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. (1) The contents of a notification of disposition are sufficient if the notification:

    1. (A) describes the debtor and the secured party;

    2. (B) describes the collateral that is the subject of the intended disposition;

    3. (C) states the method of intended disposition;

    4. (D) states that the debtor is entitled to an accounting of the unpaid indebtedness and states the charge, if any, for an accounting; and

    5. (E) states the time and place of a public disposition or the time after which any other disposition is to be made.

  2. (2) Whether the contents of a notification that lacks any of the information specified in paragraph (1) are nevertheless sufficient is a question of fact.

  3. (3) The contents of a notification providing substantially the information specified in paragraph (1) are sufficient, even if the notification includes:

    1. (A) information not specified by that paragraph; or

    2. (B) minor errors that are not seriously misleading.

  4. (4) A particular phrasing of the notification is not required.

  5. (5) The following form of notification and the form appearing in § 4-9-614(3), when completed, each provides sufficient information:

NOTIFICATION OF DISPOSITION OF COLLATERAL To: [ Name of debtor, obligor, or other person to which the notification is sent ] From: [ Name, address, and telephone number of secured party ] Name of Debtor(s): [ Include only if debtor(s) are not an addressee ] [ For a public disposition: ] We will sell [or lease or license, as applicable ] the [ describe collateral ] [to the highest qualified bidder] in public as follows: Day and Date: Time: Place: [ For a private disposition: ] We will sell [or lease or license, as applicable ] the [ describe collateral ] privately sometime after [ day and date ]. You are entitled to an accounting of the unpaid indebtedness secured by the property that we intend to sell [or lease or license, as applicable ] [for a charge of $ ]. You may request an accounting by calling us at [ telephone number ]

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