11 §9-1622. Effect of acceptance of collateral
Title 11: UNIFORM COMMERCIAL CODE
Article 9-A: TRANSACTIONS HEADING: PL 1999, C. 699, PT. A, §2 (NEW)
Part 6: DEFAULT HEADING: PL 1999, C. 699, PT. A, §2 (NEW)
Subpart 1: DEFAULT AND ENFORCEMENT OF SECURITY INTEREST HEADING: PL 1999, C. 699, PT. A, §2 (NEW)
§9-1622. Effect of acceptance of collateral
(1). A secured party's acceptance of collateral in full or partial satisfaction of the obligation it secures:
(a). Discharges the obligation to the extent consented to by the debtor; [1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF).]
(b). Transfers to the secured party all of a debtor's rights in the collateral; [1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF).]
(c). Discharges the security interest or agricultural lien that is the subject of the debtor's consent and any subordinate security interest or other subordinate lien; and [1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF).]
(d). Terminates any other subordinate interest. [1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF).]
[ 1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF) .]
(2). A subordinate interest is discharged or terminated under subsection (1), even if the secured party fails to comply with this Article.
[ 1999, c. 699, Pt. A, §2 (NEW); 1999, c. 699, Pt. A, §4 (AFF) .]
SECTION HISTORY
1999, c. 699, §A2 (NEW). 1999, c. 699, §A4 (AFF).