Personal Property Secured Transactions

摘要

I. The Scope of Article 9A. In GeneralThe first task for a lawyer advising a client about a planned secured transaction is to determine whether Article 9 applies to it (including whether it is a secured transactions at all). Reaching an incorrect conclusion on this issue can lead to a disastrous result. For example, if a person is unaware that Article 9 applies, the person might fail to perfect a security interest under Article 9 and end up losing all interest in the collateral to some other claimant. Alternatively, if Article 9 does not apply, the person might erroneously comply with Article 9 but fail to do whatever applicable law does require to obtain and perfect an interest in the collateral.