The following is a list of common questions that lenders and legal counsel may have about the 2010 amendments. Ucc article 9, secured transactions 1998 view only home. Ucc 2211 is new and provides that a record, signature, or contract cannot be denied legal effect and enforceability merely because it is electronic in form. The code has been a longterm, joint project of the national conference of commissioners on uniform.
The official commentary on filing, under the subheading filingoffice operations at the beginning of article 9. Draft rules to implement the 2010 amendments to article 9 02102012 page 7 of 23 101. Subsection d achieves this result more directly, by defining the interest of a consignor, defined in section 9102, to be a purchasemoney security interest in inventory for purposes of this article. Provides a brief summary on the differences in bodies of law by definition.
Governing law article 9 uniform commercial code state not federal law may vary by state 41 transactions not subject to ucc article 9 mechanics liens aircraft, ships and motor vehicles wages insurance contracts, except for. Explains how to make the ucc 1 contract and how to properly file it explains how to establish own private treaty with the world supplemental. A because the book covers virtually all sections of article 9, it will be useful as a study aid for a law school course on secured transactions or commercial law and for a bar examination. The ucc can be downloaded to pdf see the blue bar above the text, look to the right to download. Effective other essential ucc concepts page 9 role of the filing office is ministerial article 9 removed filing office discretion from the filing and search process. Short ucc page 4 short title, construction, application and subject matter of the title 1101. This article may be cited as uniform commercial code secured transactions. Among these changes was an amendment to section 9521, the uniform form of a written financing statement and amendment. Uniform commercial code, article 9 administrative rules. Issues relating to the transfer, ownership, and enforcement of mortgage notes are primarily governed by two articles of the ucc. Mastering the uniform commercial code freedom school. Lessons learned under amended rules, best practices for secured lenders.
The 2010 amendments to article 9 modify the existing statute to respond to filing issues and address other matters that have arisen in practice following a decade of experience with the 1998 version. The uniform commercial code ucc is the result of an effort to harmonize the law of sales and other commercial transactions in all 50 states within the united states of america. Determining the proper relationship between the rules of article 9 and other law, not covered by the article, presented considerable challenges in the drafting and revision of article 9. The authority approves a grace period of 30 days from the july 1, 20 effective date provided for in.
Article 9 also sets forth safe harbor disposition notification forms in commercial and consumer transactions. The term original article 9 means article 9 of the uniform commercial code as enacted by chapter five hundred fiftythree of the laws of nineteen hundred sixtytwo and as amended by chapter eight hundred ninetynine of the laws. For example, the reasonableness of the sale of a yacht will be different than the sale of a commercial warehouse. Harrell introduction this article summarizes selected 20 2014 case decisions relating to personal property secured transactions, with a focus on uniform commercial code ucc article 9. The 2010 amendments mostly clarify, but do not change, the existing law. Construction of uniform commercial code to promote its purposes and policies.
How to attach and perfect your security interest in collateral. Mastering secured transactions is a comprehensive resource for studying the sections of article 9 of the uniform commercial code. The financing of intellectual property under revised ucc. Although article 9 has been adopted by many states, some states have made modifications to the law or have not. Alerts and special information the transition rules in sb 171 sections 188. Mastering the uniform commercial code with forms the application of commercial law under the uniform commercial code 2004. Contract formation and terms with this new and improved article 2, the world of ecommerce as applied to the new and improved article 2 to the ucc. Article 9 was most recently revised, extensively, in 1998, with a. The uniform commercial code ucc has proven to be the standardized solution to accommodate the vast commercialized growth in the us for decades, with article 9 addressing the secured interest of. If a transfer statement is presented with the applicable fee and request form to the official or. This book is a wonderful introduction to the law governing security interests in personal property, which is based on article 9 of the ucc. Subsection g, c in the most recent version of article 1 which is essentially identical to former section 11052, indicates that choice of law rules provided in the other articles govern when applicable.
The file time for a ucc record delivered by this method is, notwithstanding the time of. These rules shall govern the filing, acceptance, indexing and searching of financing statements in the secretary of states office under article 9 of the uniform commercial code, as amended in 2001. Enacted by chapter 252, 2000 general session 70a9a102 definitions and index of definitions. Ucc article 9, secured transactions 1998 uniform law. Effective other essential ucc concepts page 9 role of the filing office is ministerial article 9 removed filing. Article 9 encompasses a wide variety of possessory liens and determines the legal right of. This article shall be known and may be cited as uniform commercial codesales. On june 4, 2015, the governor signed oklahoma house bill 1773. Make sure you are viewing the most current official source. Broadened scope of revised article 9 revised article 9 continues to apply to transactions, regardless of form, that create a security interest in personal property or fixtures by contract. This chapter may be cited as uniform commercial code secured transactions.
