Latest Lending - UCC Topics

Exception Automation

09/13/2020

What is exception automation?

Commercial with Collateral as Operating Interest

12/08/2019

I have a commercial loan with collateral as "operating interest in wells." Do we need a mortgage, UCC or both to perfect a security interest in this? Also, is this collateral even considered real estate collateral?

2 Separate Security Agreements-1 for Each State?

06/16/2019

If we have a customer that has their business registered with the Delaware SOS however they live in ND, do we need to produce two separate security agreements, one for each state? I noticed this changes in the governing law section of LaserPro documents.

2 Security Agreements if File for 2 UCCs?

06/02/2019

When we have a borrower in one state but their collateral is located in another state, we will file a UCC where the debtor is located. Some Lenders want us to file in both states just to be safe but then that posed the question, should we be preparing two separate security agreements, one for each state as well? Also, if we have a borrower that has collateral in both states we have been just preparing one security agreement where the borrower is located and still filing two UCC's but we think we should be preparing two separate ones in this case also?

Collateral Change Field on a UCC Amendment

11/26/2017

I have a question regarding the Collateral Change field on a UCC Amendment. If the "Restate Covered Collateral" box is checked, does this intend to replace all prior collateral descriptions?

UCC 1 Financing Statement - Real Estate Collateral

11/06/2016

Is it necessary to file a UCC 1 financing statement when the bank takes a promissory note secured with real estate as collateral? We will file a Collateral Transfer of note and lien in the real property records.

Puchase-money security interest priority under UCC

07/24/2016

We have a "Purchase money Security Interest in all inventory, equipment, etc., per our UCC-1 filing. There are 4 other "All inventory, chattel paper, equipment ..whether now owned or hereafter acquired; all accessions...etc..." filings ahead of us that are current and have been continued and have not lapsed or been terminated. My question: If the company fails would we be in first place with the equipment purchased with our loan funds? I think not, but want to make sure.

Can UCC-1 financing statement be subordinated?

01/31/2016

Can a UCC-1 financing statement be subordinated?

Filing UCC-1 & Lien On Titled Collateral

06/28/2015

We are having a debate at work about filing a UCC-1 in addition to the Lien on Titled collateral, i.e., car, boat, truck. Is it standard practice? Is it advisable to file a UCC in addition to the Lien perfection on titled collateral and why? Also doesn't the UCC need to match the note and security agreement?

How to Perfect Lien on Farm Loan

02/23/2015

When doing a farm loan and we take Government Payments & Crop Insurance do we file a UCC or UCC1F to perfect our lien or is a Agricultural Security Agreement showing the Government Payments & Crop Insurance as collateral enough to perfect the lien?