Kentucky Revised Statutes

Includes Enactments through the 2012 Extraordinary Session
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KRS Chapter 355.09

Part 1.  General Provisions

.101   Short title.

.102   Definitions and index of definitions.  

.103   Purchase-money security interest -- Application of payments -- Burden of establishing.

.104   Control of deposit account.

.105   Control of electronic chattel paper.  

.106   Control of investment property.

.107   Control of letter-of-credit right.

.108   Sufficiency of description.

Subpart 2.  Applicability of Article

.109   Scope.

.110   Security interests arising under Article 2 or 2A.

.111   Repealed, 1992.

.112   Repealed, 2000.

.113   Repealed, 2000.

.114   Repealed, 2000.

.115   Repealed, 2000.

.116   Repealed, 2000.

Part 2.  Effectiveness of Security Agreement -- Attachment of

.201   General effectiveness of security agreement.

.202   Title to collateral immaterial.

.203   Attachment and enforceability of security interest -- Proceeds -- Supporting obligations -- Formal requisites.  

.204   After-acquired property -- Future advances.

.205   Use or disposition of collateral permissible.

.206   Security interest arising in purchase or delivery of financial asset.

Subpart 2.  Rights and Duties

.207   Rights and duties of secured party having possession or control of collateral.  

.208   Additional duties of secured party having control of collateral.  

.209   Duties of secured party if account debtor has been notified of assignment.

.210   Request for accounting -- Request regarding list of collateral or statement of account.

Part 3.  Perfection and Priority

.301   Law governing perfection and priority of security interests.  

.302   Law governing perfection and priority of agricultural liens.

.303   Law governing perfection and priority of security interests in goods covered by a certificate of title.

.304   Law governing perfection and priority of security interests in deposit accounts.

.305   Law governing perfection and priority of security interests in investment property.

.306   Law governing perfection and priority of security interests in letter-of-credit rights.

.307   Location of debtor.  

Subpart 2.  Perfection

.308   When security interest or agricultural lien is perfected -- Continuity of perfection.

.309   Security interest perfected upon attachment.

.310   When filing required to perfect security interest or agricultural lien -- Security interests and agricultural liens to which filing provisions do not apply.  

.311   Perfection of security interests in property subject to certain statutes, regulations, and treaties.  

.312   Perfection of security interests in chattel paper, deposit accounts, documents, goods covered by documents, instruments, investment property, letter-of-credit rights, and money -- Perfection by permissive filing -- Temporary perfection without filing or transfer of possession.  

.313   When possession by or delivery to secured party perfects security interest without filing.  

.314   Perfection by control.  

.315   Secured party's rights on disposition of collateral and in proceeds.

.316   Continued perfection of security interest following change in governing law.  

Subpart 3.  Priority

.317   Interests that take priority over or take free of security interest or agricultural lien.  

.318   No interest retained in right to payment that is sold -- Rights and title of seller of account or chattel paper with respect to creditors and purchasers.

.319   Rights and title of consignee with respect to creditors and purchasers.

.320   Buyer of goods.

.321   Licensee of general intangible and lessee of goods in ordinary course of business.

.322   Priorities among conflicting security interests in and agricultural liens on same collateral.

.323   Future advances.

.324   Priority of purchase-money security interests.

.325   Priority of security interests in transferred collateral.

.326   Priority of security interests created by new debtor.  

.327   Priority of security interests in deposit account.

.328   Priority of security interests in investment property.

.329   Priority of security interests in letter-of-credit right.

.330   Priority of purchaser of chattel paper or instrument.

.331   Priority of rights of purchasers of instruments, documents, and securities under other articles -- Priority of interests in financial assets and security entitlements under Article 8.

.332   Transfer of money -- Transfer of funds from deposit account.

.333   Priority of certain liens arising by operation of law.

.334   Priority of security interests in fixtures and crops.

.335   Accessions.

.336   Commingled goods.

.337   Priority of security interests in goods covered by certificate of title.

.338   Priority of security interest or agricultural lien perfected by filed financing statement providing certain incorrect information.  

.339   Priority subject to subordination.

Subpart 4.  Rights of Bank

.340   Effectiveness of right of recoupment or set-off against deposit account.

.341   Bank's rights and duties with respect to deposit account.

.342   Bank's right to refuse to enter into or disclose existence of control agreement.

Part 4.  Rights of Third Parties

.401   Alienability of debtor's rights.

.401A   Repealed, 2000.

.402   Secured party not obligated on contract of debtor or in tort.

.403   Agreement not to assert defenses against assignee.

.404   Rights acquired by assignee -- Claims and defenses against assignee.

.405   Modification of assigned contract.

.406   Discharge of account debtor -- Notification of assignment -- Identification and proof of assignment -- Restrictions on assignment of accounts, chattel paper, payment intangibles, and promissory notes ineffective.  

