(a) Enforcement: personal and real property.  If a security agreement covers both personal and real property, a secured party may proceed:

(1)  Under this part as to the personal property without prejudicing any rights with respect to the real property; or

(2)  As to both the personal property and the real property in accordance with the rights with respect to the real property, in which case the other provisions of this part do not apply.

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Terms Used In Rhode Island General Laws 6A-9-604

  • 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.
  • person: may be construed to extend to and include co-partnerships and bodies corporate and politic. See Rhode Island General Laws 43-3-6
  • Personal property: All property that is not real property.
  • Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.

(b) Enforcement: fixtures.  Subject to subsection (c), if a security agreement covers goods that are or become fixtures, a secured party may proceed:

(1)  Under this part; or

(2)  In accordance with the rights with respect to real property, in which case the other provisions of this part do not apply.

(c) Removal of fixtures.  Subject to the other provisions of this part, if a secured party holding a security interest in fixtures has priority over all owners and encumbrancers of the real property, the secured party, after default, may remove the collateral from the real property.

(d) Injury caused by removal.  A secured party that removes collateral shall promptly reimburse any encumbrancer or owner of the real property, other than the debtor, for the cost of repair of any physical injury caused by the removal. The secured party need not reimburse the encumbrancer or owner for any diminution in value of the real property caused by the absence of the goods removed or by any necessity of replacing them. A person entitled to reimbursement may refuse permission to remove until the secured party gives adequate assurance for the performance of the obligation to reimburse.

History of Section.
P.L. 2000, ch. 182, § 6; P.L. 2000, ch. 420, § 6.