Term
UCC 9-607 (Repossession of Accounts Receivable)
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Definition
9-607 provides that the bank can engage in self help by sending a letter to the debtor’s debtor informing them that the bank has a security interest in that debtor’s account receivable and the debtor should pay it directly to the bank. |
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Term
| UCC 9-609 (Gives secured party right to repossession upon default.) |
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Definition
| If no breach of peace can repo but if would be breach then must use replevin action. |
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Term
| UCC 9-620(c)(2)(Implied Consent of Retention) |
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Definition
UCC 9-620(c)(2) implies that the debtor consents to retention in full satisfaction if the creditor receives no written objection within 20 days from noticing the debtor.
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Term
| 9-611 (Commercially Reasonable) |
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Definition
| That is commercially reasonable section 9-611 requires that the creditor to the debtor prior notice of the sale. |
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Term
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Definition
| 9-623 incorporates the common-law right to redeem. Redemption is accomplished by paying the full amount of the debt, including the secured creditors attorney’s fees and expenses of sale. |
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Term
9-626(a) No commercially reasonable sale or notice
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Definition
9-626(a) – prescribes a rebuttable presumption that if not commercially reasonable or notice then value of collateral worth at least the amount of the debt. This can be rebutted with a fair market appraisal. |
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Term
| 9-203(b) Formalities for Security Interests |
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Definition
1) Collateral must be either in possession of SC or debtor must have authenticated a security k which contains a description of the collateral. 2) Value must be given. 3)Debtor must have rights in the collateral. After these are met does the security interest attach to the collateral and enforceable against the debtor. |
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