HARRY HUGHES, Governor

2897

(2)  During the period that goods are in the possession
of the issuer of a negotiable document therefor, a security
interest in the goods is perfected by perfecting a security
interest in the document, and any security interest in the
goods otherwise perfected during such period is subject
thereto.

(3)  A security interest in goods in the possession of
a bailee other than one who has issued a negotiable document
therefor is perfected by issuance of a document in the name

of the secured party or by the bailee's receipt of
notification of the secured party's interest or by filing as
to the goods.

(4)  A security interest in instruments or negotiable
documents is perfected without filing or the taking of
possession for a period of twenty-one days from the time it
attaches to the extent that it arises for new value given
under a written security agreement.                                       

(5)  A security interest remains perfected for a period
of twenty-one days without filing where a secured party
having a perfected security interest in an instrument, a
negotiable document or goods in possession of a bailee other
than one who has issued a negotiable document therefor

(a) Makes available to the debtor the goods or
documents representing the goods for the purpose of ultimate
sale or exchange or for the purpose of loading, unloading,
storing, shipping, transshipping, manufacturing, processing
or otherwise dealing with them in a manner preliminary to
their sale or exchange[; or], BUT PRIORITY BETWEEN
CONFLICTING SECURITY INTERESTS IN THE GOODS IS SUBJECTS
SUBSECTION (3) OF § 9-312; OR

         (b) Delivers the instrument to the debtor for
the purpose of ultimate sale or exchange or of presentation,
collection, renewal or registration of transfer.

(6) After the twenty-one day period in subsections (4)
and (5) perfection depends upon compliance with applicable
provisions of this title.                                                     v

9-305.

A security interest in letters of credit and advices of
credit (subsection (2)(a) of § 5-116), goods, instruments,
MONEY, negotiable documents or chattel paper may be
perfected by the secured party's taking possession of the
collateral. If such collateral other than goods covered by a
negotiable document is held by a bailee, the secured party
is deemed to have possession from the time the bailee
receives notification of the secured party's interest. A
security interest is perfected by possession from the time
possession is taken without relation back and continues only
so long as possession is retained, unless otherwise