What is UCC Article 9?
Uniform Commercial Code (UCC) Article 9 governs secured transactions in personal property. The 2010 Amendments to Article 9 modify the existing statute to respond to filing issues and address other matters that have arisen in practice following a decade of experience with the 1998 version.
Can a secured creditor foreclose on collateral under UCC Article 9?
A Practice Note discussing a secured creditor’s rights under UCC Article 9 to enforce its security interest by foreclosing on collateral. This Note addresses the basic timeline, process, and requirements for conducting an Article 9 sale.
What happens if a secured creditor fails to comply with Article 9?
A secured creditor that fails to comply with the requirements of Article 9 faces a rebuttable presumption that the amount of proceeds that should have been produced by the sale is equal to the secured obligation plus costs (UCC § 9-626(a)(3)), leaving the secured creditor without a deficiency claim.
Who is a debtor under Article 9?
Based on this definition, a debtor generally is a person with an ownership interest in the collateral. If a debtor transfers or assigns its interest in collateral to another party without notifying the secured creditor, the purchaser or assignee therefore becomes the debtor under Article 9.
REVISION OF UNIFORM COMMERCIAL CODE ARTICLE 9