What is commercially reasonable UCC?
A sale is commercially reasonable if it is a “disposition in any recognizable market,” is “otherwise in conformity with reasonable commercial practices among dealers in the type of property that was the subject of the disposition,” or is approved in a judicial proceeding, by a bona fide creditor’s committee, by a …
What are the three 3 main methods of perfecting a security interest under the Uniform Commercial Code UCC )?
The three requirements of: giving value, debtor rights in the collateral, and an authenticated security agreement apply to the most common types of collateral, such as equipment, inventory and even payments due under a contract.
What is Article 9 of the Uniform Commercial Code?
Article 9 is an article under the Uniform Commercial Code (UCC) that governs secured transactions, or those transactions that pair a debt with the creditor’s interest in the secured property.
Which article of the Uniform Commercial Code UCC controls commercial paper?
Article 3 of the Uniform Commercial Code (UCC) governs the rights and liabilities of parties to what the Code calls “commercial paper.” This “paper” calls for a party to pay money rather than deliver goods or perform a service.
What does commercially reasonable manner mean?
Commercially Reasonable Manner or “Commercially Reasonable” means, with respect to a given goal or requirement, the manner, efforts and resources a reasonable person in the position of the promisor would use, in the exercise of its reasonable business discretion and industry practice, so as to achieve that goal or …
What section of the UCC addresses the debtors rights to redeem collateral after repossession?
Finally, the bankruptcy court reviewed §7-9-506 (UCC §9-506), which grants the debtor the right to redeem the collateral at any time before the secured party has disposed of or entered into a contract for its disposition.
Who is an account debtor under the UCC?
(3) “Account debtor” means a person obligated on an account, chattel paper, or general intangible. The term does not include persons obligated to pay a negotiable instrument, even if the instrument constitutes part of chattel paper.
Does UCC Article 9 apply to consumer transactions?
Credit extended for the operation of a business is not consumer debt and even consumer goods or consumer intangibles taken as security would not make the transaction a consumer transaction (though as noted above, some provisions of Revised Article 9 apply to transactions secured by consumer goods even though the credit …
What does the UCC not cover?
Basically, the broad categories that are not covered are transactions involving the sale of real estate, transactions involving the sale of businesses (although other articles of the UCC can and will apply), and transactions involving “intangibles, such as goodwill, patents, trademarks, and copyrights.”
How many articles are in the UCC?
nine separate articles
The Uniform Commercial Code (UCC) is a set of business laws that regulate financial contracts and transactions employed across states. The UCC code consists of nine separate articles, each of which covers separate aspects of banking and loans.
What is commercially acceptable?
A work that is not pefect but will due according to the commercial standards.