57A-9-618. Rights and duties of secondary obligor.
(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):
(1)Is not a disposition of collateral under §57A-9-610; and
(2)Relieves the secured party of further duties under this chapter.
Source: SL 2000, ch 231.