HARRY HUGHES, Governor

2321

(6) EITHER A COPY OF THE AGREEMENT UNDER WHICH THE
DEBTOR HAS AUTHORIZED THE SECURED PARTY TO REQUEST JOINT PAYMENT
OR PAYMENT TO A MUTUAL AGENT OR THE DATED SIGNATURES OF THE
DEBTOR.

(D) ON RECEIVING NOTIFICATION FROM THE SECURED PARTY, THE
BUYER OF FARM PRODUCTS SHALL CONTACT THE SECURED PARTY FOR
INSTRUCTIONS REGARDING A SATISFACTORY METHOD FOR MAKING PAYMENT
ON THE FARM PRODUCTS COVERED BY THE LIEN.

(E) IT SHALL BE THE RESPONSIBILITY OF THE SECURED PARTY TO
REQUEST A LIST OF REGISTRANTS FROM THE SECRETARY ON A REGULAR
BASIS IN ORDER TO RECEIVE NOTICE OF THE PURCHASE OF ANY FARM
PRODUCTS SUBJECT TO A LIEN HELD BY THE SECURED PARTY.

(F) A BUYER OF FARM PRODUCTS WHO IN GOOD FAITH MAKES
PAYMENT AS DIRECTED BY THE SECURED PARTY NOTICE DESCRIBED IN THIS
SUBSECTION IS NOT LIABLE TO THE DEBTOR OR TO ANY SECURED PARTY
WHO IS NOT LISTED ON THE NOTICE FOR NONPAYMENT.

(C) AT THE REQUEST OF ANY SECURED PARTY, A DEBTOR ENGAGED
IN FARMING OPERATIONS SHALL PROVIDE TO THE SECURED PARTY A
WRITTEN LIST OF POTENTIAL BUYERS OF THE DEBTOR'S FARM PRODUCTS.
THE DEBTOR MAY NOT SELL FARM PRODUCTS TO A BUYER WHO DOES NOT
APPEAR ON THE LIST WITHOUT THE PRIOR WRITTEN CONSENT OF THE
SECURED PARTY. THE DEBTOR MAY AMEND THE LIST BY WRITTEN NOTICE
TO THE SECURED PARTY, RECEIVED NOT LESS THAN 15 DAYS BEFORE THE
DEBTOR'S SALE OF THE FARM PRODUCTS INCLUDED IN THE AMENDMENT.

(H) IN THIS SUBSECTION, A "BUYER OF FARM PRODUCTS" INCLUDES
A BUYING OR SELLING AGENT.

(B) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (A) OF THIS
SUBSECTION, A PERSON WHO, WITHOUT ACQUIRING AN INTEREST IN THE
FARM PRODUCTS, PERFORMS AUCTION SERVICES FOR A SELLER OF FARM
PRODUCTS IS NOT LIABLE TO THE HOLDER OF A SECURITY INTEREST IN
THE FARM PRODUCTS SOLELY BY REASON OF HAVING PERFORMED THE
AUCTION SERVICES, EVEN THOUGH THE SECURITY INTEREST IS PERFECTED
AND THE PERSON PERFORMING THE AUCTION SERVICES KNOWS OF THE
PERFECTION.

[(2)] (I) In the case of consumer goods having an
original purchase price not in excess of $500, a buyer takes free
of a security interest even though perfected if he buys without
knowledge of the security interest, for value and for his own
personal, family or household purposes unless prior to the
purchase the secured party has filed a financing statement
covering such goods.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect July 1, 1985.

Approved May 21, 1985.