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Article 9 regulates the creation of security interests, and the enforcement of those interests, in movable or intangible property and fixtures. It encompasses a wide variety of possessory liens and determines the legal right of ownership if a debtor does not meet their obligations.
UCC § 1-201(35) defines a ?Security Interest? as ?an interest in personal property or fixtures that secures payment or performance of an obligation.? In the context of suretyship, the security agreement is usually found in the Indemnity Agreement.
UCC Section 9-611 provides that a debtor, secondary obligor, or other party holding an interest in the collateral only validly waives notice post-default. A secured creditor is exempt from providing reasonable notice of a sale if the collateral either: ? Is perishable, such as fruits, vegetables, and dairy.
New York State's Uniform Commercial Code (?UCC?) guides the sale of commercial business transactions, including the sale of goods between parties. Article 9 of the UCC governs transactions that combine a debt with a creditor's interest in a debtor's personal property.
Every U.S. state and the District of Columbia have adopted at least part of the UCC (though it has not been adopted as federal law). Each jurisdiction, however, may make its own modifications (Louisiana has never adopted Article 2), and may organize its version of the UCC differently.
Commercial Code: In 1963, California established the Commercial Code, adopting the Uniform Commercial Code (UCC).
The original UCC was established to simplify interstate commerce by ensuring that rules are consistent from state to state. While not every state has adopted the UCC in full, Florida and most other states have implemented the majority of the code.
Texas has adopted the following Articles of the UCC: Article 3: Negotiable instruments: UCC Article 3 applies to negotiable instruments.