Priority of security interests in letter-of-credit

1. Law
2. Maryland Code
3. Commercial Law
4. Secured Transactions
5. Perfection and Priority
6. Priority of security interests in letter-of-credit

    The following rules govern priority among conflicting security interests in the same letter-of-credit right:

        (1)    A security interest held by a secured party having control of the letter-of-credit right under § 9-107 has priority to the extent of its control over a conflicting security interest held by a secured party that does not have control.

        (2)    Security interests perfected by control under § 9-314 rank according to priority in time of obtaining control.

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