Chapter 810 — COMMERCIAL CODE

(810 ILCS 5/9-328) Sec. 9-328. Priority of security interests in investment property. 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 un…

(810 ILCS 5/9-329) Sec. 9-329. Priority of security interests in letter-of-credit right. 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-cr…

(810 ILCS 5/9-329.1) Sec. 9-329.1. Priority of Security Interests in Beneficial Interest in an Illinois Land Trust. The following rules govern priority among conflicting security interests in the same beneficial interest in an Illinois land trust: (1) A security interest held by …

(810 ILCS 5/9-330) Sec. 9-330. Priority of purchaser of chattel paper or instrument. (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…

(810 ILCS 5/9-331) Sec. 9-331. Priority of rights of purchasers of controllable accounts, controllable electronic records, controllable payment intangibles, documents, instruments, and securities under other Articles; priority of interests in financial assets and security entitle…

(810 ILCS 5/9-332) Sec. 9-332. Transfer of money; transfer of funds from deposit account. (a) Transferee of tangible money. A transferee of tangible money takes the money free of a security interest if the transferee receives possession of the money without acting in collusion wi…

(810 ILCS 5/9-333) Sec. 9-333. Priority of certain liens arising by operation of law. (a) "Possessory lien." In this Section, "possessory lien" means an interest, other than a security interest or an agricultural lien: (1) which secures payment or performance of an obligation for…

(810 ILCS 5/9-334) Sec. 9-334. Priority of security interests in fixtures and crops. (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 in…

(810 ILCS 5/9-335) Sec. 9-335. Accessions. (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 c…

(810 ILCS 5/9-336) Sec. 9-336. Commingled goods. (a) "Commingled goods." In this Section, "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 …

(810 ILCS 5/9-337) Sec. 9-337. Priority of security interests in goods covered by certificate of title. If, while a security interest in goods is perfected by any method under the law of another jurisdiction, this State issues a certificate of title that does not show that the go…

(810 ILCS 5/9-338) Sec. 9-338. Priority of security interest or agricultural lien perfected by filed financing statement providing certain incorrect information. If a security interest or agricultural lien is perfected by a filed financing statement providing information describe…

(810 ILCS 5/9-339) Sec. 9-339. Priority subject to subordination. This Article does not preclude subordination by agreement by a person entitled to priority. (Source: P.A. 91-893, eff. 7-1-01.)

(810 ILCS 5/9-340) Sec. 9-340. Effectiveness of right of recoupment or set-off against deposit account. (a) Exercise of recoupment or set-off. Except as otherwise provided in subsection (c), a bank with which a deposit account is maintained may exercise any right of recoupment or…

(810 ILCS 5/9-341) Sec. 9-341. Bank's rights and duties with respect to deposit account. Except as otherwise provided in Section 9-340(c), and unless the bank otherwise agrees in a signed record, a bank's rights and duties with respect to a deposit account maintained with the ban…

(810 ILCS 5/9-342) Sec. 9-342. Bank's right to refuse to enter into or disclose existence of control agreement. This Article does not require a bank to enter into an agreement of the kind described in Section 9-104(a)(2), even if its customer so requests or directs. A bank that h…

(810 ILCS 5/9-401) (from Ch. 26, par. 9-401) Sec. 9-401. Alienability of debtor's rights. (a) Other law governs alienability; exceptions. Except as otherwise provided in subsection (b) and Sections 9-406, 9-407, 9-408, and 9-409, whether a debtor's rights in collateral may be vol…

(810 ILCS 5/9-401A) Sec. 9-401A. (Blank). (Source: P.A. 90-300, eff. 1-1-98; 91-893, eff. 7-1-01.)

(810 ILCS 5/9-402) (from Ch. 26, par. 9-402) Sec. 9-402. Secured party not obligated on contract of debtor or in tort. The existence of a security interest, agricultural lien, or authority given to a debtor to dispose of or use collateral, without more, does not subject a secured…

(810 ILCS 5/9-403) (from Ch. 26, par. 9-403) Sec. 9-403. Agreement not to assert defenses against assignee. (a) "Value." In this Section, "value" has the meaning provided in Section 3-303(a). (b) Agreement not to assert claim or defense. Except as otherwise provided in this Secti…

(810 ILCS 5/9-404) (from Ch. 26, par. 9-404) Sec. 9-404. Rights acquired by assignee; claims and defenses against assignee. (a) Assignee's rights subject to terms, claims, and defenses; exceptions. Unless an account debtor has made an enforceable agreement not to assert defenses …

(810 ILCS 5/9-404.5) Sec. 9-404.5. Termination statement; duties of filing officer. (1) If a financing statement covering consumer goods is filed on or after July 1, 1973, then within one month or within 10 days following written demand by the debtor after there is no outstanding…

(810 ILCS 5/9-405) (from Ch. 26, par. 9-405) Sec. 9-405. Modification of assigned contract. (a) Effect of modification on assignee. A modification of or substitution for an assigned contract is effective against an assignee if made in good faith. The assignee acquires correspondi…

(810 ILCS 5/9-406) (from Ch. 26, par. 9-406) Sec. 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…

(810 ILCS 5/9-407) (from Ch. 26, par. 9-407) Sec. 9-407. Restrictions on creation or enforcement of security interest in leasehold interest or in lessor's residual interest. (a) Term restricting assignment generally ineffective. Except as otherwise provided in subsection (b), a t…

(810 ILCS 5/9-408) (from Ch. 26, par. 9-408) Sec. 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 subsecti…

(810 ILCS 5/9-409) Sec. 9-409. Restrictions on assignment of letter-of-credit rights ineffective. (a) Term or law restricting assignment generally ineffective. A term in a letter of credit or a rule of law, statute, regulation, custom, or practice applicable to the letter of cred…

(810 ILCS 5/9-410) Sec. 9-410. (Blank). (Source: P.A. 91-893, eff. 7-1-01.)

