Collateral Type Definitions

Question 1

Inventory

9-102 (a)(48)

Answer 1

Goods, other than farm products, held for sale or lease or used up in the course of business

Question 2

Equipment

9-102 (a)(33)

Answer 2

Goods other than inventory, farm products, or consumer goods.

Question 3

Consumer Goods

9-102 (a)(23)

Answer 3

Goods bought or used primarily for personal, family or household purposes

Question 4

Farm Products

9-102(a)(34)

Answer 4

Goods arising out of a farming operation OR
Goods with respect to which the debtor is engaged in a farming operation and which are (A) Crops grown, growing, or to be grown, including:
(i) Crops produced on trees, vines, and bushes; and (ii) Aquatic goods produced in aquacultural operations;
(B) Livestock, born or unborn, including aquatic goods produced in aquacultural operations;
(C) Supplied used or produced in a farming operation; or
(D) Products of crops or livestock in their unmanufactured states.

Question 5

Accessions

9-102 (a)(1)

Answer 5

Goods that are physically united with other goods in such a manner that the identity of the original goods is not lost.

Question 6

Fixtures

9-102 (a)(41)

Answer 6

Means goods that have become so related to particular real property that an interest in them arises under real property law.

Question 7

Accounts

9-102 (a)(2)

Answer 7

A right to payment of a monetary obligation, whether or not earned by performance,
(i) for property that has been or is to be sold, leased, licensed, assigned, or otherwise disposed of,
(ii) for services rendered or to be rendered,
(iii) for a policy of insurance issued or to be issued,
(iv) for a secondary obligation incurred or to be incurred,
(v) for energy provided or to be provided,
(vi) for the use or hire of a vessel under a charter or other contract,
(vii) arising out of the use of a credit or charge card or information contained or for use with the card, or
as winnings in the lottery or other game of chance operated or sponsored by a State, governmental unit of a State, or person licensed or authorized to operate the game by a State or governmental unit of a State.

Question 8

Deposit accounts

9-102 (a)(29)

Answer 8

a demand, time, savings, passbook, or similar account maintained with a bank

Question 9

Commercial tort claims

9-102 (a)(13)

Answer 9

Means a claim arising in tort with respect to which:
(A) The claimant is an organization; or
(B) The claimant is an individual and the claim:
(i) Arose in the course of the claimant’s business or profession; and
(ii) Does not include damages arising out of personal injury to the
death of an individual

Question 10

Documents (of title)

9-102 (a)(30) + 1-201 (b)(16)

Answer 10

Includes bill of lading, dock warrant, dock receipt, warehouse receipt or order for the delivery of goods, and also any other document which in the regular course of business or financing is treated as adequately evidencing that the person in possession of it is entitled to receive, hold, and dispose of the document and the goods it covers.

Question 11

Chattel paper

9-102 (a)(11)

Answer 11

a record or records that evidence both a monetary obligation and a security interest in specific goods, a security interest in specific goods and software used in the goods, a security interest in specific goods and license of software used in the goods, a lease of specific goods, or a lease of specific goods and license of software used in the goods. In this paragraph, “monetary obligation” means a monetary obligation secured by the goods or owed under a lease of the goods and includes a monetary obligation with respect to software used in the goods.

Question 12

Letter-of-credit rights

9-102 (a)(51)

Answer 12

a right to payment or performance under a letter of credit, whether or not the beneficiary has demanded or is at the time entitled to demand payment or performance.

Question 13

General intangibles

9-102 (a)(42)

Answer 13

any personal property, including things in action, other than accounts, chattel paper, commercial tort claims, deposit accounts, documents, goods, instruments, investment property, letter-of-credit rights, letters of credit, money and oil, gas, or other minerals before extraction. The term includes payment intangibles and software.

Question 14

Investment Property

9-102 (a)(49)

Answer 14

a security, whether certificated or uncertificated, security entitlement, securities account, commodity contract, or commodity account.

Question 15

Payment Intangibles

9-102(a)(61)

Answer 15

right to payment of a monetary obligation not evidenced by a record and not attached to the sale of goods or provision of services.

Question 16

Instruments

9-102 (a)(47)

Answer 16

Means a negotiable instrument or any other writing that evidences a right to the payment of a monetary obligations, is not itself a security agreement or lease, and is of a type that in ordinary course of business is transferred by delivery with any necessary indorsement or assignment. The term does not include (i) investment property, (ii) letters of credit, or (iii) writings that evidence a right to payment arising out of the use of a credit or charge card or information contained on or for use with the card.

Question 17

Money

1-201 (b)(24)

Answer 17

Means a medium of exchange currently authorized or adopted by a domestic or foreign government. The term includes a monetary unit of account established by an intergovernmental organization or by agreement between two or more countries.

Question 18

Goods

9-102(a)(44)

Answer 18

personal property that is movable at the time when the security interest attaches to it