Maine Revised Statutes Title 11 Sec. 9-1203 – Attachment and enforceability of security interest; proceeds; supporting obligations; formal requisites
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(1). A security interest attaches to collateral when it becomes enforceable against the debtor with respect to the collateral, unless an agreement expressly postpones the time of attachment.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
Terms Used In Maine Revised Statutes Title 11 Sec. 9-1203
- Account: includes health-care-insurance receivables. See Maine Revised Statutes Title 11 Sec. 9-1102
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Attachment: A procedure by which a person's property is seized to pay judgments levied by the court.
- Bank: includes savings banks, savings and loan associations, credit unions and trust companies. See Maine Revised Statutes Title 11 Sec. 9-1102
- Chattel paper: means a record or records that evidence both a monetary obligation and a security interest in specific goods, a security interest in specific goods and license of software used in the goods, a lease of specific goods or a lease of specific goods and license of software used in the goods. See Maine Revised Statutes Title 11 Sec. 9-1102
- Collateral: includes :
(a). See Maine Revised Statutes Title 11 Sec. 9-1102Commodity account: means an account maintained by a commodity intermediary in which a commodity contract is carried for a commodity customer. See Maine Revised Statutes Title 11 Sec. 9-1102 Contract: A legal written agreement that becomes binding when signed. Debtor: means :
(a). See Maine Revised Statutes Title 11 Sec. 9-1102Investment property: means a security, whether certificated or uncertificated, security entitlement, securities account, commodity contract or commodity account. See Maine Revised Statutes Title 11 Sec. 9-1102 Lien: A claim against real or personal property in satisfaction of a debt. New debtor: means a person that becomes bound as debtor under section 9?1203, subsection (4) by a security agreement previously entered into by another person. See Maine Revised Statutes Title 11 Sec. 9-1102 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. Proceeds: means the following property:
(a). See Maine Revised Statutes Title 11 Sec. 9-1102Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land. Secured party: means :
(a). See Maine Revised Statutes Title 11 Sec. 9-1102Security agreement: means an agreement that creates or provides for a security interest. See Maine Revised Statutes Title 11 Sec. 9-1102 Supporting obligation: means a letter-of-credit right or secondary obligation that supports the payment or performance of an account, chattel paper, a document, a general intangible, an instrument or investment property. See Maine Revised Statutes Title 11 Sec. 9-1102
(2). Except as otherwise provided in subsections (3) through (9), a security interest is enforceable against the debtor and 3rd parties with respect to the collateral only if:
(a). Value has been given; [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(b). The debtor has rights in the collateral or the power to transfer rights in the collateral to a secured party; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(c). One of the following conditions is met:
(i) The debtor has authenticated a security agreement that provides a description of the collateral and, if the security interest covers timber to be cut, a description of the land concerned;
(ii) The collateral is not a certificated security and is in the possession of the secured party under section 9?1313 pursuant to the debtor’s security agreement;
(iii) The collateral is a certificated security in registered form and the security certificate has been delivered to the secured party under section 8?1302 pursuant to the debtor’s security agreement; or
(iv) The collateral is deposit accounts, electronic chattel paper, investment property, letter-of-credit rights or electronic documents, and the secured party has control under sections 9?1104, 9?1105, 9?1106 or 9?1107 pursuant to the debtor’s security agreement. [PL 2009, c. 324, Pt. B, §29 (AMD); PL 2009, c. 324, Pt. B, §48 (AFF).]
[PL 2009, c. 324, Pt. B, §29 (AMD); PL 2009, c. 324, Pt. B, §48 (AFF).]
(3). Subsection (2) is subject to section 4?210 on the security interest of a collecting bank, section 5?1118 on the security interest of a letter-of-credit issuer or nominated person, section 9?1110 on a security interest arising under Article 2 or 2?A, and section 9?1206 on security interests in investment property.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(4). A person becomes bound as debtor by a security agreement entered into by another person if, by operation of law other than this Article or by contract:
(a). The security agreement becomes effective to create a security interest in the person’s property; or [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(b). The person becomes generally obligated for the obligations of the other person, including the obligation secured under the security agreement, and acquires or succeeds to all or substantially all of the assets of the other person. [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(5). If a new debtor becomes bound as debtor by a security agreement entered into by another person:
(a). The agreement satisfies subsection (2), paragraph (c) with respect to existing or after-acquired property of the new debtor to the extent the property is described in the agreement; and [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(b). Another agreement is not necessary to make a security interest in the property enforceable. [PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(6). The attachment of a security interest in collateral gives the secured party the rights to proceeds provided by section 9?1315 and is also attachment of a security interest in a supporting obligation for the collateral.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(7). The attachment of a security interest in a right to payment or performance secured by a security interest or other lien on personal or real property is also attachment of a security interest in the security interest, mortgage or other lien.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(8). The attachment of a security interest in a securities account is also attachment of a security interest in the security entitlements carried in the securities account.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
(9). The attachment of a security interest in a commodity account is also attachment of a security interest in the commodity contracts carried in the commodity account.
[PL 1999, c. 699, Pt. A, §2 (NEW); PL 1999, c. 699, Pt. A, §4 (AFF).]
SECTION HISTORY
PL 1999, c. 699, §A2 (NEW). PL 1999, c. 699, §A4 (AFF). PL 2009, c. 324, Pt. B, §29 (AMD). PL 2009, c. 324, Pt. B, §48 (AFF).