51)
"Letter-of-credit right" means a right to payment or performance
under a letter of
credit, whether or not the beneficiary has demanded or is at
the time entitled to demand payment
or performance. The term does not include the right of a
beneficiary to demand payment or
performance under a letter of credit.
(52) "Lien
creditor" means:
(i)
A creditor that has acquired a lien on the property involved by attachment,
levy, or
the like;
(ii) An assignee for
benefit of creditors from the time of assignment;
(iii) A trustee in
bankruptcy from the date of the filing of the petition; or
(iv)
A receiver in equity from the time of appointment.
(53) "Manufactured
home" means a structure, transportable in one or more sections,
which, in the traveling mode, is eight body feet or more in
width or 40 body feet or more in
length, or, when erected on site, is 320 or more square
feet, and which is built on a permanent
chassis and designed to be used as a dwelling with or without
a permanent foundation when
connected to the required utilities, and includes the plumbing,
heating, air-conditioning, and
electrical systems contained therein. The term includes any
structure that meets all of the
requirements of this paragraph except the size requirements and
with respect to which the
manufacturer voluntarily files a certification required by the
United States Secretary of Housing
and Urban Development and complies with the standards
established under Title 42 of the United
States Code.
(54)
"Manufactured-home transaction" means a secured transaction:
(i)
That creates a purchase-money security interest in a manufactured home, other
than a
manufactured home held as inventory; or
(ii) In which a
manufactured home, other than a manufactured home held as inventory, is
the primary collateral.
(55)
"Mortgage" means a consensual interest in real property, including
fixtures, which
secures payment or performance of an obligation.
(56) "New
debtor" means a person that becomes bound as debtor under section 6A-9-
203(d) by a security agreement previously entered into
by another person.
(57) "New
value" means (i) money, (ii) money's worth in
property, services, or new
credit, or (iii) release by a transferee of an interest in
property previously transferred to the
transferee. The term does not include an obligation substituted
for another obligation.
(58) "Noncash
proceeds" means proceeds other than cash proceeds.
(59)
"Obligor" means a person that, with respect to an obligation secured
by a security
interest in or an agricultural lien on the collateral, (i) owes payment or other performance of the
obligation, (ii) has provided property other than the collateral
to secure payment or other
performance of the obligation, or (iii) is otherwise accountable
in whole or in part for payment or
other performance of the obligation. The term does not
include issuers or nominated persons
under a letter of credit.
(60) "Original
debtor," except as used in section 6A-9-310(c), means a person that, as
debtor, entered into a security agreement to which a new
debtor has become bound under section
6A-9-203(d).
(61) "Payment
intangible" means a general intangible under which the account debtor's
principal obligation is a monetary obligation.
(62) "Person
related to", with respect to an individual, means:
(i)
The spouse of the individual;
(ii) A brother,
brother-in-law, sister, or sister-in-law of the individual;
(iii) An ancestor or
lineal descendant of the individual or the individual's spouse; or
(iv)
Any other relative, by blood or marriage, of the individual or the
individual's spouse
who shares the same home with the individual.
(63) "Person
related to", with respect to an organization, means:
(i)
A person directly or indirectly controlling, controlled by, or under common
control
with the organization;
(ii) An officer or
director of, or a person performing similar functions with respect to, the
organization;
(iii) An officer or
director of, or a person performing similar functions with respect to, a
person described in subparagraph (i);
(iv) The spouse of an
individual described in subparagraph (i), (ii), or
(iii); or
(v) An individual who
is related by blood or marriage to an individual described in
subparagraph (i), (ii), (iii), or (iv)
and shares the same home with the individual.
(64)
"Proceeds," except as used in section 6A-9-609(b), means the
following property:
(i)
Whatever is acquired upon the sale, lease, license, exchange, or other
disposition of
collateral;
(ii) Whatever is
collected on, or distributed on account of, collateral;
(iii) Rights arising
out of collateral;
(iv)
To the extent of the value of collateral, claims arising out of the
loss, nonconformity,
or interference with the use of, defects or infringement
of rights in, or damage to, the collateral; or
(v) To the extent of
the value of collateral and to the extent payable to the debtor or the
secured party, insurance payable by reason of the loss or
nonconformity of, defects or
infringement of rights in, or damage to, the collateral.
(65) "Promissory
note" means an instrument that evidences a promise to pay a monetary
obligation, does not evidence an order to pay, and does not
contain an acknowledgment by a bank
that the bank has received for deposit a sum of money or
funds.
(66)
"Proposal" means a record authenticated by a secured party which
includes the
terms on which the secured party is willing to accept
collateral in full or partial satisfaction of the
obligation it secures pursuant to sections 6A-9-620, 6A-9-621,
and 6A-9-622.
(67)
"Public-finance transaction" means a secured transaction in
connection with which:
(i)
Debt securities are issued;
(ii) All or a portion
of the securities issued have an initial stated maturity of at least 20
years; and
(iii) The debtor,
obligor, secured party, account debtor or other person obligated on
collateral, assignor or assignee of a secured obligation, or
assignor or assignee of a security
interest is a State or a governmental unit of a State.
(68) "Public
organic record" means a record that is available to the public for
inspection
and is:
(i)
A record of consisting of the record initially filed with or issued by a state
or the
of the
(ii) An organic
record of a business trust consisting of the record initially filed with a
state and any record filed with the state which amends or
restates the initial record, if a statute of
the state governing business trusts requires that the
record be filed with the state; or
(iii) A record
consisting of legislation enacted by the legislature of a state or the Congress
of the
legislation, and any record filed with or issued by the state or
the
restates the name of the organization.
(68)(69)
"Pursuant to commitment", with respect to an advance made or other
value
given by a secured party, means pursuant to the secured
party's obligation, whether or not a
subsequent event of default or other event not within the
secured party's control has relieved or
may relieve the secured party from its obligation.
(69)(70)
"Record", except as used in "for record", "of
record", "record or legal title", and
"record owner",
means information that is inscribed on a tangible medium or which is stored in
an electronic or other medium and is retrievable in
perceivable form.
(70)(71) "Registered
organization" means an organization formed or organized solely
under the law of a single State or the and as to which the State or
the
must maintain a public record showing the organization to
have been organized by the filing
of a
public organic record with, the issuance of a public organic
record by, or the enactment of
legislation by the state or
organized under the law of a single state if a statute of the
state governing business trusts requires
that the business trust's organic record be filed with the
state.
(71)(72)
"Secondary obligor" means an obligor to the extent that:
(i)
The obligor's obligation is secondary; or
(ii) The obligor has a
right of recourse with respect to an obligation secured by collateral
against the debtor, another obligor, or property of either.
(72)(73)
"Secured party" means:
(i)
A person in whose favor a security interest is created or provided for under a
security
agreement, whether or not any obligation to be secured is
outstanding;
(ii) A person that
holds an agricultural lien;
(iii) A consignor;
(iv)
A person to which accounts, chattel paper, payment intangibles, or
promissory notes
have been sold;
(v) A trustee,
indenture trustee, agent, collateral agent, or other representative in whose
favor a security interest or agricultural lien is created
or provided for; or
(vi)
A person that holds a security interest arising under section 6A-2-401,
6A-2-505,
6A-2-711(3), 6A-2.1-508(5),
6A-4-210, or 6A-5-118.
(73)(74)
"Security agreement" means an agreement that creates or provides for
a security
interest.
(74)(75)
"Send", in connection with a record or notification, means:
(i)
To deposit in the mail, deliver for transmission, or transmit by any other usual
means
of communication, with postage or cost of transmission
provided for, addressed to any address
reasonable under the circumstances; or
(ii) To cause the
record or notification to be received within the time that it would have
been received if properly sent under subparagraph (i).
(75)(76)
"Software" means a computer program and any supporting information
provided in connection with a transaction relating to the
program. The term does not include a
computer program that is included in the definition of goods.
(76)(77)
"State" means a State of the
Rico, the United States
jurisdiction of the
(77)(78)
"Supporting obligation" means a letter-of-credit right or secondary
obligation
that supports the payment or performance of an account,
chattel paper, a document, a general
intangible, an instrument, or investment property.
(78)(79) "Tangible
chattel paper" means chattel paper evidenced by a record or records
consisting of information that is inscribed on a tangible
medium.
(79)(80)
"Termination statement" means an amendment of a financing statement
which:
(i)
Identifies, by its file number, the initial financing statement to which it
relates; and
(ii) Indicates either
that it is a termination statement or that the identified financing
statement is no longer effective.
(80)(81)
"Transmitting utility" means a person primarily engaged in the
business of:
(i)
Operating a railroad, subway, street railway, or trolley bus;
(ii) Transmitting
communications electrically, electromagnetically, or by light;
(iii) Transmitting
goods by pipeline or sewer; or
(iv)
Transmitting or producing and transmitting electricity, steam, gas, or
water.
(b) Definitions in
other chapters. - "Control" as provided in section 6A-7-206 and the
following definitions in other chapters apply to this chapter:
"Applicant"
section 6A-5-102.
"Beneficiary"
section 6A-5-102.
"Broker"
section 6A-8-102.
"Certificated
security" section 6A-8-102.
"Check"
section 6A-3-104.
"Clearing
corporation" section 6A-8-102.
"Contract for
sale" section 6A-2-106.
"Customer"
section 6A-4-104.
"Entitlement
holder" section 6A-8-102.
"Financial
asset" section 6A-8-102.
"Holder in due
course" section 6A-3-302.
"Issuer"
(with respect to a letter of section 6A-5-102.
credit
or letter-of-credit right)
"Issuer" (with
respect to a security) section 6A-8-201.
"Issuer" (with
respect to documents of title) section 6A-7-102.
"Lease"
section 6A-2.1-103.
"Lease
agreement" section 6A-2.1-103.
"Lease
contract" section 6A-2.1-103.
"Leasehold
interest" section 6A-2.1-103.
"Lessee"
section 6A-2.1-103.
"Lessee in ordinary
course of business" section 6A-2.1-103.
