Title 11 — Commercial Code

This article may be cited as “Uniform Commercial Code — Secured Transactions.” History. Code 1981, § 11-9-101, enacted by Ga. L. 2001, p. 362, § 1.

(a) Article 9 definitions. As used in this article, the term: (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. 700 11-9-102 (2) “Account,” except as used in “account for,” means a right to…

Recoupment. Banks exercising against secured party, §11-9-340. Registered organization. Defined, §11-9-102. Location, §11-9-307. Revised article 9. Effective date, §11-11-101. Old transition provisions. Preservation, §11-11-102. Presumption that rule of law continues unchanged, §1…

(a) Requirements for control. A secured party has control of a deposit account if: (1) The secured party is the bank with which the deposit account is maintained; (2) The debtor, secured party, and bank have agreed in an authenticated record that the bank will comply with instruc…

(a) General rule; control of electronic chattel paper. A secured party has control of 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 as…

(a) Control under Code Section 11-8-106. A person has control of a certificated security, uncertificated security, or security entitlement as provided in Code Section 11-8-106. (b) Control of commodity contract. A secured party has control of a commodity contract if: (1) The secure…

A secured party has control of a letter of credit right to the extent of any right to payment or performance by the issuer or any nominated person if the issuer or nominated person has consented to an assignment of proceeds of the letter of credit under subsection (c) of Code Sec…

(a) Sufficiency of description. Except as otherwise provided in subsections (c), (d), and (e) of this Code section, a description of personal or real property is sufficient, whether or not it is specific, if it reasonably identifies what is described. (b) Examples of reasonable ide…

(a) General scope of article. Except as otherwise provided in subsections (c) and (d) of this Code section, this article applies to: (1) A transaction, regardless of its form, that creates a security interest in personal property or fixtures by contract; 729 11-9-109 (2) An agricu…

C. & F. terms. Bill of lading required in overseas shipments, §11-2-323. Casualty to identified goods, §11-2-613. C.I.F. terms. Bill of lading required in overseas shipments, §11-2-323. Condition. Delivery on, §11-2-507. Cure by seller of improper tender or delivery, §11-2-508. De…

(a) General effectiveness. Except as otherwise provided in this title, a security agreement is effective according to its terms between the parties, against purchasers of the collateral, and against creditors. (b) Applicable consumer laws and other law. A transaction subject to t…

Except as otherwise provided with respect to consignments or sales of accounts, chattel paper, payment intangibles, or promissory notes, the provisions of this article with regard to rights and obligations apply whether title to collateral is in the secured party or the debtor. 7…

Security interest arising in purchase or delivery of, §11-9-206. 1057 INDEX SECURED TRANSACTIONS —Cont’d Attachment of security interest —Cont’d Perfection. Security interests perfected upon attachment, §11-9-309. Banks. Bank branch or bank agency, location. Foreign branch or age…

(a) After acquired collateral. Except as otherwise provided in subsection (b) of this Code section, a security agreement may create or provide for a security interest in after acquired collateral. (b) When after acquired property clause not effective. A security interest does not…

(a) When security interest not invalid or fraudulent. A security interest is not invalid or fraudulent against creditors solely because: (1) The debtor has the right or ability to: (A) Use, commingle, or dispose of all or part of the collateral, including returned or repossessed …

Definitions and index of definitions. Purchase money security interest; application of payments; burden of establishing. Control of deposit account. Control of electronic chattel paper. Control of investment property. Control of letter of credit right. Sufficiency of description. S…

Control, §11-9-105. Perfection by control, §11-9-314. Defined, §11-9-102. Enforceability of security interest, §11-9-203. 1059 INDEX SECURED TRANSACTIONS —Cont’d Fees. Filing office, §11-9-525. Filing. Revisions to article, §§11-12-101, 11-12-102. Filing office, §11-9-501.

Secured party having, §§11-9-207, 11-9-208. Electronic chattel paper.

Letter-of-credit rights, §11-9-306. Letter-of-credit rights. Law governing, §11-9-306. Perfection by control, §11-9-314. Security interests in, §11-9-312. Money. Security interests in, §11-9-312. Possession by secured party. Perfection of security interest without filing, §11-9-31…

Title to collateral immaterial. Attachment and enforceability of security interest; 11-9-305. 689 Law governing perfection and priority of security interests. Law governing perfection and priority of agricultural liens. Law governing perfection and priority of security interests …

(a) “Place of business.” As used in this Code section, the term “place of business” means a place where a debtor conducts its affairs. (b) Debtor’s location; general rules. Except as otherwise provided in this Code section, the following rules determine a debtor’s location: (1) A…

The following security interests are perfected when they attach: (1) A purchase money security interest in consumer goods, except as otherwise provided in subsection (b) of Code Section 11-9-311 with respect to consumer goods that are subject to a statute or treaty described in s…

Filed statement containing incorrect information, §11-9-338. Fixtures and crops, §11-9-334. Future advances, §11-9-323. Interest after sale of right to payment, §11-9-318. Investment property, §11-9-312. Interests in, §11-9-328. Law governing, §11-9-305. Law governing, generally,…

Priority of security interests. Accessions, §11-9-335. Agricultural liens. Agricultural liens on same collateral, §11-9-322. Crops produced with new value, §11-9-322.1. Filed financing statement providing certain incorrect information. Agricultural lien perfected by, §11-9-338. CO…

Perfection by control, §11-9-314. Security interests in, §11-9-312. Law governing, §11-9-301. Agricultural liens, §11-9-302. Deposit accounts, §11-9-304. Goods covered by certificate of title, §11-9-303. Investment property, §11-9-305. Letter-of-credit rights, §11-9-306. Letter-of…

(a) Perfection by control. A security interest in investment property, deposit accounts, letter of credit rights, electronic chattel paper, or electronic documents may be perfected by control of the collateral under Code Section 11-7-106, 11-9-104, 11-9-105, 11-9-106, or 11-9-107…

Request regarding, §11-9-210. Possession of collateral. Rights and duties of secured party having, §11-9-207. Title immaterial, §11-9-202. Transferred collateral. Priority of security interests in, §11-9-325. Use permissible, §11-9-205.

