Title 47 — Uniform Commercial Code

A. Except as otherwise provided in subsections B, E, F and G of this section, a filed financing statement is effective for a period of five years after the date of filing. B. Except as otherwise provided in subsections E, F and G of this section, an initial financing statement fi…

A. Except as otherwise provided in subsection B of this section, 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. Filing does not occur with respect to a record that a filing office r…

The failure of the filing office to index a record correctly does not affect the effectiveness of the filed record.

A. A person may file in the filing office 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. An information statement under subsection A of this section must: 1. …

A. For each record filed in a filing office, the filing office shall: 1. Assign a unique number to the filed record; 2. Create a record that bears the number assigned to the filed record and the date and time of filing; 3. Maintain the filed record for public inspection; and 4. I…

A. A filing office shall refuse to accept a record for filing for a reason set forth in section 47-9516, subsection B and may refuse to accept a record for filing only for a reason set forth in section 47-9516, subsection B. B. If a filing office refuses to accept a record for fi…

B. A filing office that accepts written records may not refuse to accept a written record in the form and format set forth as Form UCC3 and Form UCC3Ad in the final official text of the 2010 amendments to article 9 of the uniform commercial code promulgated by the American law in…

A. The filing office shall maintain a record of the information provided in a filed financing statement for at least one year after the effectiveness of the financing statement has lapsed under section 47-9515 with respect to all secured parties of record. The record shall be ret…

A. If a person that files a written record requests an acknowledgment of the filing, the filing office shall provide to the person an image of the record showing the number assigned to the record pursuant to section 47-9519, subsection A, paragraph 1 and the date and time of the …

Delay by the filing office beyond a time limit prescribed by this article is excused if: 1. The delay is caused by interruption of communication or computer facilities, war, emergency conditions, failure of equipment or other circumstances beyond control of the filing office; and…

A. Except as otherwise provided in subsection E of this section and except for a filing office described in section 47-9501, subsection A, paragraph 1, the fee for filing and indexing a record under this article, other than an initial financing statement of the kind described in …

A. The secretary of state shall adopt rules to implement this chapter. The filing office rules must be: 1. Consistent with this article; and 2. Adopted pursuant to title 41, chapter 6. B. To keep the filing office rules and practices of the filing office in harmony with the rules…

A. A person who causes a record to be filed or recorded in a filing office and who knows or has reason to know that the record is unauthorized under section 47-9509 or that the record contains a material misstatement or false claim is liable to a debtor, a consumer obligor, a per…

A. A nonconsensual lien, other than a lien filed by a governmental entity or political subdivision or agency, a validly licensed utility or water delivery company, a mechanics' lien claimant or an entity created under covenants, conditions, restrictions or declarations affecting …

A. After default, a secured party has the rights provided in this article and, except as otherwise provided in section 47-9602, those provided by agreement of the parties. A secured party: 1. May reduce a claim to judgment, foreclose or otherwise enforce the claim, security inter…

Except as otherwise provided in section 47-9624, to the extent that the rules give rights to a debtor or obligor and impose duties on a secured party, the debtor or obligor may not waive or vary the rules stated in the following listed sections: 1. Section 47-9207, subsection B, …

A. The parties may determine by agreement the standards measuring the fulfillment of the rights of a debtor or obligor and the duties of a secured party under a rule stated in section 47-9602 if the standards are not manifestly unreasonable. B. Subsection A of this section does n…

A. If a security agreement covers both personal and real property, a secured party may proceed: 1. Under this article as to the personal property without prejudicing any rights with respect to the real property; or 2. As to both the personal property and the real property in acco…

A secured party does not owe a duty based on its status as secured party: 1. To a person that is a debtor or obligor, unless the secured party knows: (a) That the person is a debtor or obligor; (b) The identity of the person; and (c) How to communicate with the person; or 2. To a…

For purposes of this article, a default occurs in connection with an agricultural lien at the time the secured party becomes entitled to enforce the lien in accordance with the statute under which it was created.

A. 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 part…

A. If a security interest or agricultural lien secures payment or performance of an obligation, the following rules apply: 1. A secured party shall apply or pay over for application the cash proceeds of collection or enforcement under section 47-9607 in the following order to: (a…

A. After default, a secured party: 1. May take possession of the collateral; and 2. Without removal, may render equipment unusable and dispose of collateral on a debtor's premises under section 47-9610. B. A secured party may proceed under subsection A of this section: 1. Pursuan…

A. After default, a secured party may sell, lease, license or otherwise dispose of any or all of the collateral in its present condition or following any commercially reasonable preparation or processing. B. Every aspect of a disposition of collateral, including the method, manne…

A. In this section, "notification date" means the earlier of the date on which: 1. A secured party sends to the debtor and any secondary obligor an authenticated notification of disposition; or 2. The debtor and any secondary obligor waive the right to notification. B. Except as …

