Ask a business law question, get an answer ASAP!
Thousands of highly rated, verified business lawyers.
Click here to chat with a lawyer about your rights.

Terms Used In Iowa Code 554.9209

  • 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.
554.9209 Duties of secured party if account debtor has been notified of assignment.
1. Applicability of section. Except as otherwise provided in subsection 3, this section
applies if:
a. there is no outstanding secured obligation; and
b. the secured party is not committed to make advances, incur obligations, or otherwise give value.
2. Duties of secured party after receiving demand from debtor. Within ten days after receiving an authenticated demand by the debtor, a secured party shall send to an account debtor that has received notification of an assignment to the secured party as assignee under § 554.9406, subsection 1, an authenticated record that releases the account debtor from any further obligation to the secured party.
3. Inapplicability to sales. This section does not apply to an assignment constituting the sale of an account, chattel paper, or payment intangible.
2000 Acts, ch 1149, §19, 187
Referred to in §554.9625