Cite as: 80 CNCA § 9-704

Security Interest Unperfected Before Effective Date

A security interest that is enforceable immediately before this act takes effect but which would be subordinate to the rights of a person that becomes a lien creditor at that time:

(1) remains an enforceable security interest for one (1) year after this act takes effect;

(2) remains enforceable thereafter if the security interest becomes enforceable under 80 CNCA § 9–203 when this act takes effect or within one (1) year thereafter, and

(3) becomes perfected:

(A) without further action, when this act takes effect if the applicable requirements for perfection under this act are satisfied before or at that time; or

(B) when the applicable requirements for perfection are satisfied if the requirements are satisfied after that time.

Historical Data

LA 26–03, eff. October 2, 2003.