Sec. 2. (a) This section applies to an instrument regardless of when the instrument was recorded, except that this section does not divest rights that vested before May 1, 1993.

     (b) An assignment, a mortgage, or a pledge of rents and profits arising from real estate that is intended as security, whether contained in a separate instrument or otherwise, must be recorded under section 1 of this chapter.

     (c) When an assignment, a mortgage, or a pledge of rents and profits is recorded under subsection (b), the security interest of the assignee, mortgagee, or pledgee is immediately perfected as to the assignor, mortgagor, pledgor, and any third parties:

(1) regardless of whether the assignment, mortgage, or pledge is operative:

(A) immediately;

(B) upon the occurrence of a default; or

(C) under any other circumstances; and

(2) without the holder of the security interest taking any further action.

     (d) This section does not apply to security interests in:

(1) farm products;

(2) accounts or general intangibles arising from or relating to the sale of farm products by a farmer;

(3) timber to be cut; or

(4) minerals or the like (including oil and gas);

that may be perfected under IC 26-1-9.1.

[Pre-2002 Recodification Citation: 32-1-2-16.3.]

As added by P.L.2-2002, SEC.6.