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Kansas Statutes Chapter 84. Uniform Commercial Code § 84-9-325. Priority of security interests in transferred collateral

Current as of January 01, 2023 | Updated by FindLaw Staff

(a) Subordination of security interest in transferred collateral.Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:

(1) The debtor acquired the collateral subject to the security interest created by the other person;

(2) the security interest created by the other person was perfected when the debtor acquired the collateral; and

(3) there is no period thereafter when the security interest is unperfected.

(b) Limitation of subsection (a) subordination.Subsection (a) subordinates a security interest only if the security interest:

(1) Otherwise would have priority solely under K.S.A. 84-9-322(a) or 84-9-324, and amendments thereto; or

(2) arose solely under K.S.A. 84-2-711(3) or 84-2a-508(5), and amendments thereto.

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Cite this article: FindLaw.com - Kansas Statutes Chapter 84. Uniform Commercial Code § 84-9-325. Priority of security interests in transferred collateral - last updated January 01, 2023 | https://codes.findlaw.com/ks/chapter-84-uniform-commercial-code/ks-st-sect-84-9-325/

Read this complete Kansas Statutes Chapter 84. Uniform Commercial Code § 84-9-325. Priority of security interests in transferred collateral on Westlaw

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