What is the purpose of UCC Article 9?

What is the purpose of UCC Article 9?

Article 9 is a section under the UCC governing secured transactions including the creation and enforcement of debts. Article 9 spells out the procedure for settling debts, including various types of collateralized loans and bonds.

How does the UCC define default under Article 9?

Key Points for the Secured Party to Remember Upon Debtor’s Default. – The term default is not defined under Article 9; the debtor and Secured Party are left to define events of default within their contract. – The collateral may be repossessed.

What is the meaning of Article 9?

Article 9 protects your right to freedom of thought, belief and religion. It includes the right to change your religion or beliefs at any time. You also have the right to put your thoughts and beliefs into action.

What is a secured transaction under Article 9?

Article 9 of the Uniform Commercial Code (UCC), as adopted by all fifty states, generally governs secured transactions where security interests are taken in personal property. It regulates creation and enforcement of security interests in movable property, intangible property, and fixtures.

What are the three ways a security interest is attached?

The three requirements of: giving value, debtor rights in the collateral, and an authenticated security agreement apply to the most common types of collateral, such as equipment, inventory and even payments due under a contract.

What is revised Article 9?

, under Revised Art. 9 a security interest in letter of credit rights as original. collateral may only be perfected by control and not by possession or filing (except where the. letter of credit constitutes proceeds of other collateral or is a “supporting obligation” for. collateral perfected by some other method.

Is Article 9 an absolute right?

Article 9 protects your right to hold both religious and non-religious beliefs. This is an absolute right which means it can’t be interfered with by the state. Article 9 includes the right to choose or change your religion or beliefs. It also means you can’t be forced to have a particular religion.

What are the powers in section 9 called?

The Privilege of the Writ of Habeas Corpus shall not be suspended, unless when in Cases of Rebellion or Invasion the public Safety may require it. No Bill of Attainder or ex post facto Law shall be passed.

How do you perfect a security interest UCC?

However, generally speaking, the primary ways for a secured party to perfect a security interest are:

  1. by filing a financing statement with the appropriate public office.
  2. by possessing the collateral.
  3. by “controlling” the collateral; or.
  4. it’s done automatically upon attachment of the security interest.

What transactions does Article 9 apply to?

Generally speaking, Article 9 applies only to transactions involving a “security interest” which, as we saw in Chapter 3 (The Nature of Secured Credit under Article 9), is essentially a lien by agreement on personal property.

What is Article 9 of the Uniform Commercial Code?

What Is Article 9? Article 9 is an article under the Uniform Commercial Code (UCC) that governs secured transactions, or those transactions that pair a debt with the creditor’s interest in the secured property.

What is Article 9 certification?

This training covers the requirements and responsibilities of instructors that teach the rights of individuals with developmental disabilities and is available for all Qualified Vendor Agency Trainers in order to become certified or to recertify as Article 9 instructors. Complete the Article 9 Instructor Application Packet to Register.

What is Article 9 security interest?

Under Article 9 of the Uniform Commercial Code (UCC), which covers secured transactions, in order for a creditor to become a secured party—that is, a party with a legal right to take possession of collateral in the event of the debtor’s failure to pay—the creditor must take special steps. These steps are known as attachment of a security interest.

Why was the Uniform Commercial Code created?

The Uniform Commercial Code (UCC) is a standardized set of laws and regulations for transacting business. Then UCC code was established because it was becoming increasingly difficult for companies to transact business across state lines given the various state laws.