Secured Transactions

Question 1

When does Article 9 apply?

Answer 1

When the parties intend to create a security interest in personal property or fixtures.

Question 2

What is required for a security interest to attach?

Answer 2

1) Security agreement (description of collateral, signature of some kind, intent to create a security agreement)
2) Debtor has rights in the collateral
3) Lender provides value

Question 3

What is the rule for when a creditor tries to sell collateral?

Answer 3

Creditor must notify debtor and give them 10 days to redeem