"Lessor" section 6A-2.1-103.
"Lessor's residual interest" section 6A-2.1-103.
"Letter of
credit" section 6A-5-102.
"Merchant"
section 6A-2-104.
"Negotiable
instrument" section 6A-3-104.
"Nominated
person" section 6A-5-102.
"Note" section
6A-3-104.
"Proceeds of a
letter of credit" section 6A-5-114.
"Prove"
section 6A-3-103.
"
"Securities
account" section 6A-8-501.
"Securities
intermediary" section 6A-8-102.
"Security"
section 6A-8-102.
"Security
certificate" section 6A-8-102.
"Security
entitlement" section 6A-8-102.
"Uncertificated security" section 6A-8-102.
(c) Chapter 1
definitions and principles. - Chapter 1 of this title contains general
definitions and principles of construction and interpretation
applicable throughout this chapter.
6A-9-105.
Control of electronic chattel paper. – (a)
General rule: control of electronic
chattel paper. A
secured party has control of electronic chattel paper if the record or records
comprising the chattel paper are created, stored, and assigned
in such a manner that: A secured
party has control of an electronic chattel paper if a
system employed for evidencing the transfer of
interests in the chattel paper reliably establishes the secured
party as the person to which the
chattel paper was assigned.
(b) Specific facts
giving control. A system satisfies subsection (a) if the record or records
comprising the chattel paper are created, stored, and assigned
in such a manner that:
(1) A single
authoritative copy of the record or records exists which is unique,
identifiable and, except as otherwise provided in paragraphs (4),
(5), and (6), unalterable;
(2) The authoritative
copy identifies the secured party as the assignee of the record or
records;
(3) The authoritative
copy is communicated to and maintained by the secured party or its
designated custodian;
(4) Copies or revisions
amendments that add or change an identified assignee of the
authoritative copy can be made only with the participation consent
of the secured party;
(5) Each copy of the
authoritative copy and any copy of a copy is readily identifiable as a
copy that is not the authoritative copy; and
(6) Any revision
amendment of the authoritative copy is readily identifiable as an
authorized or unauthorized revision.
6A-9-307.
Location of debtor. -- (a)
"Place of business." - In this section,
"place of
business" means a place where a debtor conducts its
affairs.
(b) Debtor's location:
general rules. - Except as otherwise provided in this section, the
following rules determine a debtor's location:
(1) A debtor who is an
individual is located at the individual's principal residence.
(2) A debtor that is an
organization and has only one place of business is located at its
place of business.
(3) A debtor that is an
organization and has more than one place of business is located at
its chief executive office.
(c) Limitation of
applicability of subsection (b). - Subsection (b) applies only if a
debtor's residence, place of business, or chief executive
office, as applicable, is located in a
jurisdiction whose law generally requires information concerning
the existence of a
nonpossessory security interest to be made generally available in a
filing, recording, or
registration system as a condition or result of the security
interest's obtaining priority over the
rights of a lien creditor with respect to the collateral. If
subsection (b) does not apply, the debtor
is located in the
(d) Continuation of
location: cessation of existence, etc. - A person that ceases to exist,
have a residence, or have a place of business continues to
be located in the jurisdiction specified
by subsections (b) and (c).
(e) Location of
registered organization organized under State law. - A registered
organization that is organized under the law of a State is located
in that State.
(f) Location of
registered organization organized under federal law; bank branches and
agencies. - Except as otherwise provided in subsection (i), a registered organization that is
organized under the law of the
organized under the law of the United States or a State are
located:
(1) In the State that
the law of the
of location;
(2) In the State that
the registered organization, branch, or agency designates, if the law
of the
State of location including by designating its main
office, home office or other comparable office;
or
(3)
In the
(g) Continuation of
location: change in status of registered organization. - A registered
organization continues to be located in the jurisdiction specified
by subsection (e) or (f)
notwithstanding:
(1) The suspension,
revocation, forfeiture, or lapse of the registered organization's status
as such in its jurisdiction of organization; or
(2) The dissolution,
winding up, or cancellation of the existence of the registered
organization.
(h) Location of
(i)
Location of foreign bank branch or agency if licensed in only one state. - A
branch or
agency of a bank that is not organized under the law of the
the State in which the branch or agency is licensed, if
all branches and agencies of the bank are
licensed in only one State.
(j) Location of foreign
air carrier. - A foreign air carrier under the Federal Aviation Act
of 1958, as amended, is located at the designated office
of the agent upon which service of
process may be made on behalf of the carrier.
(k) Section applies
only to this part. - This section applies only for purposes of this part.
6A-9-311.
Perfection of security interests in property subject to certain statutes,
regulations, and treaties. -- (a)
Security interest subject to other law. - Except as otherwise
provided in subsection (d), the filing of a financing
statement is not necessary or effective to
perfect a security interest in property subject to:
(1) A statute,
regulation, or treaty of the United States whose requirements for a security
interest's obtaining priority over the rights of a lien creditor
with respect to the property preempt
section 6A-9-310(a);
(2) A statute of this
State, which provides for a security interest to be indicated on the a
certificate as a condition or result of perfection, including
chapter 3.1 of Title 31 and chapter 22.1
of Title 46; or
(3) A certificate-of-title
statute of another jurisdiction which provides for a security
interest to be indicated on the a certificate of
title as a condition or result of the security interest's
obtaining priority over the rights of a lien creditor with
respect to the property.
(b) Compliance with
other law. - Compliance with the requirements of a statute,
regulation, or treaty described in subsection (a) for obtaining
priority over the rights of a lien
creditor is equivalent to the filing of a financing statement
under this chapter. Except as otherwise
provided in subsection (d) and section 6A-9-313 and section
6A-9-316(d) and (e) for goods
covered by a certificate of title, a security interest in
property subject to a statute, regulation, or
treaty described in subsection (a) may be perfected only by compliance
with those requirements,
and a security interest so perfected remains perfected
notwithstanding a change in the use or
transfer of possession of the collateral.
(c) Duration and
renewal of perfection. - Except as otherwise provided in subsection (d)
and section 6A-9-316(d) and (e), duration and renewal of
perfection of a security interest
perfected by compliance with the requirements prescribed by a
statute, regulation, or treaty
described in subsection (a) are governed by the statute,
regulation, or treaty. In other respects, the
security interest is subject to this chapter.
(d) Inapplicability to
certain inventory. - During any period in which collateral subject to
a statute specified in subsection (a)(2) is inventory
held for sale or lease by a person or leased by
that person as lessor and that
person is in the business of selling or leasing goods of that kind, this
section does not apply to a security interest in that
collateral created by that person.
6A-9-316. Continued perfection of security interest
following change in governing
law. –
Effect of change in governing
law. -- (a) General rule: effect
on perfection of change in
governing law. - A security interest perfected pursuant to the
law of the jurisdiction designated in
section 6A-9-301(1) or 6A-9-305(c) remains perfected until
the earliest of:
(1) The time perfection
would have ceased under the law of that jurisdiction;
(2) The expiration of
four months after a change of the debtor's location to another
jurisdiction; or
(3) The expiration of
one year after a transfer of collateral to a person that thereby
becomes a debtor and is located in another jurisdiction.
(b) Security interest
perfected or unperfected under law of new jurisdiction. - If a
security interest described in subsection (a) becomes
perfected under the law of the other
jurisdiction before the earliest time or event described in that
subsection, it remains perfected
thereafter. If the security interest does not become perfected
under the law of the other
jurisdiction before the earliest time or event, it becomes
unperfected and is deemed never to have
been perfected as against a purchaser of the collateral
for value.
(c) Possessory security
interest in collateral moved to new jurisdiction. - A possessory
security interest in collateral, other than goods covered by a
certificate of title and as-extracted
collateral consisting of goods, remains continuously perfected
if:
(1) The collateral is
located in one jurisdiction and subject to a security interest perfected
under the law of that jurisdiction;
(2) Thereafter the
collateral is brought into another jurisdiction; and
(3) Upon entry into the
other jurisdiction, the security interest is perfected under the law
of the other jurisdiction.
(d) Goods covered by
certificate of title from this state. - Except as otherwise provided in
subsection (e), a security interest in goods covered by a
certificate of title which is perfected by
any method under the law of another jurisdiction when the
goods become covered by a certificate
of title from this State remains perfected until the
security interest would have become
unperfected under the law of the other jurisdiction had the goods
not become so covered.
(e) When subsection (d)
security interest becomes unperfected against purchasers. - A
security interest described in subsection (d) becomes
unperfected as against a purchaser of the
goods for value and is deemed never to have been perfected
as against a purchaser of the goods
for value if the applicable requirements for perfection
under section 6A-9-311(b) or 6A-9-313 are
not satisfied before the earlier of:
(1) The time the
security interest would have become unperfected under the law of the
other jurisdiction had the goods not become covered by a
certificate of title from this State; or
(2) The expiration of
four months after the goods had become so covered.
(f) Change in
jurisdiction of bank, issuer, nominated person, securities intermediary, or
commodity intermediary. - A security interest in deposit
accounts, letter-of-credit rights, or
investment property which is perfected under the law of the
bank's jurisdiction, the issuer's
jurisdiction, a nominated person's jurisdiction, the securities
intermediary's jurisdiction, or the
commodity intermediary's jurisdiction, as applicable, remains perfected
until the earlier of:
(1) The time the
security interest would have become unperfected under the law of that
jurisdiction; or
(2) The expiration of
four months after a change of the applicable jurisdiction to another
jurisdiction.
(g) Subsection (f)
security interest perfected or unperfected under law of new
jurisdiction. - If a security interest described in subsection (f)
becomes perfected under the law of
the other jurisdiction before the earlier of the time or
the end of the period described in that
subsection, it remains perfected thereafter. If the security
interest does not become perfected
under the law of the other jurisdiction before the earlier
of that time or the end of that period, it
becomes unperfected and is deemed never to have been
perfected as against a purchaser of the
collateral for value.