(a) General rule; effect on perfection of change in governing law. A security interest perfected pursuant to the law of the jurisdiction designated in paragraph (1) of Code Section 11-9-301 or subsection (c) of Code Section 11-9-305 remains perfected until the earliest of: (1) Th…

When perfected, §11-9-308. Applicability of other statutes and treaties, §11-9-311. Attachment, perfection on, §11-9-309. Buyers of goods, §11-9-320. Certificate of title, goods covered by. Interests in, §11-9-337. Law governing, §11-9-303. Chattel paper, §11-9-312. Priority of pu…

Crops, §11-9-334. Deposit account, §11-9-327. Transfer of funds from, §11-9-332. Filed financing statement providing certain incorrect information. Security interest perfected by, §11-9-338. Financial asset.

(a) Buyer in ordinary course of business. Except as otherwise provided in subsection (e) of this Code section, a buyer in ordinary course of business, other than a person buying farm products from a person engaged in farming operations, takes free of a security interest created b…

Security interests created by, §11-9-326. Property tax liens and other state tax liens, §11-9-333. Purchase-money security interests, §11-9-324. Purchasers of instruments, documents, and securities under other provisions. Priority of rights of, §11-9-331. Sale of right to payment…

Rights and title with respect to creditors and purchasers, §11-9-319. Construction mortgage, §11-9-334.

A perfected security interest in growing crops for new value given to enable the debtor to produce the crops during the production season and given not more than three months before the crops become growing crops by planting or otherwise takes priority over an earlier perfected s…

(a) When priority based on time of advance. Except as otherwise provided in subsection (b) of this Code section, for purposes of determining the priority of a perfected security interest under paragraph (1) of subsection (a) of Code Section 11-9-322, perfection of the security in…

(a) General rule; purchase money priority. Except as otherwise provided in subsection (g) of this Code section, a perfected purchase money security interest in goods other than inventory or livestock has priority over a conflicting security interest in the same goods, and, except …

(a) Subordination of security interest in transferred collateral. Except as otherwise provided in subsection (b) of this Code section, a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if: (1) The debtor…

(a) Subordination of security interest created by new debtor. Subject to subsection (b) of this Code section, a security interest that is created by a new debtor in collateral in which the new debtor has or acquires rights and is perfected solely by a filed financing statement that…

The following rules govern priority among conflicting security interests in the same deposit account: (1) A security interest held by a secured party having control of the deposit account under Code Section 11-9-104 has priority over a conflicting security interest held by a secure…

The following rules govern priority among conflicting security interests in the same investment property: (1) A security interest held by a secured party having control of investment property under Code Section 11-9-106 has priority over a security interest held by a secured party…

The following rules govern priority among conflicting security interests in the same letter of credit right: (1) A security interest held by a secured party having control of the letter of credit right under Code Section 11-9-107 has priority to the extent of its control over a co…

(a) Purchaser’s priority; security interest claimed merely as proceeds. A purchaser of chattel paper has priority over a security interest in the chattel paper which is claimed merely as proceeds of inventory subject to a security interest if: (1) In good faith and in the ordinar…

Security interest in, §11-9-334. Future advances, §11-9-323. Investment property, §11-9-328. Law governing, §11-9-301. Agricultural liens, §11-9-302. Deposit accounts, §11-9-304. Goods covered by certificate of title, §11-9-303. Investment property, §11-9-305. Letter-of-credit rig…

(a) Year’s support; property taxes; other state taxes; other taxes or judgments. Except as is expressly provided to the contrary elsewhere in this article and in subsection (b) of this Code section, a perfected security interest in collateral takes priority over each and all of t…

(a) Security interest in fixtures under this article. A security interest under this article may be created in goods that are fixtures or may continue in goods that become fixtures. A security interest does not exist under this article in ordinary building materials incorporated int…

(a) Creation of security interest in accession. A security interest may be created in an accession and continues in collateral that becomes an accession. (b) Perfection of security interest. If a security interest is perfected when the collateral becomes an accession, the securit…

(a) “Commingled goods.” As used in this Code section, the term “commingled goods” means goods that are physically united with other goods in such a manner that their identity is lost in a product or mass. (b) No security interest in commingled goods as such. A security interest d…

Health-care-insurance receivables. Third parties. Assignments, restrictions, §§11-9-406, 11-9-408. Identification and proof of assignment. Leases. Restrictions on security interest in leasehold interest or in lessor’s residual interest, §11-9-407. Investment property.

Priority of certain interests in, §11-9-331. 1098 INDEX UNIFORM COMMERCIAL CODE —Cont’d Secured transactions —Cont’d Priority of security interests —Cont’d Fixtures. Security interest in, §11-9-334. Future advances, §11-9-323. Investment property, §11-9-328. Law governing, §11-9-…

This article does not preclude subordination by agreement by a person entitled to priority. History. Code 1981, § 11-9-339, enacted by Ga. L. 2001, p. 362, § 1.