Title 11, Title 11

(1). A secured party has control of a deposit account if: (a). The secured party is the bank with which the deposit account is maintained; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). The debtor, secured party and bank have agreed in a signed record …

(1). A purchaser has control of an authoritative electronic copy of a record evidencing chattel paper if a system employed for evidencing the assignment of interests in the chattel paper reliably establishes the purchaser as the person to which the authoritative electronic copy w…

(1). A person has control of a certificated security, uncertificated security or security entitlement as provided in section 8‑1106. (2). A secured party has control of a commodity contract if: (a). The secured party is the commodity intermediary with which the commodity contract…

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 section 5‑1114, subsection…

(1). A secured party has control of a controllable electronic record as provided in section 12‑105. (2). A secured party has control of a controllable account or controllable payment intangible if the secured party has control of the controllable electronic record that evidences …

(1). A person that has control under section 9‑1104 or 9‑1105‑A is not required to acknowledge that it has control on behalf of another person. (2). If a person acknowledges that it has or will obtain control on behalf of another person, unless the person otherwise agrees or law …

(1). Except as otherwise provided in subsections (3), (4) and (5), a description of personal or real property is sufficient, whether or not it is specific, if it reasonably identifies what is described. (2). Except as otherwise provided in subsection (4), a description of collate…

(1). Except as otherwise provided in subsections (3) and (4), this Article applies to: (a). A transaction, regardless of its form, that creates a security interest in personal property or fixtures by contract; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] …

A security interest arising under section 2‑401, 2‑505, 2‑711, subsection (3), or 2‑1508, subsection (5) is subject to this Article. However, until the debtor obtains possession of the goods: [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (1). The security …

(1). 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. (2). A transaction subject to this Article is subject to any applicable rule of law that esta…

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.

(1). A security interest attaches to collateral when it becomes enforceable against the debtor with respect to the collateral, unless an agreement expressly postpones the time of attachment. (2). Except as otherwise provided in subsections (3) through (9), a security interest is …

(1). Except as otherwise provided in subsection (2), a security agreement may create or provide for a security interest in after-acquired collateral. (2). Subject to subsection (2‑A), a security interest does not attach under a term constituting an after-acquired property clause …

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

(1). A security interest in favor of a securities intermediary attaches to a person's security entitlement if: (a). The person buys a financial asset through the securities intermediary in a transaction in which the person is obligated to pay the purchase price to the securities …

(1). Except as otherwise provided in subsection (4), a secured party shall use reasonable care in the custody and preservation of collateral in the secured party's possession. In the case of chattel paper or an instrument, reasonable care includes taking necessary steps to preser…

(1). This section applies to cases in which there is no outstanding secured obligation and the secured party is not committed to make advances, incur obligations or otherwise give value. (2). Within 20 days after receiving a signed demand by the debtor: (a). A secured party havin…

(1). Except as otherwise provided in subsection (3), this section applies if: (a). There is no outstanding secured obligation; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). The secured party is not committed to make advances, incur obligations or …

(1). In this section: (a). "Request" means a record of a type described in paragraph (b), (c) or (d); [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). "Request for an accounting" means a record signed by a debtor requesting that the recipient provide an …

Except as otherwise provided in sections 9‑1303 to 9‑1306‑B, the following rules determine the law governing perfection, the effect of perfection or nonperfection and the priority of a security interest in collateral. [PL 2023, c. 669, Pt. A, §96 (AMD); PL 2023, c. 669, Pt. E, §1…

While farm products are located in a jurisdiction, the local law of that jurisdiction governs perfection, the effect of perfection or nonperfection and the priority of an agricultural lien on the farm products.

(1). This section applies to goods covered by a certificate of title, even if there is no other relationship between the jurisdiction under whose certificate of title the goods are covered and the goods or the debtor. (2). Goods become covered by a certificate of title when a val…

(1). The local law of a bank's jurisdiction governs perfection, the effect of perfection or nonperfection and the priority of a security interest in a deposit account maintained with that bank even if the transaction does not bear any relation to the bank's jurisdiction. (2). The…

(1). Except as otherwise provided in subsection (3), the following rules apply. (a). While a security certificate is located in a jurisdiction, the local law of that jurisdiction governs perfection, the effect of perfection or nonperfection and the priority of a security interest…

