(2) DISCHARGES THE SECURITY - INTEREST UNDER WHICH THE
DISPOSITION IS MADE; AND

(3) DISCHARGES ANY SUBORDINATE SECURITY INTEREST OR OTHER
SUBORDINATE LIEN.

(B) A TRANSFEREE THAT ACTS IN GOOD FAITH TAKES FREE OF THE RIGHTS
AND INTERESTS DESCRIBED IN SUBSECTION (A), EVEN IF THE SECURED PARTY FAILS
TO COMPLY WITH THIS TITLE OR THE REQUIREMENTS OF ANY JUDICIAL
PROCEEDING.

(C) IF A TRANSFEREE DOES NOT TAKE FREE OF THE RIGHTS AND INTERESTS
DESCRIBED IN SUBSECTION (A), THE TRANSFEREE TAKES THE COLLATERAL
SUBJECT TO:

(1) THE DEBTOR'S RIGHTS IN THE COLLATERAL;

(2) THE SECURITY INTEREST OR AGRICULTURAL LIEN UNDER WHICH
THE DISPOSITION IS MADE; AND

(3) ANY SECURITY INTEREST OR OTHER LIEN.

9-618. RIGHTS AND DUTIES OF CERTAIN SECONDARY OBLIGORS.

(A) A SECONDARY OBLIGOR ACQUIRES THE RIGHTS AND BECOMES
OBLIGATED TO. PERFORM THE DUTIES OF THE SECURED PARTY AFTER THE
SECONDARY OBLIGOR:

(1) RECEIVES AN ASSIGNMENT OF A SECURED OBLIGATION FROM THE
SECURED PARTY;

(2) RECEIVES A TRANSFER OF COLLATERAL FROM THE SECURED PARTY
AND AGREES TO ACCEPT THE RIGHTS AND ASSUME THE DUTIES OF THE SECURED
PARTY; OR

(3) IS SUBROGATED TO THE RIGHTS OF A SECURED PARTY WITH
RESPECT TO COLLATERAL.

(B) AN ASSIGNMENT, TRANSFER, OR SUBROGATION DESCRIBED IN
SUBSECTION (A):

(1) IS NOT A DISPOSITION OF COLLATERAL UNDER § 9-610; AND

(2) RELIEVES THE SECURED PARTY OF FURTHER DUTIES UNDER THIS

TITLE.

9-619. TRANSFER OF RECORD OR LEGAL TITLE.

(A) IN THIS SECTION, "TRANSFER STATEMENT" MEANS A RECORD
AUTHENTICATED BY A SECURED PARTY STATING:

(1) THAT THE DEBTOR HAS DEFAULTED IN CONNECTION WITH AN
OBLIGATION SECURED BY SPECIFIED COLLATERAL;