MEE SECURED TRANSACTIONS

Question 1

Consumer Goods

Answer 1

goods used or bought to use primarily for personal, family, or household purposes

Question 2

Equipment

Answer 2

goods used or bought for use in a business
ALSO DEFAULT CATEGORY

Question 3

inventory

Answer 3

(1) goods held for sale or lease
(2) goods that are to be furnished under a service K
OR
(3) materials used or consumed in a business in a short period of time

Question 4

farm products

Answer 4

(1) crops or livestock or supplies used or produced in farming operations
OR
(2) products of crops or livestock

Question 5

accounts

Answer 5

intangible collateral
includes a
(1) right to payment or
(2) property sold or
(3) services rendered

Question 6

statement for all secured MEEs

Answer 6

“Article 9 of the UCC governs all transactions the create a security interest in personal property or a fixture by contract regardless of its form”

Question 7

Attachment (definition and requirements)

Answer 7

attachment is the creation of a security interest
1. Rights in the collateral (debtor)
2. Security Agreement
- Authentication of the agreement
- Intent - record showing interest in creating a security interest
- Description of the collateral (not super generic must be reasonably identifiable)
3. Value given (by C to D and vice versa)

RSV attaches to your lung so you need AID (for security agreement) and RSV is a respiratory illness so reasonably identifiable

Question 8

Perfection (definition and requirements)

Answer 8

perfection is between creditors and all third parties - let’s the world know a creditor has a security interest

5 ways to perfect:
1. Automatic perfection (PMSI in consumer goods)
2. Possession (need to for $)
3. Control
4. Notation on certificate of title
5. File a financing statement

apple pie is perfect in America - apple pie crust nut filling

Question 9

Priorities (general rules)

Question 10

Priority (special rules)