(h) Effect on filed
financing statement of change in governing law. The following rules
apply to collateral to which a security interest attaches
within four (4) months after the debtor
changes its location to another jurisdiction:
(1) A financing
statement filed before the change pursuant to the law of the jurisdiction
designated in subdivision 6A-9-301(1) or subsection 6A-9-305(c) is
effective to perfect a security
interest in the collateral if the financing statement would
have been effective to perfect a security
interest in the collateral had the debtor not changed its
location.
(2) If a security
interest perfected by a financing statement that is effective under
subdivision (1) becomes perfected under the law of the other
jurisdiction before the earlier of the
time the financing statement would have become ineffective
under the law of the jurisdiction
designated in subdivision 6A-9-301(1) or subsection 6A-9-305(c)
or the expiration of the four (4)
month period, it remains perfected thereafter. If the
security interest does not become perfected
under the law of the other jurisdiction before the earlier
time or event, it becomes unperfected and
is deemed never to have been perfected as against a
purchaser of the collateral for value.
(i)
Effect of change in governing law on financing statement filed against original
debtor.
If a financing statement naming an original debtor is
filed pursuant to the law of the jurisdiction
designated in subdivision 6A-9-301(1) or subsection 6A-9-305(c)
and the new debtor is located in
another jurisdiction, the following rules apply:
(1) The financing
statement is effective to perfect a security interest in collateral acquired
by the new debtor before, and within four (4) months
after, the new debtor becomes bound under
subsection 6A-9‑203(d), if the financing statement would
have been effective to perfect a security
interest in the collateral had the collateral been acquired by
the original debtor.
(2) A security
interest perfected by the financing statement and which becomes perfected
under the law of the other jurisdiction before the earlier
of the time the financing statement would
have become ineffective under the law of the jurisdiction
designated in subdivision 6A-9-301(1)
or subsection 6A-9-305(c) or the expiration of the four
(4) month period remains perfected
thereafter. A security interest that is perfected by the
financing statement but which does not
become perfected under the law of the other jurisdiction
before the earlier time or event becomes
unperfected and is deemed never to have been perfected as against
a purchaser of the collateral
for value.
6A-9-317.
Interests that take priority over or take free of security interest or
agricultural lien. -- (a) Conflicting security
interests and rights of lien creditors. - A security
interest or agricultural lien is subordinate to the rights of:
(1) A person entitled
to priority under section 6A-9-322; and
(2) Except as otherwise
provided in subsection (e), a person that becomes a lien creditor
before the earlier of the time: (i)
the security interest or agricultural lien is perfected; or (ii) one of
the conditions specified in section 6A-9-203(b)(3) is met
and a financing statement covering the
collateral is filed.
(b) Buyers that receive
delivery. - Except as otherwise provided in subsection (e), a
buyer, other than a secured party, of tangible chattel
paper, tangible documents, goods,
instruments, or a security certificate certificated
security takes free of a security interest or
agricultural lien if the buyer gives value and receives delivery
of the collateral without knowledge
of the security interest or agricultural lien and before
it is perfected.
(c) Lessees that
receive delivery. - Except as otherwise provided in subsection (e), a
lessee of goods takes free of a security interest or
agricultural lien if the lessee gives value and
receives delivery of the collateral without knowledge of the
security interest or agricultural lien
and before it is perfected.
(d) Licensees and
buyers of certain collateral. - A licensee of a general intangible or a
buyer, other than a secured party, of accounts,
electronic chattel paper, electronic documents,
general intangibles, or investment property collateral other than tangible chattel
papers, tangible
documents, goods, instruments, or a certificated security takes free of a security
interest if the
licensee or buyer gives value without knowledge of the
security interest and before it is perfected.
(e) Purchase-money
security interest. - Except as otherwise provided in sections 6A-9-
320 and 6A-9-321, if a person files a financing
statement with respect to a purchase-money
security interest before or within 20 days after the debtor
receives delivery of the collateral, the
security interest takes priority over the rights of a buyer,
lessee, or lien creditor which arise
between the time the security interest attaches and the time
of filing.
6A-9-326.
Priority of security interests created by new debtor. --
(a) Subordination of
security interest created by new debtor. - Subject to
subsection (b), a security interest that is
created by a new debtor which is in collateral in
which the new debtor has or acquires rights and
is perfected solely by a filed financing
statement that is effective solely under section 6A-9-508 in
collateral in which a new debtor has or acquires rights would be ineffective to perfect the security
interest but for the application of subdivision 6A-9-316-(i)(1) or section 6A-9-508 is subordinate
to a security interest in the same collateral which is
perfected other than by such a filed financing
statement that is effective solely under section 6A-9-508.
(b) Priority under
other provisions; multiple original debtors. - The other provisions of
this part determine the priority among conflicting
security interests in the same collateral
perfected by filed financing statements that are effective
solely under section 6A-9-508 described
in subsection (a).
However, if the security agreements to which a new debtor became bound as
debtor were not entered into by the same original debtor,
the conflicting security interests rank
according to priority in time of the new debtor's having become
bound.
6A-9-406.
Discharge of account debtor; notification of assignment; identification
and proof of assignment; restrictions on assignment of
accounts, chattel paper, payment
intangibles, and promissory notes ineffective. -- (a) Discharge of account debtor; effect of
notification. - Subject to subsections (b) through (i), an account debtor on an account, chattel
paper, or a payment intangible may discharge its obligation
by paying the assignor until, but not
after, the account debtor receives a notification,
authenticated by the assignor or the assignee, that
the amount due or to become due has been assigned and
that payment is to be made to the
assignee. After receipt of the notification, the account
debtor may discharge its obligation by
paying the assignee and may not discharge the obligation by
paying the assignor.
(b) When notification
ineffective. - Subject to subsection (h), notification is ineffective
under subsection (a):
(1) If it does not
reasonably identify the rights assigned;
(2) To the extent that
an agreement between an account debtor and a seller of a payment
intangible limits the account debtor's duty to pay a person
other than the seller and the limitation
is effective under law other than this chapter; or
(3) At the option of an
account debtor, if the notification notifies the account debtor to
make less than the full amount of any installment or other
periodic payment to the assignee, even
if:
(i)
Only a portion of the account, chattel paper, or payment intangible has been assigned
to that assignee;
(ii) A portion has been
assigned to another assignee; or
(iii) The account
debtor knows that the assignment to that assignee is limited.
(c) Proof of
assignment. - Subject to subsection (h), if requested by the account debtor,
an assignee shall seasonably furnish reasonable proof
that the assignment has been made. Unless
the assignee complies, the account debtor may discharge
its obligation by paying the assignor,
even if the account debtor has received a notification
under subsection (a).
(d) Term restricting
assignment generally ineffective. - Except as otherwise provided in
subsection (e) and section 6A-2.1-303 and section 6A-9-407, and
subject to subsection (h), a term
in an agreement between an account debtor and an
assignor or in a promissory note is ineffective
to the extent that it:
(1) Prohibits,
restricts, or requires the consent of the account debtor or person obligated
on the promissory note to the assignment or transfer of,
or the creation, attachment, perfection, or
enforcement of a security interest in, the account, chattel
paper, payment intangible, or
promissory note; or
(2) Provides that the
assignment or transfer or the creation, attachment, perfection, or
enforcement of the security interest may give rise to a default,
breach, right of recoupment, claim,
defense, termination, right of termination, or remedy under
the account, chattel paper, payment
intangible, or promissory note.
(e) Inapplicability of
subsection (d) to certain sales. - Subsection (d) does not apply to
the sale of a payment intangible or promissory note,
other than a sale pursuant to a disposition
under section 6A-9-610 or an acceptance of collateral under
section 6A-9-620.
(f) Legal restrictions
on assignment generally ineffective. - Except as otherwise provided
in sections 6A-2.1-303 and 6A-9-407 and subject to
subsections (h) and (i), a rule of law, statute,
or regulation that prohibits, restricts, or requires the
consent of a government, governmental body
or official, or account debtor to the assignment or
transfer of, or creation of a security interest in,
an account or chattel paper is ineffective to the extent
that the rule of law, statute, or regulation:
(1) Prohibits,
restricts, or requires the consent of the government, governmental body or
official, or account debtor to the assignment or transfer of,
or the creation, attachment, perfection,
or enforcement of a security interest in the account or
chattel paper; or
(2) Provides that the
assignment or transfer or the creation, attachment, perfection, or
enforcement of the security interest may give rise to a default,
breach, right of recoupment, claim,
defense, termination, right of termination, or remedy under
the account or chattel paper.
(g) Subsection (b)(3) not waivable. - Subject to
subsection (h), an account debtor may
not waive or vary its option under subsection (b)(3).
(h) Rule for individual
under other law. - This section is subject to law other than this
chapter which establishes a different rule for an account
debtor who is an individual and who
incurred the obligation primarily for personal, family, or
household purposes.
(i)
Inapplicability to health-care-insurance receivable. - This section does not
apply to an
assignment of a health-care-insurance receivable.
(j) Section prevails
over inconsistent law. - This section prevails over any statutes, rules,
and regulations inconsistent with this section.
6A-9-408.
Restrictions on assignment of promissory notes, health-care insurance
receivables, and certain general intangibles ineffective. -- (a) Term restricting assignment
generally ineffective. - Except as otherwise provided in subsection
(b), a term in a promissory
note or in an agreement between an account debtor and a
debtor which relates to a health-care-
insurance receivable or a general intangible, including a
contract, permit, license, or franchise,
and which term prohibits, restricts, or requires the
consent of the person obligated on the
promissory note or the account debtor to, the assignment or
transfer of, or creation, attachment, or
perfection of a security interest in, the promissory note,
health-care-insurance receivable, or
general intangible, is ineffective to the extent that the
term:
(1) Would impair the
creation, attachment, or perfection of a security interest; or
(2) Provides that the
assignment or transfer or the creation, attachment, or perfection of
the security interest may give rise to a default, breach,
right of recoupment, claim, defense,
termination, right of termination, or remedy under the promissory
note, health-care-insurance
receivable, or general intangible.
