Security interests arising under article 2 or 2a.

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SECURITY INTERESTS ARISING UNDER ARTICLE 2 OR 2A

A security interest arising under Section 2-401, 2-505, paragraph (3) of Section 2-711, or paragraph (5) of Section 2A-508 of this title is subject to this article. However, until the debtor obtains possession of the goods:

(1) the security interest is enforceable, even if paragraph (3) of subsection (b) of Section 1-9-203 of this title has not been satisfied;

(2) filing is not required to perfect the security interest;

(3) the rights of the secured party after default by the debtor are governed by Article 2 or 2A of this title; and

(4) the security interest has priority over a conflicting security interest created by the debtor.

Added by Laws 2000, c. 371, § 10, eff. July 1, 2001.


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