28-9-618. RIGHTS AND DUTIES OF CERTAIN SECONDARY OBLIGORS. (a) A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:
(1) Receives an assignment of a secured obligation from the secured party;
(2) Receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or
(3) Is subrogated to the rights of a secured party with respect to collateral.
(b) An assignment, transfer or subrogation described in subsection (a) of this section:
(1) Is not a disposition of collateral under section 28-9-610; and
(2) Relieves the secured party of further duties under this chapter.
History:
[28-9-618, added 2001, ch. 208, sec. 2, p. 791.]