North Dakota Code 41-09-116 – (9-621) Notification of proposal to accept collateral
1. A secured party that desires to accept collateral in full or partial satisfaction of the obligation it secures shall send its proposal to:
Terms Used In North Dakota Code 41-09-116
- Debtor: means a natural person whose name was provided in a financing statement record as an individual debtor or one of the types of persons listed in section 41-09-76. See North Dakota Code 41-10-01
- Lien: A claim against real or personal property in satisfaction of a debt.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
- Statute: A law passed by a legislature.
a. Any person from which the secured party has received, before the debtor consented to the acceptance, a signed notification of a claim of an interest in the collateral; b. Any other secured party or lienholder that, ten days before the debtor consented to the acceptance, held a security interest in or other lien on the collateral perfected by the filing of a financing statement that:
(1) Identified the collateral; (2) Was indexed under the debtor’s name as of that date; and
(3) Was filed in the office or offices in which to file a financing statement against the debtor covering the collateral as of that date; and
c. Any other secured party that, ten days before the debtor consented to the acceptance, held a security interest in the collateral perfected by compliance with a statute, regulation, or treaty described in subsection 1 of section 41-09-31.
2. A secured party that desires to accept collateral in partial satisfaction of the obligation it secures shall send its proposal to any secondary obligor in addition to the persons described in subsection 1.