Arizona Laws 47-9325. Priority of security interests in transferred collateral
A. Except as otherwise provided in subsection B of this section, a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:
Terms Used In Arizona Laws 47-9325
- Collateral: means the property subject to a security interest or agricultural lien. See Arizona Laws 47-9102
- Debtor: means :
(a) A person having an interest, other than a security interest or other lien, in the collateral, whether or not the person is an obligor;
(b) A seller of accounts, chattel paper, payment intangibles or promissory notes; or
(c) A consignee. See Arizona Laws 47-9102
- Person: includes a corporation, company, partnership, firm, association or society, as well as a natural person. See Arizona Laws 1-215
1. The debtor acquired the collateral subject to the security interest created by the other person;
2. The security interest created by the other person was perfected when the debtor acquired the collateral; and
3. There is no period thereafter when the security interest is unperfected.
B. Subsection A of this section subordinates a security interest only if the security interest:
1. Otherwise would have priority solely under section 47-9322, subsection A or section 47-9324; or
2. Arose solely under section 47-2711, subsection C or section 47-2A508, subsection E.