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Session Laws, 1999
Volume 796, Page 2079   View pdf image
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(E) EXCEPT AS OTHERWISE PROVIDED IN §§ 9-320 AND 9-321, IF A PERSON
FILES A FINANCING STATEMENT WITH RESPECT TO A PURCHASE-MONEY SECURITY
INTEREST BEFORE OR WITHIN 20 DAYS AFTER THE DEBTOR RECEIVES DELIVERY OF
THE COLLATERAL, THE SECURITY INTEREST TAKES PRIORITY OVER THE RIGHTS OF
A BUYER, LESSEE, OR LIEN CREDITOR WHICH ARISE BETWEEN THE TIME THE
SECURITY INTEREST ATTACHES AND THE TIME OF FILING.

9-318. NO INTEREST RETAINED FN RIGHT TO PAYMENT THAT IS SOLD; RIGHTS AND
TITLE OF SELLER OF ACCOUNT OR CHATTEL PAPER WITH RESPECT TO CREDITORS
AND PURCHASERS.

(A) A DEBTOR THAT HAS SOLD AN ACCOUNT, CHATTEL PAPER, PAYMENT
INTANGIBLE, OR PROMISSORY NOTE DOES NOT RETAIN A LEGAL OR EQUITABLE
INTEREST IN THE COLLATERAL SOLD.

(B) FOR PURPOSES OF DETERMINING THE RIGHTS OF CREDITORS OF, AND
PURCHASERS FOR VALUE OF AN ACCOUNT OR CHATTEL PAPER FROM, A DEBTOR
THAT HAS SOLD AN ACCOUNT OR CHATTEL PAPER, WHILE THE BUYER'S SECURITY
INTEREST IS UNPERFECTED, THE DEBTOR IS DEEMED TO HAVE RIGHTS AND TITLE
TO THE ACCOUNT OR CHATTEL PAPER IDENTICAL TO THOSE THE DEBTOR SOLD.

9-319. RIGHTS AND TITLE OF CONSIGNEE WITH RESPECT TO CREDITORS AND
PURCHASERS.

(A) EXCEPT AS OTHERWISE PROVIDED IN SUBSECTION (B), FOR PURPOSES OF
DETERMINING THE RIGHTS OF CREDITORS OF, AND PURCHASERS FOR VALUE OF
GOODS FROM, A CONSIGNEE, WHILE THE GOODS ARE IN THE POSSESSION OF THE
CONSIGNEE, THE CONSIGNEE HAS RIGHTS AND TITLE TO THE GOODS IDENTICAL TO
THOSE THE CONSIGNOR HAD OR HAD POWER TO TRANSFER

(B) FOR PURPOSES OF DETERMINING THE RIGHTS OF A CREDITOR OF A
CONSIGNEE, LAW OTHER THAN THIS TITLE DETERMINES THE RIGHTS AND TITLE OF
A CONSIGNEE WHILE GOODS ARE IN THE CONSIGNEE'S POSSESSION IF, UNDER THIS
SUBTITLE, A PERFECTED SECURITY INTEREST HELD BY THE CONSIGNOR WOULD
HAVE PRIORITY OVER THE RIGHTS OF THE CREDITOR

9-320. BUYER OF GOODS.

(A) EXCEPT AS OTHERWISE PROVIDED IN SUBSECTION (E), A BUYER IN
ORDINARY COURSE OF BUSINESS, OTHER THAN A PERSON BUYING FARM PRODUCTS
FROM A PERSON ENGAGED IN FARMING OPERATIONS, TAKES FREE OF A SECURITY
INTEREST CREATED BY THE BUYER'S SELLER, EVEN IF THE SECURITY INTEREST IS
PERFECTED AND THE BUYER KNOWS OF ITS EXISTENCE.

(B) EXCEPT AS OTHERWISE PROVIDED IN SUBSECTION (E), A BUYER OF
GOODS FROM A PERSON WHO USED OR BOUGHT THE GOODS FOR USE PRIMARILY
FOR PERSONAL, FAMILY, OR HOUSEHOLD PURPOSES TAKES FREE OF A SECURITY
INTEREST, EVEN IF PERFECTED, IF THE BUYER BUYS:

(1) WITHOUT KNOWLEDGE OF THE SECURITY INTEREST;

(2) FOR VALUE;

 

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Session Laws, 1999
Volume 796, Page 2079   View pdf image
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