Title 11, Title 11

(1). 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 if: (a). The debtor authorizes the filing in a signed record or pursuant to subsection (2) or (3); …

(1). A filed record is effective only to the extent that it was filed by a person that may file it under section 9‑1509. (2). A record authorized by one secured party of record does not affect the financing statement with respect to another secured party of record. (3). A continu…

(1). 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 financing statement that has been filed. If an initial financing statement is filed unde…

(1). Subject to Section 9‑1509, a person may add or delete collateral covered by, continue or terminate the effectiveness of or, subject to subsection (5), otherwise amend the information provided in a financing statement by filing an amendment that: (a). Identifies, by its file …

(1). 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: (a). There is no obligation secured by the collateral covered by the financing …

(1). Except as otherwise provided in subsection (3), an initial financing statement may reflect an assignment of all of the secured party's power to authorize an amendment to the financing statement by providing the name and mailing address of the assignee as the name and address…

(1). Except as otherwise provided in subsections (2), (5), (6) and (7), a filed financing statement is effective for a period of 5 years after the date of filing. (2). Except as otherwise provided in subsections (5), (6) and (7), an initial financing statement filed in connection…

(1). Except as otherwise provided in subsection (2), 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. (2). Filing does not occur with respect to a record that a filing office refuses to …

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

(1). 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. (2). An information statement under subsection (1) must: (a). Identify…

(1). For each record filed in a filing office, the filing office shall: (a). Assign a unique number to the filed record; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Create a record that bears the number assigned to the filed record and the date and …

(1). A filing office shall refuse to accept a record for filing for a reason set forth in section 9‑1516, subsection (2) and may refuse to accept a record for filing only for a reason set forth in section 9‑1516, subsection (2). (2). If a filing office refuses to accept a record …

(1). Except for a reason set forth in section 9‑1516, subsection (2), a filing office that accepts written records may not refuse to accept a written initial financing statement in a form and format: (a). Approved by the International Association of Commercial Administrators or s…

(1). 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 9‑1515 with respect to all secured parties of record. The record must be ret…

(1). If a person that files a written record requests an acknowledgment of the filing, the filing office shall send to the person an image of the record showing the number assigned to the record pursuant to section 9‑1519, subsection (1), paragraph (a) and the date and time of th…

Delay by the filing office beyond a time limit prescribed by this part is excused if: [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (1). The delay is caused by interruption of communication or computer facilities, war, emergency conditions, failure of equi…

(1). Except as otherwise provided in subsections (2), (5) and (6), the fee for filing and indexing a record under this Part, other than an initial financing statement of the kind described in subsection (2) is: (a). Fifteen dollars if the record is communicated in writing and con…

(1). The Secretary of State shall adopt and publish rules to implement this Article. The filing-office rules must be: (a). Consistent with this Article; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Adopted and published in accordance with Title 5…

(1). After default, a secured party has the rights provided in this part and, except as otherwise provided in section 9‑1602, those provided by agreement of the parties. A secured party: (a). May reduce a claim to judgment or foreclose or otherwise enforce the claim, security int…

Except as otherwise provided in section 9‑1624, to the extent that they 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: [PL 1999, c. 699, Pt. A, §2 (NEW); PL 19…

(1). 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 9‑1602 if the standards are not manifestly unreasonable. (2). Subsection (1) does not apply to…

(1). If a security agreement covers both personal and real property, a secured party may proceed: (a). Under this part as to the personal property without prejudicing any rights with respect to the real property; or [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (A…

Except as provided in this section, a secured party does not owe a duty based on its status as secured party: [PL 2023, c. 669, Pt. A, §144 (AMD); PL 2023, c. 669, Pt. E, §1 (AFF).] (1). To a person that is a debtor or obligor unless the secured party knows: (a). That the person …

For purposes of this part, 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.

(1). If so agreed, and in any event after default, a secured party: (a). 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; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c.…

(1). If a security interest or agricultural lien secures payment or performance of an obligation, the following rules apply. (a). A secured party shall apply or pay over for application the cash proceeds of collection or enforcement under section 9‑1607 in the following order to:…

(1). After default, a secured party: (a). May take possession of the collateral; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Without removal, may render equipment unusable and dispose of collateral on a debtor's premises under section 9‑1610. [P…

(1). 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. (2). Every aspect of a disposition of collateral, including the method, m…

(1). In this section, "notification date" means the earlier of the date on which: (a). A secured party sends to the debtor and any secondary obligor a signed notification of disposition; or [PL 2023, c. 669, Pt. A, §146 (AMD); PL 2023, c. 669, Pt. E, §1 (AFF).] (b). The debtor an…

(1). Except as otherwise provided in subsection (2), whether a notification is sent within a reasonable time is a question of fact. (2). In a transaction other than a consumer transaction, a notification of disposition sent after default and 10 days or more before the earliest ti…

Except in a consumer-goods transaction, the following rules apply. [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (1). The contents of a notification of disposition are sufficient if the notification: (a). Describes the debtor and the secured party; [PL 199…

In a consumer-goods transaction, the following rules apply. [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (1). A notification of disposition must provide the following information: (a). The information specified in section 9‑1613, subsection (1); [PL 1999,…

(1). A secured party shall apply or pay over for application the cash proceeds of disposition under section 9‑1610 in the following order to: (a). The reasonable expenses of retaking, holding, preparing for disposition, processing and disposing and, to the extent provided for by …

(1). In this section: (a). "Explanation" means a record that: (i) States the amount of the surplus or deficiency; (ii) Provides an explanation in accordance with subsection (3) of how the secured party calculated the surplus or deficiency; (iii) States, if applicable, that future…

(1). A secured party's disposition of collateral after default: (a). Transfers to a transferee for value all of the debtor's rights in the collateral; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Discharges the security interest under which the dispo…

(1). A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor: (a). Receives an assignment of a secured obligation from the secured party; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AF…

(1). In this section, "transfer statement" means a record signed by a secured party stating: (a). That the debtor has defaulted in connection with an obligation secured by specified collateral; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 2023, c. 699, Pt. A, §4 (AFF).] (b). That the se…

(1). Except as otherwise provided in subsection (7), a secured party may accept collateral in full or partial satisfaction of the obligation it secures only if: (a). The debtor consents to the acceptance under subsection (3); [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt…

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

(1). A secured party's acceptance of collateral in full or partial satisfaction of the obligation it secures: (a). Discharges the obligation to the extent consented to by the debtor; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).] (b). Transfers to the secur…

(1). A debtor, any secondary obligor or any other secured party or lienholder may redeem collateral. (2). To redeem collateral, a person shall tender: (a). Fulfillment of all obligations secured by the collateral; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 …

(1). A debtor or secondary obligor may waive the right to notification of disposition of collateral under section 9‑1611 only by an agreement to that effect entered into and signed after default. (2). A debtor may waive the right to require disposition of collateral under section…

(1). If it is established that a secured party is not proceeding in accordance with this Article, a court may order or restrain collection, enforcement or disposition of collateral on appropriate terms and conditions. (2). Subject to subsections (3), (4) and (6), a person is liab…

(1). 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. (a). A secured party need not prove compliance with the provisions of this part relating to collection, enforcem…

(1). 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 th…

(1). Subject to subsection (6), 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: (a). The secured party is not liable to the person or to a secured party or lienholder that has filed …