(b) Applicability of
subsection (a) to sales of certain rights to payment. - Subsection (a)
applies to a security interest in a payment intangible or
promissory note only if the security
interest arises out of a sale of the payment intangible or
promissory note, other than a sale
pursuant to a disposition under section 6A-9-610 or an
acceptance of collateral under section 6A-
9-620.
(c) Legal restrictions
on assignment generally ineffective. - A rule of law, statute, or
regulation that prohibits, restricts, or requires the consent of
a government, governmental body or
official, person obligated on a promissory note, or account
debtor to the assignment or transfer of,
or creation of a security interest in, a promissory
note, health-care-insurance receivable, or
general intangible, including a contract, permit, license, or
franchise between an account debtor
and a debtor, is ineffective to the extent that the rule
of law, statute, or regulation:
(1) Would impair the
creation, attachment, or perfection of a security interest; or
(2) Provides that the
assignment or transfer or the creation, attachment, or perfection of
the security interest may give rise to a default, breach,
right of recoupment, claim, defense,
termination, right of termination, or remedy under the promissory
note, health-care-insurance
receivable, or general intangible.
(d) Limitation on
ineffectiveness under subsections (a) and (c). - To the extent that a
term in a promissory note or in an agreement between an
account debtor and a debtor which
relates to a health-care-insurance receivable or general
intangible or a rule of law, statute, or
regulation described in subsection (c) would be effective under
law other than this chapter but is
ineffective under subsection (a) or (c), the creation,
attachment, or perfection of a security interest
in the promissory note, health-care-insurance
receivable, or general intangible:
(1) Is not enforceable
against the person obligated on the promissory note or the account
debtor;
(2) Does not impose a
duty or obligation on the person obligated on the promissory note
or the account debtor;
(3) Does not require
the person obligated on the promissory note or the account debtor to
recognize the security interest, pay or render performance to
the secured party, or accept payment
or performance from the secured party;
(4) Does not entitle
the secured party to use or assign the debtor's rights under the
promissory note, health-care-insurance receivable, or general
intangible, including any related
information or materials furnished to the debtor in the
transaction giving rise to the promissory
note, health-care-insurance receivable, or general
intangible;
(5) Does not entitle
the secured party to use, assign, possess, or have access to any trade
secrets or confidential information of the person obligated
on the promissory note or the account
debtor; and
(6) Does not entitle
the secured party to enforce the security interest in the promissory
note, health-care-insurance receivable, or general
intangible.
(e) Section prevails
over inconsistent law. - This section prevails over any statutes, rules,
and regulations inconsistent with this section.
6A-9-502. Contents
of financing statement; record of mortgage as financing
statement; time of filing financing statement. -- (a) Sufficiency of financing statement. -
Subject to subsection (b), a financing statement is
sufficient only if it:
(1) Provides the name
of the debtor;
(2) Provides the name
of the secured party or a representative of the secured party; and
(3) Indicates the
collateral covered by the financing statement.
(b)
Real-property-related financing statements. - Except as otherwise provided in
section
6A-9-501(b), to be sufficient, a financing statement
that covers as-extracted collateral or timber to
be cut, or which is filed as a fixture filing and covers
goods that are or are to become fixtures,
must satisfy subsection (a) and also:
(1) Indicate that it
covers this type of collateral;
(2) Indicate
that it is to be filed in the real property records;
(3) Provide a
description of the real property to which the collateral is related; and
(4) If the debtor does
not have an interest of record in the real property, provide the name
of a record owner.
(c) Record of mortgage
as financing statement. - A record of a mortgage is effective,
from the date of recording, as a financing statement filed
as a fixture filing or as a financing
statement covering as-extracted collateral or timber to be cut
only if:
(1) The record
indicates the goods or accounts that it covers;
(2) The goods are or
are to become fixtures related to the real property described in the
record or the collateral is related to the real property
described in the record and is as-extracted
collateral or timber to be cut;
(3) The record
satisfies the requirements for a financing statement in this section, other
than an indication that it is to be filed in the real
property records; and but:
(i)
The record need not indicate that it is to be filed in the real property
records; and
(ii) The record
sufficiently provides the name of a debtor who is an individual if it
provides the individual name of the debtor or the surname and
first personal name of the debtor,
even if the debtor is an individual to whom subdivision
6A-9-503-(a)(4) applies; and
(4) The record is duly
recorded.
(d) Filing before
security agreement or attachment. - A financing statement may be filed
before a security agreement is made or a security interest
otherwise attaches.
6A-9-503.
Name of debtor and secured party. -- (a)
Sufficiency of debtor's name. - A
financing statement sufficiently provides the name of the
debtor:
(1) If Except as otherwise provided in subdivision (3),
if the debtor is a registered
organization or the collateral is held in a trust that is a
registered organization, and only if the
financing statement provides the name of the debtor
indicated that is stated to be the registered
organization's name on the
public organic record of most recently filed with or issued or
enacted
by the debtor's registered organization's
jurisdiction of organization which shows the debtor to
have been organized
purports to state, amend, or restate the registered organization's name;
(2) If Subject
to subsection (f) if, the debtor is a decedent's estate collateral
is being
administered by the personal representative of a decedent, only if the financing statement
provides, as the name of the debtor, the name of the decedent and, in a separate part
of the
financing statement,
indicates that the debtor is an estate collateral is being
administered by a
personal representative;
(3) If the debtor is
a trust or a trustee acting with respect to property held in trust, only if
the financing statement: collateral is held in a trust that is not a
registered organization, only if the
financing statement:
(i)
Provides, as the name of the debtor:
(A) If the organic
record of the trust specifies a name for the trust, the name specified; or
(B) If the organic
record of the trust does not specify a name for the trust, the name of the
settler or testator; and
(ii) In a separate
part of the financing statement:
(A) If the name is
provided in accordance with subparagraph (i)(A), indicates that the
collateral is held in a trust; or
(B) If the name is
provided in accordance with subparagraph (ii)(A),
provides additional
information sufficient to distinguish the trust from other trusts
having one or more the same
settlors or the same testator and indicates that the
collateral is held in a trust, unless the additional
information so indicates;
(4) Subject to
subsection (g), if the debtor is an individual to whom this state has issued a
driver’s license, or in lieu of such a driver’s license a
personal identification card issued by the
same office of this state that issues driver’s licenses,
that has not expired, only if the financing
statement provides the name of the individual which is
indicated on the driver’s license or
personal identification card;
(5) If the debtor is
an individual to whom paragraph (4) does not apply,
only if the
financing statement provides the individual name of the debtor
or the surname and first personal
name of the debtor; and
(i) Provides the name specified for the trust in its
organic documents or, if no name is
specified, provides the name of the settlor
and additional information sufficient to distinguish the
debtor from other trusts having one or more of the same settlors; and
(ii)
Indicates, in the debtor's name or otherwise, that the debtor is a trust or is
a trustee
acting with respect to property held in trust; and
(4)(6) In
other cases:
(i)
If the debtor has a name, only if it the financing statement
provides the individual or
organizational name of the debtor; and
(ii) If the debtor does
not have a name, only if it provides the names of the partners,
members, associates, or other persons comprising the debtor,
in a manner that each name
provided would be sufficient if the person named were the
debtor.
(b) Additional
debtor-related information. - A financing statement that provides the
name of the debtor in accordance with subsection (a) is
not rendered ineffective by the absence
of:
(1) A trade name or
other name of the debtor; or
(2) Unless required
under subsection (a)(4)(B) (a)(6)(ii),
names of partners, members,
associates, or other persons comprising the debtor.
(c) Debtor's trade name
insufficient. - A financing statement that provides only the
debtor's trade name does not sufficiently provide the name of
the debtor.
(d) Representative
capacity. - Failure to indicate the representative capacity of a secured
party or representative of a secured party does not affect
the sufficiency of a financing statement.
(e) Multiple debtors
and secured parties. - A financing statement may provide the name
of more than one debtor and the name of more than one
secured party.
(f) Name of decedent.
The name of the decedent indicated on the order appointing the
personal representative of the decedent issued by the court
having jurisdiction over the collateral
is sufficient as the “name of the decedent” under
subdivision (a)(2).
(g) Multiple
drivers' licenses. If this state has issued to an individual more than one
driver's license or personal identification card of a kind
described in paragraph (a)(4), the one that
was issued most recently is the one to which paragraph
(a)(4) refers.
(h) Definition. In
this section, the “name of the settlor or testator”
means:
(1) If the settlor is a registered organization, the name that is
stated to be the settlor’s
name on the public organic record most recently filed with
or issued or enacted by the settlor’s
jurisdiction of organization which purports to state, amend, or
restate the settlor’s name; or
(2) In other cases,
the name of the settlor or testator indicated in the
trust’s organic
record.
6A-9-507.
Effect of certain events on effectiveness of financing statement.
-- (a)
Disposition. - A filed financing statement remains effective with
respect to collateral that is sold,
exchanged, leased, licensed, or otherwise disposed of and in
which a security interest or
agricultural lien continues, even if the secured party knows of or
consents to the disposition.
(b) Information
becoming seriously misleading. - Except as otherwise provided in
subsection (c) and section 6A-9-508, a financing statement is
not rendered ineffective if, after the
financing statement is filed, the information provided in the
financing statement becomes
seriously misleading under section 6A-9-506.
(c) Change in debtor's
name. - If a debtor so changes it’s the name that a filed
financing
statement provides for a debtor becomes insufficient
as the name of the debtor under subsection
6-A-9-503(a) so that the financing statement becomes seriously misleading under section 6A-9-
506:
(1) The financing
statement is effective to perfect a security interest in collateral
acquired by the debtor before, or within four months after,
the change filed financing statement
becomes seriously misleading; and
(2) The financing
statement is not effective to perfect a security interest in collateral
acquired by the debtor more than four months after the change
filed financing statement becomes
seriously misleading,
unless an amendment to the financing statement which renders the
financing statement not seriously misleading is filed within
four months after the change
financing statement becomes seriously misleading.
