PRIORITY OF SECURITY INTERESTS IN TRANSFERRED COLLATERAL
(a) Except as otherwise provided in subsection (b) of this section, a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:
(1) the debtor acquired the collateral subject to the security interest created by the other person;
(2) the security interest created by the other person was perfected when the debtor acquired the collateral; and
(3) there is no period thereafter when the security interest is unperfected.
(b) Subsection (a) of this section subordinates a security interest only if the security interest:
(1) otherwise would have priority solely under subsection (a) of Section 1-9-322 or Section 1-9-324 of this title; or
(2) arose solely under paragraph (3) of Section 2-711 or paragraph (5) of Section 2A-508 of this title.
Added by Laws 2000, c. 371, § 52, eff. July 1, 2001.