.407   Restrictions on creation or enforcement of security interest in leasehold interest or in lessor's residual interest.

.408   Restrictions on assignment of promissory notes, health-care-insurance receivables, and certain general intangibles ineffective.  

.409   Restrictions on assignment of letter-of-credit rights ineffective.

Part 5.  Filing

.501   Filing office.

.502   Contents of financing statement -- Record of mortgage as financing statement -- Time of filing financing statement.  

.503   Name of debtor and secured party.  

.504   Indication of collateral.

.505   Filing and compliance with other statutes and treaties for consignments, leases, other bailments, and other transactions.

.506   Effect of errors or omissions.

.507   Effect of certain events on effectiveness of financing statement.  

.508   Effectiveness of financing statement if new debtor becomes bound by security agreement.

.509   Persons entitled to file a record.

.510   Effectiveness of filed record.  

.511   Secured party of record.

.512   Amendment of financing statement.

.513   Termination statement.

.513A   Termination of wrongfully filed record -- Reinstatement.  

.514   Assignment of powers of secured party of record.

.515   Duration and effectiveness of financing statement -- Effect of lapsed financing statement.  

.516   What constitutes filing -- Effectiveness of filing.  

.516A   Administrative rejection of unauthorized records.  

.517   Effect of indexing errors.

.518   Claim concerning inaccurate or wrongfully filed record.  

Subpart 2.  Duties and Operation of Filing Office

.519   Numbering, maintaining, and indexing records -- Communicating information provided in records.

.520   Acceptance and refusal to accept record.  

.521   Uniform form of written financing statement and amendment.  

.522   Maintenance and destruction of records.

.523   Information from filing office -- Sale or license of records.

.524   Delay by filing office.

.525   Fees.

.526   Filing-office rules.

.527   Duty to report.

Part 6.  Default

.601   Rights after default -- Judicial enforcement -- Consignor or buyer of accounts, chattel paper, payment intangibles, or promissory notes.  

.602   Waiver and variance of rights and duties.

.603   Agreement on standards concerning rights and duties.

.604   Procedure if security agreement covers real property or fixtures.

.605   Unknown debtor or secondary obligor.

.606   Time of default for agricultural lien.

.607   Collection and enforcement by secured party.  

.608   Application of proceeds of collection or enforcement -- Liability for deficiency and right to surplus.

.609   Secured party's right to take possession after default.

.610   Disposition of collateral after default.

.611   Notification before disposition of collateral.

.612   Timeliness of notification before disposition of collateral.

.613   Contents and form of notification before disposition of collateral: General.

.614   Contents and form of notification before disposition of collateral: Consumer-goods transaction.

.615   Application of proceeds of disposition -- Liability for deficiency and right to surplus.

.616   Explanation of calculation of surplus or deficiency.

.617   Rights of transferee of collateral.

.618   Rights and duties of certain secondary obligors.

.619   Transfer of record or legal title.

.620   Acceptance of collateral in full or partial satisfaction of obligation -- Compulsory disposition of collateral.

.621   Notification of proposal to accept collateral.

.622   Effect of acceptance of collateral.

.623   Right to redeem collateral.

.624   Waiver.

Subpart 2.  Noncompliance with Article

.625   Remedies for secured party's failure to comply with article.

.626   Action in which deficiency or surplus is in issue.

.627   Determination of whether conduct was commercially reasonable.

.628   Nonliability and limitation on liability of secured party -- Liability of secondary obligor.

Part 7.  Transition

.701   Effective date.

.702   Savings clause.

.703   Security interest perfected before effective date.

.704   Security interest unperfected before effective date.

.705   Effectiveness of action taken before effective date.

.706   When initial financing statement suffices to continue effectiveness of financing statement -- Minor errors or omissions.

.707   Amendment of pre-effective-date financing statement.

.708   Persons entitled to file initial financing statement or continuation statement.

.709   Priority.

.710   Duties of county clerk.

Part 8.  Transition Provisions for 2012 Amendments

.801   Effective date of KRS 355.9-801 to 355.9-809.  (Effective July 1, 2013)

.802   Application.  (Effective July 1, 2013)

.803   Security interest perfected before effective date.  (Effective July 1, 2013)

.804   Security interest unperfected before effective date.  (Effective July 1, 2013)

.805   Effectiveness of action taken before effective date.  (Effective July 1, 2013)

.806   When initial financing statement suffices to continue effectiveness of financing statement.  (Effective July 1, 2013)

.807   Amendment of pre-effective-date financing statement.  (Effective July 1, 2013)

.808   Person entitled to file initial financing statement or continuation statement.  (Effective July 1, 2013)

.809   Priority.  (Effective July 1, 2013)

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