(1). Subject to subsection (3), the local law of the issuer's jurisdiction or a nominated person's jurisdiction governs perfection, the effect of perfection or nonperfection and the priority of a security interest in a letter-of-credit right if the issuer's jurisdiction or nomina…

(1). Except as provided in subsection (4), if chattel paper is evidenced only by an authoritative electronic copy of the chattel paper or is evidenced by an authoritative electronic copy and an authoritative tangible copy, the local law of the chattel paper's jurisdiction governs…

(1). Except as provided in subsection (2), the local law of the controllable electronic record's jurisdiction specified in section 12‑107, subsection (3), paragraphs (c) and (d) governs perfection, the effect of perfection or nonperfection and the priority of a security interest …

(1). In this section, "place of business" means a place where a debtor conducts its affairs. (2). Except as otherwise provided in this section, the following rules determine a debtor's location. (a). A debtor who is an individual is located at the individual's principal residence…

(1). Except as otherwise provided in this section and section 9‑1309, a security interest is perfected if it has attached and all of the applicable requirements for perfection in sections 9‑1310 to 9‑1316 have been satisfied. A security interest is perfected when it attaches if t…

The following security interests are perfected when they attach: [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (1). A purchase-money security interest in a consumer good having a purchase price of $10,000 or less, except as otherwise provided in section 9‑…

(1). Except as otherwise provided in subsection (2) and section 9‑1312, subsection (2), a financing statement must be filed to perfect all security interests and agricultural liens. (2). The filing of a financing statement is not necessary to perfect a security interest: (a). Tha…

(1). Except as otherwise provided in subsection (4), the filing of a financing statement is not necessary or effective to perfect a security interest in property subject to: (a). A statute, regulation, or treaty of the United States whose requirements for a security interest's ob…

(1). A security interest in chattel paper, controllable accounts, controllable electronic records, controllable payment intangibles, instruments, investment property or negotiable documents may be perfected by filing. (2). Except as otherwise provided in section 9‑1315, subsectio…

(1). Except as otherwise provided in subsection (2), a secured party may perfect a security interest in goods, instruments, negotiable tangible documents or money by taking possession of the collateral. A secured party may perfect a security interest in certificated securities by…

(1). A security interest in controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, electronic documents, investment property or letter‑of‑credit rights may be perfected by control of the collateral under section 7‑1106, 9‑1104,…

(1). A secured party may perfect a security interest in chattel paper by taking possession of each authoritative tangible copy of the record evidencing the chattel paper and obtaining control of each authoritative electronic copy of the electronic record evidencing the chattel pa…

(1). Except as otherwise provided in this Article and in section 2‑403, subsection (2): (a). A security interest or agricultural lien continues in collateral notwithstanding sale, lease, license, exchange or other disposition thereof unless the secured party authorized the dispos…

(1). A security interest perfected pursuant to the law of the jurisdiction designated in section 9‑1301, subsection (1), section 9‑1305, subsection (3), section 9‑1306‑A, subsection (4) or section 9‑1306‑B, subsection (2) remains perfected until the earliest of: (a). The time per…

(1). A security interest or agricultural lien is subordinate to the rights of: (a). A person entitled to priority under section 9‑1322; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Except as otherwise provided in subsection (5), a person that bec…

(1). A debtor that has sold an account, chattel paper, payment intangible or promissory note does not retain a legal or equitable interest in the collateral sold. (2). For purposes of determining the rights of creditors of, and purchasers for value of an account or chattel paper …

(1). Except as otherwise provided in subsection (2), for purposes of determining the rights of creditors of, and purchasers for value of goods from, a consignee, while the goods are in the possession of the consignee, the consignee is deemed to have rights and title to the goods …

(1). Except as otherwise provided in subsection (5), 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 by the buyer's seller, even if the security interest is per…

(1). In this section, "licensee in ordinary course of business" means a person that becomes a licensee of a general intangible in good faith, without knowledge that the license violates the rights of another person in the general intangible and in the ordinary course from a perso…

(1). Except as otherwise provided in this section, priority among conflicting security interests and agricultural liens in the same collateral is determined according to the following rules. (a). Conflicting perfected security interests and agricultural liens rank according to pr…

(1). Except as otherwise provided in subsection (3), for purposes of determining the priority of a perfected security interest under section 9‑1322, subsection (1), paragraph (a), perfection of the security interest dates from the time an advance is made to the extent that the se…

(1). Except as otherwise provided in subsection (7), 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 as otherwise provided in section 9‑1327, a perfected secur…