Utah Sample Letter for UCC-3 Termination Statement

• Category: Letters - Legal - UCC
• State: Multi-State
• Control #: US-0186LTR
• Format: Word; Rich Text

Description

This form is a sample letter in Word format covering the subject matter of the title of the form.

Title: Understanding Utah's UCC-3 Termination Statement: A Detailed Description and Sample Letter Introduction: A UCC-3 Termination Statement is an important legal document used for terminating or canceling a Uniform Commercial Code (UCC) filing made previously. In the state of Utah, the UCC-3 Termination Statement is utilized to formally indicate that a debtor no longer has an interest in the collateral that was previously recorded under a UCC-1 financing statement. This detailed description will outline the purpose of the UCC-3 Termination Statement, its significance in Utah, and provide a sample letter for better understanding. Keyword List: Utah, UCC-3 Termination Statement, sample letter, UCC-1 financing statement, collateral, canceling, debtor, legal document 1. Purpose of a UCC-3 Termination Statement: In Utah, a UCC-3 Termination Statement is used to abolish a previous UCC-1 filing, which serves as a public record of a security interest in the collateral. It ensures that the debtor is no longer obligated by the security agreement and does not have any claims on the collateral. This document is essential for maintaining accurate records and establishing clear ownership. 2. Importance of UCC-3 Termination Statements in Utah: By filing a UCC-3 Termination Statement in Utah, individuals or businesses can release any existing security interests, providing legal protection and clarity. It ensures that potential lenders or interested parties are aware that the debtor no longer has any obligations or rights to the previously secured collateral. Without this official termination, confusion may arise, and the debtor might face unnecessary liabilities. 3. Types of UCC-3 Termination Statements in Utah: a. Voluntary Termination: This type of UCC-3 Termination Statement is filed when a debtor willingly terminates the security interest on collateral, either due to loan repayment or other agreements between the parties involved. b. Involuntary Termination: An involuntary termination occurs when a court order or any legal proceedings necessitate the cancellation of the security interest. This may occur in situations such as bankruptcy, foreclosure, or disputes settled by the court. Sample Letter for a Utah UCC-3 Termination Statement: [Your Name] [Your Address] [City, State, ZIP Code] [Date] [Recipient's Name] [Recipient's Title] [Financial Institution's Name] [Address] [City, State, ZIP Code] Subject: UCC-3 Termination Statement — Debtor: [Debtor's Name], Secured Party: [Secured Party's Name], File No: [File Number] Dear [Recipient's Name], I am writing this letter to officially request the filing of a UCC-3 Termination Statement in accordance with the Uniform Commercial Code Section 9-513, regarding the termination of a previously filed UCC-1 financing statement. The details of the statement are provided below: Debtor Information: — Debtor's Legal Name: [Debtor's Legal Name] — Debtor's Mailing Address: [Debtor's Address] — Debtor's Unique Identifier (if applicable): [Debtor's Unique Identifier] Secured Party Information: — Secured Party's Legal Name: [Secured Party's Legal Name] — Secured Party's Mailing Address: [Secured Party's Address] — Secured Party's Unique Identifier (if applicable): [Secured Party's Unique Identifier] Collateral Information: — Description of Collateral: [Description of Collateral] — Collateral's Unique Identifier (if applicable): [Collateral's Unique Identifier] Please find enclosed all necessary documents, including this letter and the completed UCC-3 Termination Statement form. Kindly review the information provided and ensure its accuracy. In compliance with Utah's filing procedures, I have included the requisite filing fees. Should you require any further documentation or information, please do not hesitate to contact me at [Your Phone Number] or [Your Email Address]. I would appreciate your prompt attention to this matter. Thank you for your cooperation. I look forward to receiving the filed copy of the UCC-3 Termination Statement once the process is complete. Sincerely, [Your Name] Conclusion: Understanding the purpose and importance of a Utah UCC-3 Termination Statement is crucial for both debtors and secured parties. By correctly filing this document, debtors can release security interests, avoid potential liabilities, and maintain accurate records. The sample letter provided serves as a guide to initiate the termination process and ensure compliance with Utah's legal requirements.