70A-9a-326 - Priority of security interests created by new debtor.
70A-9a-326. Priority of security interests created by new debtor.
(1) Subject to Subsection (2), a security interest created by a new debtor which isperfected by a filed financing statement that is effective solely under Section 70A-9a-508 incollateral in which a new debtor has or acquires rights is subordinate to a security interest in thesame collateral which is perfected other than by a filed financing statement that is effective solelyunder Section 70A-9a-508.
(2) The other provisions of this part determine the priority among conflicting securityinterests in the same collateral perfected by filed financing statements that are effective solelyunder Section 70A-9a-508. However, if the security agreements to which a new debtor becamebound as debtor were not entered into by the same original debtor, the conflicting securityinterests rank according to priority in time of the new debtor's having become bound.
Enacted by Chapter 252, 2000 General Session