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Session Laws, 1999
Volume 796, Page 2051   View pdf image
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(1) THE PURCHASE-MONEY COLLATERAL ALSO SECURES AN
OBLIGATION THAT IS NOT A PURCHASE-MONEY OBLIGATION;

(2) COLLATERAL THAT IS NOT PURCHASE-MONEY COLLATERAL ALSO
SECURES THE PURCHASE-MONEY OBLIGATION; OR

(3) THE PURCHASE-MONEY OBLIGATION HAS BEEN RENEWED,
REFINANCED, CONSOLIDATED, OR RESTRUCTURED.

(G) A SECURED PARTY CLAIMING A PURCHASE-MONEY SECURITY INTEREST
HAS THE BURDEN OF ESTABLISHING THE EXTENT TO WHICH THE SECURITY
INTEREST IS A PURCHASE-MONEY SECURITY INTEREST.

9-104. CONTROL OF DEPOSIT ACCOUNT.

(A) A SECURED PARTY HAS CONTROL OF A DEPOSIT ACCOUNT IF:

(1) THE SECURED PARTY IS THE BANK WITH WHICH THE DEPOSIT
ACCOUNT IS MAINTAINED;

(2) THE DEBTOR, SECURED PARTY, AND BANK HAVE AGREED IN AN
AUTHENTICATED RECORD THAT THE BANK WILL COMPLY WITH INSTRUCTIONS
ORIGINATED BY THE SECURED PARTY DIRECTING DISPOSITION OF THE FUNDS IN
THE ACCOUNT WITHOUT FURTHER CONSENT BY THE DEBTOR; OR

(3) THE SECURED PARTY BECOMES THE BANK'S CUSTOMER WITH
RESPECT TO THE DEPOSIT ACCOUNT.

(B) A SECURED PARTY THAT HAS SATISFIED SUBSECTION (A) HAS CONTROL,
EVEN IF THE DEBTOR RETAINS THE RIGHT TO DIRECT THE DISPOSITION OF FUNDS
FROM THE DEPOSIT ACCOUNT.

9-105. CONTROL OF ELECTRONIC CHATTEL PAPER

A SECURED PARTY HAS CONTROL OF ELECTRONIC CHATTEL PAPER IF THE
RECORD OR RECORDS COMPRISING THE CHATTEL PAPER ARE CREATED, STORED,
AND ASSIGNED IN SUCH A MANNER THAT:

(1) A SINGLE AUTHORITATIVE COPY OF THE RECORD OR RECORDS
EXISTS WHICH IS UNIQUE, IDENTIFIABLE AND, EXCEPT AS OTHERWISE PROVIDED IN
PARAGRAPHS (4), (5), AND (6) OF THIS SECTION, UNALTERABLE;

(2) THE AUTHORITATIVE COPY IDENTIFIES THE SECURED PARTY AS
THE ASSIGNEE OF THE RECORD OR RECORDS;

(3) THE AUTHORITATIVE COPY IS COMMUNICATED TO AND MAINTAINED
BY THE SECURED PARTY OR ITS DESIGNATED CUSTODIAN;

(4) COPIES OR REVISIONS THAT ADD OR CHANGE AN IDENTIFIED
ASSIGNEE OF THE AUTHORITATIVE COPY CAN BE MADE ONLY WITH THE
PARTICIPATION OF THE SECURED PARTY;

(5) EACH COPY OF THE AUTHORITATIVE COPY AND ANY COPY OF A COPY
IS READILY IDENTIFIABLE AS A COPY THAT IS NOT THE AUTHORITATIVE COPY; AND

 

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Session Laws, 1999
Volume 796, Page 2051   View pdf image
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