6A-9-515. Duration
and effectiveness of financing statement; effect of lapsed
financing statement. -- (a)
Five-year effectiveness. - Except as otherwise provided in subsections
(b), (e), (f), and (g), a filed financing statement is
effective for a period of five years after the date
of filing.
(b) Public-finance or
manufactured-home transaction. - Except as otherwise provided in
subsections (e), (f), and (g), an initial financing statement
filed in connection with a public-
finance transaction or manufactured-home transaction is
effective for a period of 30 years after
the date of filing if it indicates that it is filed in
connection with a public-finance transaction or
manufactured-home transaction.
(c) Lapse and
continuation of financing statement. - The effectiveness of a filed
financing statement lapses on the expiration of the period of
its effectiveness unless before the
lapse a continuation statement is filed pursuant to
subsection (d). Upon lapse, a financing
statement ceases to be effective and any security interest or
agricultural lien that was perfected by
the financing statement becomes unperfected, unless the
security interest is perfected otherwise.
If the security interest or agricultural lien becomes
unperfected upon lapse, it is deemed never to
have been perfected as against a purchaser of the
collateral for value.
(d) When continuation
statement may be filed. - A continuation statement may be filed
only within six months before the expiration of the
five-year period specified in subsection (a) or
the 30-year period specified in subsection (b), whichever
is applicable.
(e) Effect of filing
continuation statement. - Except as otherwise provided in section 6A-
9-510, upon timely filing of a continuation statement,
the effectiveness of the initial financing
statement continues for a period of five years commencing on
the day on which the financing
statement would have become ineffective in the absence of the
filing. Upon the expiration of the
five-year period, the financing statement lapses in the same manner
as provided in subsection (c),
unless, before the lapse, another continuation statement is
filed pursuant to subsection (d).
Succeeding continuation statements may be filed in the
same manner to continue the
effectiveness of the initial financing statement.
(f) Transmitting
utility financing statement. - If a debtor is a transmitting utility and a
filed initial financing statement so indicates, the
financing statement is effective until a
termination statement is filed.
(g) Record of mortgage
as financing statement. - A record of a mortgage that is effective
as a financing statement filed as a fixture filing under
section 6A-9-502(c) remains effective as a
financing statement filed as a fixture filing until the
mortgage is released or satisfied of record or
its effectiveness otherwise terminates as to the real
property.
6A-9-516. What constitutes filing; effectiveness of filing. --
(a) What constitutes filing.
- Except as otherwise provided in subsection (b),
communication of a record to a filing office and
tender of the filing fee or acceptance of the record by the
filing office constitutes filing.
(b) Refusal to accept
record; filing does not occur. - Filing does not occur with respect to
a record that a filing office refuses to accept
because:
(1) The record is not
communicated by a method or medium of communication
authorized by the filing office;
(2) An amount equal to
or greater than the applicable filing fee is not tendered;
(3) The filing office
is unable to index the record because:
(i)
In the case of an initial financing statement, the record does not provide a
name for
the debtor;
(ii) In the case of an
amendment or correction information statement, the record:
(A) Does not identify
the initial financing statement as required by section 6A-9-512 or
section 6A-9-518, as applicable; or
(B) Identifies an
initial financing statement whose effectiveness has lapsed under section
6A-9-515;
(iii) In the case of an
initial financing statement that provides the name of a debtor
identified as an individual or an amendment that provides a name
of a debtor identified as an
individual which was not previously provided in the financing
statement to which the record
relates, the record does not identify the debtor's last
name surname; or
(iv)
In the case of a record filed or recorded in the filing office described
in section 6A-
9-501(a)(1), the record does
not provide a sufficient description of the real property to which it
relates;
(4) In the case of an
initial financing statement or an amendment that adds a secured
party of record, the record does not provide a name and
mailing address for the secured party of
record;
(5) In the case of an
initial financing statement or an amendment that provides a name of
a debtor which was not previously provided in the
financing statement to which the amendment
relates, the record does not:
(i)
Provide a mailing address for the debtor; or
(ii) Indicate whether
the name provided as the name of the debtor is the name of an
individual or an organization; or
(iii) If the
financing statement indicates that the debtor is an organization, provide:
(A) A type of
organization for the debtor;
(B) A jurisdiction
of organization for the debtor; or
(C) An
organizational identification number for the debtor or indicate that the debtor
has
none;
(6) In the case of an
assignment reflected in an initial financing statement under section
6A-9-514(a) or an amendment filed under section
6A-9-514(b), the record does not provide a
name and mailing address for the assignee; or
(7) In the case of a
continuation statement, the record is not filed within the six-month
period prescribed by section 6A-9-515(d).
(c) Rules applicable to
subsection (b). - For purposes of subsection (b):
(1) A record does not
provide information if the filing office is unable to read or
decipher the information; and
(2) A record that does
not indicate that it is an amendment or identify an initial financing
statement to which it relates, as required by section 6A-9-512,
6A-9-514, or 6A-9-518, is an
initial financing statement.
(d) Refusal to accept
record; record effective as filed record. - A record that is
communicated to the filing office with tender of the filing fee,
but which the filing office refuses
to accept for a reason other than one set forth in
subsection (b), is effective as a filed record
except as against a purchaser of the collateral which gives
value in reasonable reliance upon the
absence of the record from the files.
6A-9-518.
Claim concerning inaccurate or wrongfully filed record. --
(a) Correction
statement Statement with
respect to record indexed under person's name. - A person may file in
the filing office a correction an information
statement with respect to a record indexed there
under the person's name if the person believes that the
record is inaccurate or was wrongfully
filed.
(b) Sufficiency Contents
of correction statement under subsection (a). - A correction
An
information statement under subsection (a) must:
(1) Identify the record
to which it relates by: (i) The the file number
assigned to the
initial financing statement to which the record relates; and
(ii) If the
correction statement relates to a record filed in a filing office described in
section 6A-9-501(a)(1), the information specified in section
6A-9-502(b) and (A) the date and
time that the initial financing statement was filed or (B)
the book and page references of the
filing;
(2) Indicate that it is
a correction an information statement; and
(3) Provide the basis
for the person's belief that the record is inaccurate and indicate the
manner in which the person believes the record should be
amended to cure any inaccuracy or
provide the basis for the person's belief that the record was
wrongfully filed.
(c) Statement by
secured party of record. A person may file in the filing office an
information statement with respect to a record filed there if the
person is a secured party of record
with respect to the financing statement to which the
record relates and believes that the person
that filed the record was not entitled to do so under
subsection 6A-9-509(d).
(d) Contents of
statement under subsection (c). An information statement under
subsection (c) must:
(1) Identify the
record to which it relates by:
(i)
The file number assigned to the initial financing statement to which the record
relates;
and
(ii) If the
information statement relates to a record filed in a filing office described in
subdivision 6A-9-501(a)(1), the date and time that the initial
financing statement was filed and
the information specified in subsection 6A-9-502(b);
(2) Indicate that it
is an information statement; and
(3) Provide the basis
for the person's belief that the person who filed the record was not
entitled to do so under subsection 6A-9-509(d).
(c)(e) Record
not affected by correction information statement. - The filing of
a
correction an information statement does not affect the
effectiveness of an initial financing
statement or other filed record.
6A-9-521.
Uniform form of written financing statement and amendment.
-- (a) Initial
financing statement form. - A filing office that accepts
written records may not refuse to accept a
written initial financing statement in the following form and
format except for a reason set forth
in section 6A-9-516(b):
UCC FINANCING
STATEMENT
FOLLOW INSTRUCTIONS
(front and back) CAREFULLY
A. NAME & PHONE
OF CONTACT AT FILER [optional]
__________________________________________________
B. SEND
ACKNOWLEDGMENT TO: (Name and Address)
__________________________________________________
__________________________________________________
__________________________________________________
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
1. DEBTOR'S EXACT
FULL LEGAL NAME - insert only one debtor name (1a or 1b) - do not
abbreviate or combine names
1a. ORGANIZATION'S
NAME
Or
_______________________________________________________________________
1b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
1c.
________________________________________________________________________
1d. TAX ID #: SSN OR
EIN ADD'LINFO REORGANIZATION DEBTOR
__________________________________________________________________
1e. TYPE OF
ORGANIZATION
________________________________________________________________________
1f. JURISDICTION OF
ORGANIZATION
__________________________________________________________________
1g. ORGANIZATIONAL ID
#, if any NONE (
________________________________________________________________________
2. ADDITIONAL
DEBTOR'S EXACT FULL LEGAL NAME - insert only one debtor name (2a
or 2b) - do not abbreviate or combine names
2a. ORGANIZATION'S
NAME
Or
_______________________________________________________________________
2b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
2c.
________________________________________________________________________
2d. TAX ID #: SSN OR
EIN ADD'LINFO REORGANIZATION DEBTOR
__________________________________________________________________
2e. TYPE OF
ORGANIZATION
________________________________________________________________________
2f. JURISDICTION OF
ORGANIZATION
__________________________________________________________________
2g. ORGANIZATIONAL ID
#, if any NONE (
________________________________________________________________________
3. SECURED PARTY'S
NAME (or NAME of TOTAL ASSIGNEE of ASSIGNOR S/P) - insert
only one secured party name (3a or 3b)
3a. ORGANIZATION'S
NAME
Or
_______________________________________________________________________
3b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
3c.
________________________________________________________________________
4. This FINANCING
STATEMENT covers the following collateral:
5. ALTERNATIVE
DESIGNATION [if applicable]: ( LESSEE/LESSOR
(
CONSIGNEE/CONSIGNOR ( BAILEE/BAILOR ( SELLER/BUYER ( AG.
LIEN
(
NON-UCC FILING
6. (This FINANCING
STATEMENT is to be filed [for record] (or recorded) in the REAL
ESTATE RECORDS. Attach Addendum [if applicable]
7. Check to REQUEST
SEARCH REPORT(S) on Debtor(s) [ADDITIONAL FEE] [optional]
(
All Debtors ( Debtor 1 ( Debtor 2
8. OPTIONAL FILER
REFERENCE DATA
______________________________________________________________________________
FILING OFFICE
COPY—NATIONAL UCC FINANCING STATEMENT (FORM UCC1)(REV.
