Title UCC, Uniform Commercial Code

Section 9--319. Rights and Title of Consignee with Respect to Creditors and Purchasers. (a) Consignee has consignor's rights. Except as otherwise provided in subsection (b), for purposes of determining the rights of creditors of, and purchasers for value of goods from, a consigne…

Section 9--320. Buyer of Goods. (a) Buyer in ordinary course of business. Except as otherwise provided in subsection (e), 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 interes…

Section 9--321. Licensee of General Intangible and Lessee of Goods in Ordinary Course of Business. (a) "Licensee in ordinary course of business." In this section, "licensee in ordinary course of business" means a person that becomes a licensee of a general intangible in good fait…

Section 9--322. Priorities among Conflicting Security Interests in and Agricultural Liens on Same Collateral. (a) General priority rules. Except as otherwise provided in this section, priority among conflicting security interests and agricultural liens in the same collateral is d…

Section 9--323. Future Advances. (a) When priority based on time of advance. Except as otherwise provided in subsection (c), for purposes of determining the priority of a perfected security interest under Section 9--322(a)(1), perfection of the security interest dates from the ti…

Section 9--324. Priority of Purchase-money Security Interests. (a) General rule: purchase-money priority. Except as otherwise provided in subsection (g), a perfected purchase-money security interest in goods other than inventory or livestock has priority over a conflicting securi…

Section 9--325. Priority of Security Interests in Transferred Collateral. (a) Subordination of security interest in transferred collateral. Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same co…

Section 9--326. Priority of Security Interests Created by New Debtor. (a) Subordination of security interest created by new debtor. Subject to subsection (b), a security interest that is created by a new debtor in collateral in which the new debtor has or acquires rights and is p…

Section 9-326A. Priority of Security Interest in Controllable Account, Controllable Electronic Record, and Controllable Payment Intangible. A security interest in a controllable account, controllable electronic record, or controllable payment intangible held by a secured party ha…

Section 9--327. Priority of Security Interests in Deposit Account. The following rules govern priority among conflicting security interests in the same deposit account: (a) A security interest held by a secured party having control of the deposit account under Section 9--104 has …

Section 9--328. Priority of Security Interests in Investment Property. The following rules govern priority among conflicting security interests in the same investment property: (a) A security interest held by a secured party having control of investment property under Section 9--…

Section 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: (a) A security interest held by a secured party having control of the letter-of-credit right unde…

Section 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 of inventory s…

Section 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 Entitlements and Prote…

Section 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 with the debtor i…

Section 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 services or ma…

Section 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 interest does not…

Section 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 collateral becom…

Section 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 such. A securit…

Section 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 goods are subject…

Section 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 described in Section 9-…

Section 9--339. Priority Subject to Subordination. This article does not preclude subordination by agreement by a person entitled to priority.

Section 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 set-off agains…

Section 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 bank are not ter…

Section 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 has entered int…

Section 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 voluntarily or involuntarily transferred…

Section 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 party to liability in contract or tort f…

Section 9--403. Agreement Not to Assert Defenses Against Assignee. (a) "Value." In this section, "value" has the meaning provided in Section 3--303. In this section the meaning of "obligor" is not limited to the meaning given it in Section 9--102(a)(59). In this section the term …

Section 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 or claims, and subject to subsections (b)…

Section 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 corresponding rights under the modified or substitut…

Section 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 account debtor; effect of notification. …

Section 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 term in a lease agreement is ineffective t…

Section 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 subsection (b), a term in a promissory note or in…

Section 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 credit which prohib…

Section 9--501. Filing Office. (a) Filing offices. Except as otherwise provided in subsection (b), if the law of this state governs perfection of a security interest or agricultural lien, the office in which to file a financing statement to perfect the security interest or agricu…

Section 9--502. Contents of Financing Statement; Record of Mortgage as Financing Statement; Time of Filing Financing Statement; Contents of Cooperative Addendum. (a) Sufficiency of financing statement. Subject to subsection (b), a financing statement is sufficient only if it: (1)…

Section 9--503. Name of Debtor and Secured Party.\n (a) Sufficiency of debtor's name. A financing statement sufficiently\nprovides the name of the debtor:\n (1) except as otherwise provided in paragraph (3), if the debtor\n is a registered organization or the collateral is held i…

Section 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 that the financing statement covers all a…

Section 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 goods, a licensor, or a buyer of a payment i…

Section 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 omissions make the financing statement seriousl…

Section 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 and in which a security interest or agri…

Section 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 to perfect a se…

Section 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 if: (1) the debt…

Section 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 authorized by on…

Section 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 financing statement tha…

Section 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 amend the infor…

Section 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 is no obligatio…

Section 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 authorize an a…

Section 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), (g), and (h), a filed financing statement is effective for a period of five years after…

Section 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 constitutes fi…