A. Except as otherwise provided in subsection B, whether a notification is sent within a reasonable time is a question of fact. B. In a transaction other than a consumer transaction, a notification of disposition sent after default and ten days or more before the earliest time of…

Except in a consumer goods transaction, the following rules apply: 1. The contents of a notification of disposition are sufficient if the notification: (a) Describes the debtor and the secured party; (b) Describes the collateral that is the subject of the intended disposition; (c…

In a consumer goods transaction, the following rules apply: 1. A notification of disposition must provide the following information: (a) The information specified in section 47-9613, paragraph 1; (b) A description of any liability for a deficiency of the person to which the notif…

A. A secured party shall apply or pay over for application the cash proceeds of disposition under section 47-9610 in the following order to: 1. The reasonable expenses of retaking, holding, preparing for disposition, processing and disposing, and, to the extent provided for by ag…

A. In this section: 1. "Explanation" means a writing that: (a) States the amount of the surplus or deficiency; (b) Provides an explanation in accordance with subsection C of this section of how the secured party calculated the surplus or deficiency; (c) States, if applicable, tha…

A. A secured party's disposition of collateral after default: 1. Transfers to a transferee for value all of the debtor's rights in the collateral; 2. Discharges the security interest under which the disposition is made; and 3. Discharges any subordinate security interest or other…

A. A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor: 1. Receives an assignment of a secured obligation from the secured party; 2. Receives a transfer of collateral from the secured party and agree…

A. In this section, "transfer statement" means a record authenticated by a secured party and stating: 1. That the debtor has defaulted in connection with an obligation secured by specified collateral; 2. That the secured party has exercised its postdefault remedies with respect t…

A. Except as otherwise provided in subsection G of this section, a secured party may accept collateral in full or partial satisfaction of the obligation it secures only if: 1. The debtor consents to the acceptance under subsection C of this section; 2. The secured party does not …

A. A secured party that desires to accept collateral in full or partial satisfaction of the obligation it secures shall send its proposal to: 1. Any person from which the secured party has received, before the debtor consented to the acceptance, an authenticated notification of a…

A. A secured party's acceptance of collateral in full or partial satisfaction of the obligation it secures: 1. Discharges the obligation to the extent consented to by the debtor; 2. Transfers to the secured party all of a debtor's rights in the collateral; 3. Discharges the secur…

A. A debtor, any secondary obligor or any other secured party or lienholder may redeem collateral. B. To redeem collateral, a person shall tender: 1. Fulfillment of all obligations secured by the collateral; and 2. The reasonable expenses and attorney fees described in section 47…

A. A debtor or secondary obligor may waive the right to notification of disposition of collateral under section 47-9611 only by an agreement to that effect entered into and authenticated after default. B. A debtor may waive the right to require disposition of collateral under sec…

A. 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. Subject to subsections C, D and F of this section, a person i…

A. In an action arising from a transaction, other than a consumer transaction, in which the amount of a deficiency or surplus is in issue, the following rules apply: 1. A secured party need not prove compliance with the provisions of this article relating to collection, enforceme…

A. The fact that a greater amount could have been obtained by a collection, enforcement, disposition or acceptance at a different time or in a different method from that selected by the secured party is not of itself sufficient to preclude the secured party from establishing that…

A. Unless a secured party knows that a person is a debtor or obligor, knows the identity of the person and knows how to communicate with the person: 1. The secured party is not liable to the person, or to a secured party or lienholder that has filed a financing statement against …

This chapter, as added in 1999, takes effect on July 1, 2001.

A. Except as otherwise provided in this article, this chapter, as added in 1999, applies to a transaction or lien within its scope, even if the transaction or lien was entered into or created before July 1, 2001. B. Except as otherwise provided in subsection C of this section and…

A. A security interest that is enforceable immediately before July 1, 2001 and would have priority over the rights of a person that becomes a lien creditor at that time is a perfected security interest under this chapter, as added in 1999, if, on July 1, 2001, the applicable requ…

A security interest that is enforceable immediately before July 1, 2001 but that would be subordinate to the rights of a person that becomes a lien creditor at that time: 1. Remains an enforceable security interest for one year after July 1, 2001; 2. Remains enforceable thereafte…

A. If action, other than the filing of a financing statement, is taken before July 1, 2001 and the action would have resulted in priority of a security interest over the rights of a person that becomes a lien creditor had the security interest become enforceable before July 1, 20…

A. The filing of an initial financing statement in the office specified in section 47-9501 continues the effectiveness of a financing statement filed before July 1, 2001 if: 1. The filing of an initial financing statement in that office would be effective to perfect a security in…

A. In this section, "pre-effective-date financing statement" means a financing statement filed before July 1, 2001. B. After July 1, 2001, a person may add or delete collateral covered by, continue or terminate the effectiveness of, or otherwise amend the information provided in,…

A person may file an initial financing statement or a continuation statement under this article if: 1. The secured party of record authorizes the filing; and 2. The filing is necessary under this article: (a) To continue the effectiveness of a financing statement filed before Jul…