Kentucky Statutes 355.9-613 – Contents and form of notification before disposition of collateral: General
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Except in a consumer-goods transaction, the following rules apply:
(1) The contents of a notification of disposition are sufficient if the notification: (a) Describes the debtor and the secured party;
(b) Describes the collateral that is the subject of the intended disposition; (c) States the method of intended disposition;
(d) States that the debtor is entitled to an accounting of the unpaid indebtedness and states the charge, if any, for an accounting; and
(e) States the time and place of a public disposition or the time after which any other disposition is to be made.
(2) Whether the contents of a notification that lacks any of the information specified in subsection (1) of this section are nevertheless sufficient is a question of fact.
(3) The contents of a notification providing substantially the information specified in subsection (1) of this section are sufficient, even if the notification includes:
(a) Information not specified by that subsection; or
(b) Minor errors that are not seriously misleading.
(4) A particular phrasing of the notification is not required.
(5) The following form of notification and the form appearing in KRS § 355.9-614(3), when completed, each provides sufficient information:
“NOTIFICATION OF DISPOSITION OF COLLATERAL
To: ….. From: …..
Name of Debtor(s): …..
We will selllease or license, as applicable> the ….. in public as follows:
Day and Date: …………… Time: …………… Place: ……………
We will sell the …..
privately sometime after.
You are entitled to an accounting of the unpaid indebtedness secured by the property that we intend to sell . You may request an accounting by calling us at …..“.
Effective: July 1, 2001
History: Created 2000 Ky. Acts ch. 408, sec. 131, effective July 1, 2001.
(1) The contents of a notification of disposition are sufficient if the notification: (a) Describes the debtor and the secured party;
Terms Used In Kentucky Statutes 355.9-613
- 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
(b) Describes the collateral that is the subject of the intended disposition; (c) States the method of intended disposition;
(d) States that the debtor is entitled to an accounting of the unpaid indebtedness and states the charge, if any, for an accounting; and
(e) States the time and place of a public disposition or the time after which any other disposition is to be made.
(2) Whether the contents of a notification that lacks any of the information specified in subsection (1) of this section are nevertheless sufficient is a question of fact.
(3) The contents of a notification providing substantially the information specified in subsection (1) of this section are sufficient, even if the notification includes:
(a) Information not specified by that subsection; or
(b) Minor errors that are not seriously misleading.
(4) A particular phrasing of the notification is not required.
(5) The following form of notification and the form appearing in KRS § 355.9-614(3), when completed, each provides sufficient information:
“NOTIFICATION OF DISPOSITION OF COLLATERAL
To: …..
Name of Debtor(s): …..
We will sell
Day and Date: …………… Time: …………… Place: ……………
We will sell
privately sometime after
You are entitled to an accounting of the unpaid indebtedness secured by the property that we intend to sell
Effective: July 1, 2001
History: Created 2000 Ky. Acts ch. 408, sec. 131, effective July 1, 2001.