(810 ILCS 5/9-501) (from Ch. 26, par. 9-501) Sec. 9-501. Filing office. (a) Filing offices. Except as otherwise provided in subsection (b), if the local law of this State governs perfection of a security interest or agricultural lien, the office in which to file a financing state…

(810 ILCS 5/9-501.1) Sec. 9-501.1. Fraudulent records. (a) No person shall cause to be communicated to the filing office for filing a false record the person knows or reasonably should know: (1) is not authorized or permitted under Section 9-509, 9-708, or 9-808 of this Article; …

(810 ILCS 5/9-502) (from Ch. 26, par. 9-502) Sec. 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 …

(810 ILCS 5/9-503) (from Ch. 26, par. 9-503) Sec. 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) except as otherwise provided in paragraph (3), if the debtor is a registered organi…

(810 ILCS 5/9-504) (from Ch. 26, par. 9-504) Sec. 9-504. Indication of collateral. A financing statement sufficiently indicates the collateral that it covers if the financing statement provides: (1) a description of the collateral pursuant to Section 9-108; or (2) an indication t…

(810 ILCS 5/9-505) (from Ch. 26, par. 9-505) Sec. 9-505. Filing and compliance with other statutes and treaties for consignments, leases, other bailments, and other transactions. (a) Use of terms other than "debtor" and "secured party." A consignor, lessor, or other bailor of goo…

(810 ILCS 5/9-506) (from Ch. 26, par. 9-506) Sec. 9-506. Effect of errors or omissions. (a) Minor errors and omissions. A financing statement substantially satisfying the requirements of this Part is effective, even if it has minor errors or omissions, unless the errors or omissi…

(810 ILCS 5/9-507) (from Ch. 26, par. 9-507) Sec. 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…

(810 ILCS 5/9-508) Sec. 9-508. Effectiveness of financing statement if new debtor becomes bound by security agreement. (a) Financing statement naming original debtor. Except as otherwise provided in this Section, a filed financing statement naming an original debtor is effective …

(810 ILCS 5/9-509) Sec. 9-509. Persons entitled to file a record. (a) Person entitled to file record. A person may file an initial financing statement, amendment that adds collateral covered by a financing statement, or amendment that adds a debtor to a financing statement only i…

(810 ILCS 5/9-510) Sec. 9-510. Effectiveness of filed record. (a) Filed record effective if authorized. A filed record is effective only to the extent that it was filed by a person that may file it under Section 9-509. (b) Authorization by one secured party of record. A record au…

(810 ILCS 5/9-511) Sec. 9-511. Secured party of record. (a) Secured party of record. A secured party of record with respect to a financing statement is a person whose name is provided as the name of the secured party or a representative of the secured party in an initial financin…

(810 ILCS 5/9-512) Sec. 9-512. Amendment of financing statement. (a) Amendment of information in financing statement. Subject to Section 9-509, a person may add or delete collateral covered by, continue or terminate the effectiveness of, or, subject to subsection (e), otherwise a…

(810 ILCS 5/9-513) Sec. 9-513. Termination statement. (a) Consumer goods. A secured party shall cause the secured party of record for a financing statement to file a termination statement for the financing statement if the financing statement covers consumer goods and: (1) there …

(810 ILCS 5/9-514) Sec. 9-514. Assignment of powers of secured party of record. (a) Assignment reflected on initial financing statement. Except as otherwise provided in subsection (c), an initial financing statement may reflect an assignment of all of the secured party's power to…

(810 ILCS 5/9-515) Sec. 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 y…

(810 ILCS 5/9-516) Sec. 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…

(810 ILCS 5/9-517) Sec. 9-517. Effect of indexing errors. The failure of the filing office to index a record correctly does not affect the effectiveness of the filed record. (Source: P.A. 91-893, eff. 7-1-01.)

(810 ILCS 5/9-518) Sec. 9-518. Claim concerning inaccurate or wrongfully filed record. (a) Statement with respect to record indexed under a person's name. A person may file in the filing office an information statement with respect to a record indexed there under the person's nam…

(810 ILCS 5/9-519) Sec. 9-519. Numbering, maintaining, and indexing records; communicating information provided in records. (a) Filing office duties. For each record filed in a filing office, the filing office shall: (1) assign a unique number to the filed record; (2) create a re…

(810 ILCS 5/9-520) Sec. 9-520. Acceptance and refusal to accept record. (a) Mandatory refusal to accept record. A filing office shall refuse to accept a record for filing for a reason set forth in Section 9-516(b) and may refuse to accept a record for filing only for a reason set…

(810 ILCS 5/9-521) Sec. 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 form and format set forth in the offi…