Could someone please give me their expert opion on the use of cross-collateralization language and/or future advance language on Security Agreements? My employer insists that the verbiage is not needed in the documents to be able to tie-back to the instrument at a later date for a seperate loan request. I was under the impression that cross-collateralization verbiage should always be used on Security Agreements (as long as real estate was not involved in the transaction). I was also under the impression that on titled collateral, you should always use future advance clauses on the title and on the Security Agreement. Any advise would be much appreciated.

This is really going to depend on your state law.