𝕾𝖊𝖈𝖚𝖗𝖊𝖉 𝕿𝖗𝖆𝖓𝖘𝖆𝖈𝖙𝖎𝖔𝖓𝖘

Question 1

First sentence

Answer 1

Article 9 applies to all security interests in personal property or fixtures by contract. The words “security agreement” do not have to be specifically stated for one to exist.

Question 2

Lease

Answer 2

A true lease agreement does not create a security interest. However, if the transaction appears in the form of a security interest, Article 9 may apply.

Test: The lessee must pay consideration for right to possess and cannot terminate the payment obligation and either (1) FINISH LATER IDK

Question 3

Four classifications of goods

Answer 3

Consumer goods

Inventory

Equipment

Farm products

Question 4

Consumer goods

Answer 4

Goods that are bought for use primarily for personal, family, or household purposes.

Question 5

Inventory

Answer 5

Goods kept for sale or lease; or materials used or consumed in a business.

Question 6

Equipment

Answer 6

Catchall category of goods, other than inventory, farm products, or consumer goods.

Question 7

Farm Products

Answer 7

Crops, livestock, supplies produced in a farming operation or products of crops or livestock in their unmanufactured state in possession of debtor who is engaged in a farming operation.

Question 8

When does attachment occur?

Answer 8

Attachment occurs when (1) value is given by the secured party to the debtor; (2)