The understanding and use of the basic elements of a secured transaction in article 9 can be a daunting task. Dec 21, 2014 the uniform commercial code ucc has proven to be the standardized solution to accommodate the vast commercialized growth in the us for decades, with article 9 addressing the secured interest of. The bill adopts the 2010 amendments to the uniform version of article 9 and makes a number of technical amendments intended to clarify and address ambiguities in existing article 9 and to override the effects of bad case law which has created problems in some states. A transfer statement entitles the transferee to the transfer of record of all rights of the debtor in the collateral specified in the statement in any official filing, recording, registration, or certificateoftitle system covering the collateral. This article may be cited as uniform commercial codesecured transactions. Using first principles of ucc article 9 to solve statutory. Oklahoma hb 1773 mostly follows the uniform text of the 2010 amendments. Article 9 of the model ucc is intended to create a uniform system across the country for creating, perfecting, and enforcing security interests in personal property. Article 11 provisions for transition from original article 9 to revised article. Article 9 is the secured transaction article of the uniform commercial code. A it offers a clear and understandable discussion of the sections and. If there is conflict, this article governs article 3, but article 8 governs this article. The governor recently approved sb 2609 revising mississippi ucc articles 2, 4 and 9. Feb 14, 20 the ucc article 1 general provisions sets forth general provisions, definitions, and rules that apply to entire ucc most important section is 1201, the general definitions article 9 secured transactions governs how a security interest is created in personal property to secure a debtarticle 9.
Click icon to view or download ny ucc article 11 in pdf format. Ucc revised article 9 executive summary the following is a list of important points to consider when seeking to comply with the new ucc revised article 9 legislation ra9. Part 1 g eneral what changes do the 2010 amendments make to ucc article 9. Uniform commercial code uniform commercial code us law. Scope, perfection, priorities, and default barkley clarkt i. Governing lien filings under the ucc, idapa 34, title 05, chapter 06. An article under the uniform commercial code ucc that governs secured transactions. To date, every state and puerto rico and has enacted the amendments except for oklahoma and new yorkwho both introduced it this year 1. This article applies to a transaction to the extent that it is governed by another article of the uniform commercial code. As usual, the selection is somewhat arbitrary and emphasizes cases thouoht 10 have gen. Uniform commercial code ucc american law institute. Obtain copies of your own states uniform commercial code. The problem did exist under old article 9, but was corrected by rev.
The revised article 9 is now in effect in all states. Above all, all aspects of an article 9 sale must be commercially reasonable, which term is undefined under the ucc. Twentysix states have enacted the 2010 amendments to article 9 of the ucc may 22, 2012 important new amendments to article 9 of the uniform commercial code ucc have now been enacted in 26 states 17 new this year. Ucc, article 9 does not codify the entire law of competing claims to personal property. Ucc article 9 revised continued from page 1 o n july 1, 2001, revised article 9 ra9 of the uniform commercial code ucc became effective in each of the 45 states and the district of columbia with a delayed effective date for the other states. In 1998 revisions to article 9 were completed and were approved by all fifty states by 2001. This book explains the terminology, structure, and methodology of security interests governed by article 9 in a readable, concise, and yet thorough manner.
As you may be aware, there are many important modifications filers and searchers will want to be aware of regarding revisions to uniform commercial code ucc revised article 9. The principal effect of this change from the definition in former article 9 is that the rules in sections 9403, 9404, 9405, and 9406, dealing with the rights of an assignee and duties of an account debtor, do not apply to an assignment of chattel paper in which the obligation to. Errors may occur during downloading or reformatting. The ucc article 1 general provisions sets forth general provisions, definitions, and rules that apply to entire ucc most important section is 1201, the general definitions article 9 secured transactions governs how a security interest is created in personal property to secure a debtarticle 9. The ucc is the longest and most elaborate of the uniform acts. Article 9 provides a detailed instruction manual on steps to take to legally protect a debt by staking a claim in the debtors property. Official comments to new article 9 official comment 8 to new 1. Uniform commercial code ucc article 9 governs secured transactions in personal property. Practitioners can use the book to become rapidly conversant with the scope, concepts, and. There are, however, some minor drafting discrepancies and deviations from the official text due to the delayed enactment. The principal effect of this change from the definition in former article 9 is that the rules in sections 9 403, 9 404, 9 405, and 9 406, dealing with the rights of an assignee and duties of an account debtor, do not apply to an assignment of chattel paper in which the obligation to pay is evidenced by a negotiable instrument. Effectiveness cannot be determined from the record. Under former section 9114, the priority of the consignors interest is similar to that of a purchasemoney security interest.
Weise the rule of section 93184 can be regarded as a revolutionary departure only by those who still cherish the hope that we may yet return to the views entertained some. Article 9, knowledgeable commentators talk about the full disclosure principle. Healthcare insurance receivables proceeds of ucc collateral. Double click on the pdf and a separate page will open. The 2010 amendments are designed to go into effect simultaneously on july 1, 20. This article may be cited as uniform commercial code bank deposits and collections.
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