07/29/98)
UCC FINANCING
STATEMENT ADDENDUM
FOLLOW INSTRUCTIONS
(front and back) CAREFULLY
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
9. NAME OF FIRST
DEBTOR (9a or 9b) ON RELATED FINANCING STATEMENT
9a. ORGANIZATION'S
NAME
Or _______________________________________________________________________
9b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
10. MISCELLANEOUS:
________________________________________________________________________
11. ADDITIONAL
DEBTOR'S EXACT FULL LEGAL NAME - insert only one name (11a or
11b) - do not abbreviate or combine names
11a. ORGANIZATION'S
NAME
Or
_______________________________________________________________________
11b. INDIVIDUAL'S
LAST NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
11c.
________________________________________________________________________
11d. TAX ID #: SSN OR
EIN ADD'LINFO REORGANIZATION DEBTOR
__________________________________________________________________
11e. TYPE OF
ORGANIZATION
________________________________________________________________________
11f. JURISDICTION OF
ORGANIZATION
__________________________________________________________________
11g. ORGANIZATIONAL
ID #, if any NONE (
__________________________________________________________________
12. (ADDITIONAL
SECURED PARTY'S or (ASSIGNOR S/P'S NAME - insert only one
name (12a or 12b)
12a. ORGANIZATION'S
NAME
Or
_______________________________________________________________________
12b. INDIVIDUAL'S
LAST NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
12c.
________________________________________________________________________
13. This FINANCING
STATEMENT covers ( timber to be cut or ( as-extracted
collateral, or
is filed as a ( fixture filing.
14. Description of
real estate:__________________________________________________
________________________________________________________________________
15. Name and address
of a RECORD OWNER of above-described real estate (if Debtor does not
have a record interest): ______________________________________________________
16. Additional
collateral description: _____________________________________________
________________________________________________________________________
17. Check only if
applicable and check only one box.
Debtor is a ( Trust or ( Trustee acting with respect to property held in
trust or ( Decedent's
Estate
18. Check only
if applicable and check only one box.
(
Debtor is a TRANSMITTING UTILITY
(
Filed in connection with a Manufactured-Home Transaction —
effective 30 years
(
Filed in connection with a Public-Finance Transaction — effective
30 years
________________________________________________________________________________________________
FILING OFFICE COPY —
NATIONAL UCC FINANCING STATEMENT ADDENDUM (FORM
UCC1Ad) (REV. 07/29/98)
UCC FINANCING
STATEMENT
FOLLOW INSTRUCTIONS
A. NAME & PHONE
OF CONTACT AT FILER (optional)
_________________________________________________________________
B. EMAIL CONTACT AT
FILER (optional)
_________________________________________________________________
C. SEND
ACKNOWLEDGMENT TO: (Name and Address)
_________________________________________________________________
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
1. DEBTOR’S NAME- provide only one Debtor name (1a or 1b) (use exact, full
name; do not
omit, modify, or abbreviate any word in the debtor’s name)
1a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
1b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S)
THAT ARE PART OF THE
NAME OF THIS DEBTOR SUFFIX
___________________________________________________________________
_______
1c.
________________________________________________________________________
2. DEBTOR’S NAME- provide only one Debtor name (2a or 2b) (use exact, full
name; do not
omit, modify, or abbreviate any word in the debtor’s name)
2a. ORGANIZATION’S
NAME
or
_____________________________________________________________________
2b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S)
THAT ARE PART OF THE
NAME OF THIS DEBTOR SUFFIX
___________________________________________________________________
_______
1c.
________________________________________________________________________
3. SECURED PARTY’S
NAME (or NAME of ASSIGNEE of ASSIGNOR secured party)—
provide only one secured party name (3a or 3b)
3a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
3b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
___________________________________________________________________
_______
3c.
________________________________________________________________________
4. COLLATERAL: This
financing statement covers the following collateral:
__________________________________________________________________________
________________________________________________________________________
5. Check only if
applicable and check only one box:
Collateral is ( held in a Trust (see Instructions) ( being administered by
a Decedent’s
Personal Representative.
6a. Check only if
applicable and check only one box:
(
Public-Finance Transaction ( Manufactured-Home Transaction
( A
Debtor is a Transmitting Utility
6b. check only is applicable and check only one box:
(
Agricultural Lien ( Non-UCC Filing
7. ALTERNATIVE
DESIGNATION (if applicable): ( Lessee/Lessor
(
Consignee/Consignor(Seller/Buyer (Bailee/Bailor
( Licensee/Licensor
8. OPTIONAL FILER
REFERENCE DATA ______________________________________
______________________________________________________________________________
[UCC FINANCING
STATEMENT (Form UCC1)]
UCC FINANCING
STATEMENT ADDENDUM
FOLLOW INSTRUCTIONS
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
9. DEBTOR’S NAME- provide only one Debtor name (1a or 1b) (use exact, full
name; do not
omit, modify, or abbreviate any word in the debtor’s name)
9a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
9b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
___________________________________________________________________
_______
10. ADDITIONAL
DEBTOR’S NAME- provide only one Debtor name (10a or 10b) (use exact,
full name; do not omit, modify, or abbreviate any word in
the debtor’s name)
10a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
10b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S)
THAT ARE PART OF THE
NAME OF THIS DEBTOR SUFFIX
___________________________________________________________________
_______
10c.
________________________________________________________________________
11. ADDITIONAL
SECURED PARTY’S NAME or ( ASSIGNOR SECURED PARTY’S
NAME—provide only one secured party name (11a or 11b)
11a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
11b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL NAME(S)/INITIAL(S)
SUFFIX
___________________________________________________________________
_______
11c.
________________________________________________________________________
12. ADDITIONAL SPACE
FOR ITEM 4 (collateral) ________________________________
___________________________________________________________________________
13. ( This FINANCING STATEMENT is to be filed [for record] (or
recorded) in the REAL
ESTATE RECORDS (if applicable)
14. This FINANCING
STATEMENT:
(
covers timber to be cut ( covers as-extended ( is filed as a
fixture filing
15. Name and address
of a RECORD OWNER of real estate described in item 16 (if Debtor does
not have a record interest):
_________________________________________________________________________
________________________________________________________________________
16. Description of
real estate: __________________________________________________
________________________________________________________________________
________________________________________________________________________
17. MISCELLANEOUS:
________________________________________________________________________
________________________________________________________________________
[UCC FINANCING
STATEMENT ADDENDUM (Form UCC1Ad)]
(b) Amendment form. - A
filing office that accepts written records may not refuse to
accept a written record in the following form and format
except for a reason set forth in section
6A-9-516(b):
UCC FINANCING
STATEMENT AMENDMENT
FOLLOW INSTRUCTIONS
(front and back) CAREFULLY
A. NAME & PHONE
OF CONTACT AT FILER [optional]
__________________________________________________
B. SEND
ACKNOWLEDGMENT TO: (Name and Address)
__________________________________________________
__________________________________________________
__________________________________________________
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
1a.
1b. ( This FINANCING STATEMENT AMENDMENT is to be filed [for
record] (or recorded)
in
the REAL ESTATE RECORDS.
2. (
TERMINATION: Effectiveness of the Financing Statement identified above
is terminated
with respect to security interest(s) of the Secured Party
authorizing this Termination Statement.
3. (
CONTINUATION: Effectiveness of the Financing Statement identified above
with respect
to security interest(s) of the Secured Party authorizing
this Continuation Statement is continued
for the additional period provided by applicable law.
4. (
ASSIGNMENT (full or partial): Give name of assignee in item 7a or 7b and
address
assignee in item 7c; and also give name of assignor in item 9.
5. AMENDMENT (PARTY
INFORMATION): This Amendment affects ( Debtor or
( Secured
Party of record. Check only one of these two boxes.
Also check one
of the following three boxes and provide appropriate information in
items 6
and/or 7.
(
CHANGE name and/or address: Give current record name in item 6a
or 6b; also give new
name (if name change) in item 7a or 7b and/or new address
(if address change) in item 7c.
(
DELETE name: give record name to be deleted in item 6a or 6b.
(
ADD name: Complete item 7a or 7b, and also complete items 7d-7g
(if applicable).
6. CURRENT RECORD
INFORMATION:
6a. ORGANIZATION'S
NAME
or
_______________________________________________________________________
6b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
7. CHANGED (NEW) OR
ADDED INFORMATION:
7a. ORGANIZATION'S
NAME
or
_______________________________________________________________________
7b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
7c.
________________________________________________________________________
7d. TAX ID #: SSN OR
EIN ADD'LINFO REORGANIZATION DEBTOR
__________________________________________________________________
7e. TYPE OF
ORGANIZATION
________________________________________________________________________
7f. JURISDICTION OF
ORGANIZATION
__________________________________________________________________
7g. ORGANIZATIONAL ID
#, if any NONE (
________________________________________________________________________
8. AMENDMENT
(COLLATERAL CHANGE) CHECK ONLY ONE BOX.
describe
collateral ( deleted or ( give entire ( restated collateral description, or
describe
collateral ( assigned.
9. NAME OF SECURED
PARTY OF RECORD AUTHORIZING THIS AMENDMENT (name
of assignor, if this is an Assignment). If this is an
Amendment authorized by a Debtor which adds
collateral or adds the authorizing Debtor, or if this is a
Termination authorized by a Debtor, check
here ( and enter name of DEBTOR authorizing this
Amendment.
9a. ORGANIZATION'S
NAME
or
_______________________________________________________________________
9b. INDIVIDUAL'S LAST
NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
10. OPTIONAL FILER
REFERENCE DATA
______________________________________________________________________________
NATIONAL UCC
FINANCING STATEMENT AMENDMENT (FORM UCC3) (REV.
