perfection

Question 1

what does perfection do

Answer 1

provides notice to other parties that I have a security interest in the property.

Question 2

what are the 4 methods to perfect

Answer 2

file financing statement

possession

control

automatic perfection

Question 3

filing rules

Answer 3

filing financing statement in the office where D located

name of D and SP

describe collateral

Question 4

what name to use for individual D or corp D?

Answer 4

name on license

name on articles

Question 5

what if D’s name is messed up?

Answer 5

if seriously misleading, perfection ineffective

if you can search the real name and find the SI with the fake name, not seriously misleading

Question 6

what if i change D name?

Answer 6

Temporary perfection

SP must file amendment w/n 4 months or else anything after is not perfected

Question 7

does filing a FS expire? How would i prevent it from expiring?

Answer 7

yes after 5 years

unless you file a continuation statement within 6 m of expiration

Question 8

what collateral cannot be perfected by filing

Answer 8

goods with title like cars

Question 9

what can be perfected by possession?

Answer 9

goods, money, NI, chattel paper, certificated securities

Question 10

how long does perfection last with possession?

Answer 10

until you lose possession

Question 11

perfection by control?

Answer 11

deposit accounts, electronic stuff

Question 12

whats the only way to perfect money?

Answer 12

possession

Question 13

whats the only way to perfect deposit accounts?

Answer 13

control

be a customer at bank or deposit check

Question 14

when does automatic perfection occur?

Answer 14

PMSI in consumer goods

Question 15

2 ways to create a PMSI

Answer 15

creditor sells goods on credit and gets SI in those goods

advancing funds used to buy the goods and getting an SI

Question 16

proceeds requirement

Answer 16

identifiable and traceable to collateral

Question 17

are proceeds automatically perfected?

Answer 17

if SI in OG collateral is perfected, proceeds perfected for 20 days

Question 18

How to keep perfection of proceeds after 20 days

Answer 18

if pursuant to FS

IDable cash proceeds

same office rule

Question 19

what is the same office rule

Answer 19

if proceeds not cash, and would be filed in same place as OG collateral

Question 20

What if the filing office fucks up?

Answer 20

If wrongfully filed in VA, they have power to review and remove

Question 21

What if D moves out of state?

Answer 21

Temporary perfection

SI remains perfected for 4 m

Go re file in that new state

Question 22

What if the collateral moves out of state?

Answer 22

If that same D still owns it, no need to re file

Question 23

What if there’s a new D owner?

Answer 23

Temporary perfection

1 year to re file

Question 24

What has priority over an SP who has perfected SI in OG collateral and proceeds

Answer 24

Proceeds of PMSI consumer goods