Delaware Code Title 6 Sec. 9-111 – Law governing creation, attachment and enforcement of security …
(a) Law governing classification of collateral and creation, attachment and enforcement of security interests. — If a security agreement is governed by the Laws of the State of Delaware, then those Laws shall govern, among other things:
(1) The classification of the collateral subject to that agreement; and
(2) The creation, attachment, validity and enforcement of the security interest.
Terms Used In Delaware Code Title 6 Sec. 9-111
- Attachment: A procedure by which a person's property is seized to pay judgments levied by the court.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- 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.
- Personal property: All property that is not real property.
- State: means the District of Columbia or the Commonwealth of Puerto Rico or any state, territory, possession, or other jurisdiction of the United States other than the State of Delaware. See Delaware Code Title 6 Sec. 17-101
(b) Law governing characterization of certain transactions. — If an agreement is governed by the Laws of the State of Delaware, then those Laws shall govern, among other things:
(1) The characterization of a transaction subject to that agreement as (A) an interest in personal property or fixtures that secures payment or performance of an obligation, or (B) a sale, lease, bailment or consignment; and
(2) The characterization of a transaction subject to that agreement as a securitization transaction for purposes of Chapter 27A of this title.