07/29/98)
UCC FINANCING
STATEMENT AMENDMENT ADDENDUM
FOLLOW INSTRUCTIONS
(front and back) CAREFULLY
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
11.
12. NAME OF PARTY
AUTHORIZING THIS AMENDMENT (same as item 9 on Amendment
form)
12a. ORGANIZATION'S
NAME
or
_______________________________________________________________________
12b. INDIVIDUAL'S
LAST NAME FIRST NAME MIDDLE NAME SUFFIX
________________________________________________________________________
13. Use this space
for additional information
______________________________________________________________________________
______________________________________________________________________________
UCC FINANCING
STATEMENT AMENDMENT
FOLLOW INSTRUCTIONS
A. NAME & PHONE
OF CONTACT AT FILER (optional)
______________________________________________________________________________
B. EMAIL CONTACT AT
FILER (optional)
________________________________________________________________________
C. SEND
ACKNOWLEDGMENT TO: (Name and Address)
________________________________________________________________________
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
1a. INITIAL FINANCING
STATEMENT FILE #______________________________________
1b. ( This FINANCING STATEMENT AMENDMENT is to be filed [for
record] (or recorded)
in the REAL ESTATE RECORDS.
2. (
TERMINATION: Effectiveness of the Financing Statement identified above
is terminated
with respect to the security interest(s) of Secured Party
authorizing this Termination Statement
3. (
ASSIGNMENT (full or partial): Provide name of Assignee in item 7a or 7b,
and address
Assignee in item 7c and name of Assignor in item 9.
For partial assignment, complete items 7 and
9 and also indicate affected collateral in item 8
4. (
CONTINUATION: Effectiveness of the Financing Statement identified above
with respect
to the security interest(s) of Secured Party authorizing
this Continuation Statement is continued
for the additional period provided by applicable law
5. (
PARTY INFORMATION CHANGE:
Check one of these
three boxes:
This Change affects ( Debtor or ( Secured Party of record AND Check one of these
three boxes
to:
(
CHANGE name and/or address: Complete item 6a or 6b, and item 7a
or 7b and item 7c.
(
ADD name: Complete item 7a or 7b, and item 7c.
(
DELETE name: Give record name to be deleted in item 6a or 6b.
6. CURRENT RECORD
INFORMATION: Complete for Party Information Change – provide
only one name (6a or 6b) (use exact, full name; do not
omit, modify, or abbreviate any word in
the Debtor’s name)
6a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
6b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
_____________________________________________________________________
________
7. CHANGED OR ADDED
INFORMATION: Complete for Assignment of Party Information
Change – provide only one name (7a or 7b) (use exact
full name; do not omit, modify, or
abbreviate any word in the Debtor’s name)
7a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
7b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) THAT ARE PART OF THE NAME OF THIS DEBTOR
SUFFIX
___________________________________________________________________
__________
7c.
________________________________________________________________________
8. (
COLLATERAL CHANGE:
Also check one of
these four boxes:
(
ADD collateral ( DELETE collateral ( RESTATE covered collateral (
ASSIGN
collateral
Indicate Collateral:
___________________________________________________________
9. NAME OF SECURED
PARTY OF RECORD AUTHORIZING THIS AMENDMENT –
provide only one name (9a or 9b) (name of Assignor, if this
is an Assignment)
If this is an
Amendment authorized by a DEBTOR, check here ( and
provide name of
authorizing Debtor
9a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
9b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
__________________________________________________________________
__________
10. OPTIONAL FILER
REFERENCE DATA
________________________________________________________________________
___________________________________________________________________________
[UCC FINANCING
STATEMENT AMENDMENT (Form UCC3]
UCC FINANCING
STATEMENT AMENDMENT ADDENDUM
FOLLOW INSTRUCTIONS
11. INITIAL FINANCING
STATEMENT FILE NUMBER (same as item 1a on Amendment
form)______________________________________________________________________
12. NAME OF PARTY
AUTHORIZING THIS AMENDMENT (same as item 9 on Amendment
form)
12a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
12b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
_________________________________________________________________
__________
THE ABOVE SPACE IS
FOR FILING OFFICE USE ONLY
13. Name of DEBTOR on
related financing statement (Name of a current Debtor of record
required for indexing purposes only in some filing offices –
see Instruction for item 13 – insert
only one Debtor name (13a or 13b) (use exact, full name;
do not omit, modify, or abbreviate any
word in the Debtor’s name)
13a. ORGANIZATION’S
NAME
or
_______________________________________________________________________
13b. INDIVIDUAL’S
SURNAME FIRST PERSONAL NAME
________________________________________________________________________
ADDITIONAL
NAME(S)/INITIAL(S) SUFFIX
___________________________________________________________________
__________
14. ADDITIONAL SPACE
FOR ITEM 8 (Collateral)
______________________________________________________________________________
________________________________________________________________________
15. This FINANCING
STATEMENT AMENDMENT:
(
covers timber to be cut
(
covers as-extracted collateral
(
is filed as a fixture filing
16. Name and address
of a RECORD OWNER of real estate described in item 17 (if Debtor does
not have a record
interest):_____________________________________________________
_________________________________________________________________________
17. Description of
real estate
__________________________________________________________________________
________________________________________________________________________
18. MISCELLANEOUS:
____________________________________________________________________________
________________________________________________________________________
[UCC FINANCING
STATEMENT AMENDMENT ADDENDUM (Form UCC3Ad)]
6A-9-607.
Collection and enforcement by secured party. --
(a) Collection and
enforcement generally. - If so agreed, and in any event after
default, a secured party:
(1) May notify an
account debtor or other person obligated on collateral to make
payment or otherwise render performance to or for the benefit
of the secured party;
(2) May take any
proceeds to which the secured party is entitled under section 6A-9-315;
(3) May enforce the
obligations of an account debtor or other person obligated on
collateral and exercise the rights of the debtor with respect to
the obligation of the account debtor
or other person obligated on collateral to make payment
or otherwise render performance to the
debtor, and with respect to any property that secures the
obligations of the account debtor or other
person obligated on the collateral;
(4) If it holds a
security interest in a deposit account perfected by control under section
6A-9-104(a)(1), may apply the
balance of the deposit account to the obligation secured by the
deposit account; and
(5) If it holds a
security interest in a deposit account perfected by control under section
6A-9-104(a)(2) or (3), may
instruct the bank to pay the balance of the deposit account to or for
the benefit of the secured party.
(b) Nonjudicial
enforcement of mortgage. - If necessary to enable a secured party to
exercise under subsection (a)(3) the right of a debtor to
enforce a mortgage nonjudicially, the
secured party may record in the office in which a record of
the mortgage is recorded:
(1) A copy of the
security agreement that creates or provides for a security interest in the
obligation secured by the mortgage; and
(2) The secured party's
sworn affidavit in recordable form stating that:
(i)
A default has occurred with respect to the obligation secured by the
mortgage; and
(ii) The secured party
is entitled to enforce the mortgage nonjudicially.
(c) Commercially
reasonable collection and enforcement. - A secured party shall proceed
in a commercially reasonable manner if the secured
party:
(1) Undertakes to
collect from or enforce an obligation of an account debtor or other
person obligated on collateral; and
(2) Is entitled to
charge back uncollected collateral or otherwise to full or limited
recourse against the debtor or a secondary obligor.
(d) Expenses of
collection and enforcement. - A secured party may deduct from the
collections made pursuant to subsection (c) reasonable expenses
of collection and enforcement,
including reasonable attorney's fees and legal expenses
incurred by the secured party.
(e) Duties to secured
party not affected. - This section does not determine whether an
account debtor, bank, or other person obligated on collateral
owes a duty to a secured party.
6A-9-625. Remedies
for secured party's failure to comply with chapter. -- (a) Judicial
orders concerning noncompliance. - If it is established that
a secured party is not proceeding in
accordance with this chapter, a court may order or restrain
collection, enforcement, or disposition
of collateral on appropriate terms and conditions.
(b) Damages for
noncompliance. - Subject to subsections (c), (d), and (f), a person is
liable for damages in the amount of any loss caused by a
failure to comply with this chapter. Loss
caused by a failure to comply may include loss resulting
from the debtor's inability to obtain, or
increased costs of, alternative financing.
(c) Persons entitled to
recover damages; statutory damages in consumer-goods
transaction if collateral is consumer goods. - Except as
otherwise provided in section 6A-9-628:
(1) A person that, at
the time of the failure, was a debtor, was an obligor, or held a
security interest in or other lien on the collateral may
recover damages under subsection (b) for its
loss; and
(2) If the collateral
is consumer goods, a person that was a debtor or a secondary obligor
at the time a secured party failed to comply with this
part may recover for that failure in any event
an amount not less than the credit service charge plus
10 percent of the principal amount of the
obligation or the time-price differential plus 10 percent of the
cash price.
(d) Recovery when
deficiency eliminated or reduced. - A debtor whose deficiency is
eliminated under section 6A-9-626 may recover damages for the
loss of any surplus. However, a
debtor or secondary obligor whose deficiency is eliminated
or reduced under section 6A-9-626
may not otherwise recover under subsection (b) for
noncompliance with the provisions of this
part relating to collection, enforcement, disposition, or
acceptance.
(e) Statutory damages:
noncompliance with specified provisions. - In addition to any
damages recoverable under subsection (b), the debtor,
consumer obligor, or person named as a
debtor in a filed record, as applicable, may recover $500 in
each case from a person that:
(1) Fails to comply
with section 6A-9-208;
(2) Fails to comply
with section 6A-9-209;
(3) Files a record that
the person is not entitled to file under section 6A-9-509(a);
(4) Fails to cause the
secured party of record to file or send a termination statement as
required by section 6A-9-513(a) or (c);
(5) Fails to comply
with section 6A-9-616(b)(1) and whose failure is part
of a pattern, or
consistent with a practice, of noncompliance; or
(6) Fails to comply
with section 6A-9-616(b)(2).
(f) Statutory damages:
noncompliance with section 6A-9-210. - A debtor or consumer
obligor may recover damages under subsection (b) and, in
addition, $500 in each case from a
person that, without reasonable cause, fails to comply with
a request under section 6A-9-210. A
recipient of a request under section 6A-9-210 which never
claimed an interest in the collateral or
obligations that are the subject of a request under that section
has a reasonable excuse for failure
to comply with the request within the meaning of this
subsection.
(g) Limitation of
security interest: noncompliance with section 6A-9-210. - If a secured
party fails to comply with a request regarding a list of
collateral or a statement of account under
section 6A-9-210, the secured party may claim a security
interest only as shown in the list or
statement included in the request as against a person that is
reasonably misled by the failure.
6A-9-710.
Official comments. -- It is the intention of the
general assembly that the
official comments to this chapter, including the 2010
amendments to said official comments,
represent the express legislative intent of the general
assembly and shall be used as a guide for
interpretation of this chapter.
SECTION 3. Chapter 6A-9 of the General Laws entitled
"Secured Transactions" is
hereby amended by adding thereto the following sections:
6A-
9-801. Effective Date. –
(a) In this part, “amendatory act” means the public
law by
which this part is added to chapter 9 of title 6A effective
July 1, 2013.
(b) This amendatory
act takes effect on July 1, 2013.
6A-9-802.
Savings Clause. -- (a) Pre-effective-date transactions or liens.
Except as
otherwise provided in this part, the amendatory act applies to
a transaction or lien within its
scope, even if the transaction or lien was entered into or
created before the amendatory act takes
effect.
(b)
Pre-effective-date proceedings. The amendatory act does not affect an action,
case, or
proceeding commenced before the amendatory act takes effect.
6A-9-803.
Security interest perfected before effective date. -- (a)
Continuing
perfection: perfection requirements satisfied. A security
interest that is a perfected security
interest immediately before the amendatory act takes effect is
a perfected security interest under
this chapter as amended by the amendatory act if, when the
amendatory act takes effect, the
applicable requirements for attachment and perfection under this
chapter, as amended by the
amendatory act, are satisfied without further action.
(b) Continuing
perfection: perfection requirements not satisfied. Except as otherwise
provided in section 6A-9-805, if, immediately before the
amendatory act takes effect, a security
interest is a perfected security interest, but the applicable
requirements for perfection under this
chapter, as amended by the amendatory act, are not satisfied
when the amendatory act takes
effect, the security interest remains perfected thereafter
only if the applicable requirements for
perfection under this chapter as amended by the amendatory act
are satisfied within one year after
the amendatory act takes effect.
6A-
9‑804. Security interest
unperfected before effective date. -- A security interest
that is an unperfected security interest immediately
before the amendatory act takes effect
becomes a perfected security interest:
(1) Without further
action, when the amendatory act takes effect if the applicable
requirements for perfection under this chapter as amended by the
amendatory act are satisfied
before or at that time; or
(2) When the
applicable requirements for perfection are satisfied if the requirements are
satisfied after that time.
6A-9‑805.
Effectiveness of action taken before effective date. --
(a) Pre-effective-date
filing effective. The filing of a financing statement before
the amendatory act takes effect is
effective to perfect a security interest to the extent the
filing would satisfy the applicable
requirements for perfection under this chapter as amended by the
amendatory act.
(b) When
pre-effective-date filing becomes ineffective. The amendatory act does not
render ineffective an effective financing statement that,
before the amendatory act takes effect, is
filed and satisfies the applicable requirements for
perfection under the law of the jurisdiction
governing perfection as provided in this chapter as it existed
before the amendatory act took
effect. However, except as otherwise provided in subsections
(c) and (d) and section 6A-9-806,
the financing statement ceases to be effective:
(1) If the financing
statement is filed in this state, at the time the financing statement
would have ceased to be effective had the amendatory act
not taken effect; or
(2) If the financing
statement is filed in another jurisdiction, at the earlier of:
(i)
The time the financing statement would have ceased to be effective under the
law of
that jurisdiction; or
(ii) June 30, 2018.
(c) Continuation
statement. The filing of a continuation statement after the amendatory
act takes effect does not continue the effectiveness of a
financing statement filed before the
amendatory act takes effect. However, upon the timely filing of
a continuation statement after the
amendatory act takes effect and in accordance with the law of
the jurisdiction governing
perfection as provided in this chapter as amended by the
amendatory act, the effectiveness of a
financing statement filed in the same office in that jurisdiction
before the amendatory act takes
effect continues for the period provided by the law of that
jurisdiction.
(d) Application of
subparagraph 6A-9-804 (b)(2)(B) to transmitting
utility financing
statement. Subparagraph 6A-9-804 (b)(2)(B)
applies to a financing statement that, before the
amendatory act takes effect, is filed against a transmitting
utility and satisfies the applicable
requirements for perfection under the law of the jurisdiction
governing perfection as provided in
this chapter as it existed before the amendatory act took
effect, only to the extent that this chapter
as amended by the amendatory act provides that the law
of a jurisdiction other than the
jurisdiction in which the financing statement is filed governs
perfection of a security interest in
collateral covered by the financing statement.
(e) Application of
Part 5. A financing statement that includes a financing statement filed
before the amendatory act takes effect and a continuation
statement filed after the amendatory act
takes effect is effective only to the extent that it
satisfies the requirements of Part 5 of this chapter
as amended by the amendatory act for an initial
financing statement. A financing statement that
indicates that the debtor is a decedent’s estate indicates that
the collateral is being administered
by a personal representative within the meaning of
subdivision 6A‑9-503(a)(2) as amended by the
amendatory act. A financing statement that indicates that the
debtor is a trust or is a trustee acting
with respect to property held in trust indicates that the
collateral is held in a trust within the
meaning of subdivision 6A-9-503(a)(3) as amended by the amendatory
act.
6A-9-806. When initial financing statement suffices to continue
effectiveness of
financing statement. -- (a) Initial financing statement in lieu of
continuation statement. The
filing of an initial financing statement in the office
specified in section 6A-9-501 continues the
effectiveness of a financing statement filed before the amendatory
act takes effect if:
(1) The filing of an
initial financing statement in that office would be effective to perfect
a security interest under this chapter as amended by
the amendatory act;
(2) The
pre-effective-date financing statement was filed in an office in another state;
and
(3) The initial
financing statement satisfies subsection (c).
(b) Period of
continued effectiveness. The filing of an initial financing statement under
subsection (a) continues the effectiveness of the pre-effective-date
financing statement:
(1) If the initial
financing statement is filed before the amendatory act takes effect, for the
period provided in section 6A-9-515 before the amendatory
act took effect with respect to an
initial financing statement; and
(2) If the initial
financing statement is filed after the amendatory act takes effect, for the
period provided in section 6A-9-515 as amended by the
amendatory act with respect to an initial
financing statement.
(c) Requirements for
initial financing statement under subsection (a). To be effective for
purposes of subsection (a), an initial financing statement
must:
(1) Satisfy the
requirements of Part 5 of this chapter as amended by the amendatory act
for an initial financing statement;
(2) Identify the
pre-effective-date financing statement by indicating the office in which
the financing statement was filed and providing the dates
of filing and file numbers, if any, of the
financing statement and of the most recent continuation
statement filed with respect to the
financing statement; and
(3) Indicate that the
pre-effective-date financing statement remains effective.
6A-9-807.
Amendment of pre-effective-date financing statement. --
(a) Pre-effective-
date financing statement. In this section, “pre-effective-date
financing statement” means a
financing statement filed before the amendatory act takes
effect.
(b) Applicable
law. After the amendatory act takes effect, a person may add or delete
collateral covered by, continue or terminate the effectiveness
of, or otherwise amend the
information provided in, a pre-effective-date financing statement
only in accordance with the law
of the jurisdiction governing perfection as provided in
this chapter as amended by the amendatory
act. However, the effectiveness of a pre-effective-date
financing statement also may be
terminated in accordance with the law of the jurisdiction in which
the financing statement is filed.
(c) Method of
amending: general rule. Except as otherwise provided in subsection (d), if
the law of this state governs perfection of a security
interest, the information in a pre-effective-
date financing statement may be amended after the
amendatory act takes effect only if:
(1) The
pre-effective-date financing statement and an amendment are filed in the office
specified in section 6A-9-501;
(2) An amendment is
filed in the office specified in section 6A-9-501 concurrently with,
or after the filing in that office of, an initial
financing statement that satisfies subsection 6A-9-
806(c); or
(3) An initial
financing statement that provides the information as amended and satisfies
subsection 6A-9-806(c) is filed in the office specified in
section 6A-9-501.
(d) Method of
amending: continuation. If the law of this state governs perfection of a
security interest, the effectiveness of a pre-effective-date
financing statement may be continued
only under subsections 6A-9-805(c) and (e) or section
6A-9-806.
(e) Method of
amending: additional termination rule. Whether or not the law of this state
governs perfection of a security interest, the effectiveness
of a pre-effective-date financing
statement filed in this state may be terminated after the
amendatory act takes effect by filing a
termination statement in the office in which the
pre-effective-date financing statement is filed,
unless an initial financing statement that satisfies
subsection 6A-9-806(c) has been filed in the
office specified by the law of the jurisdiction governing
perfection as provided in this chapter as
amended by the amendatory act as the office in which to file
a financing statement.
6A-9‑808.
Person entitled to file initial financing statement or continuation
statement. A
person may file an initial financing statement or a continuation statement
under this
part if:
(1) The secured party
of record authorizes the filing; and
(2) The filing is
necessary under this part:
(i)
To continue the effectiveness of a financing statement filed before the
amendatory act
takes effect; or
(ii) To perfect or
continue the perfection of a security interest.
6A-9‑809.
Priority. – The amendatory act determines the
priority of conflicting claims to
collateral. However, if the relative priorities of the claims
were established before the amendatory
act took effect, then this chapter, as it existed before
the amendatory act took effect determines
priority.
SECTION 4. This act shall take effect on July 1, 2013.
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LC01576/SUB B
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