Perfection by control

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  • (a) Perfection by control. A security interest in investment property, deposit accounts, letter-of-credit rights, or electronic chattel paper may be perfected by control of the collateral under § 9–104, 9–105; 9–106, or 9–107.

  • (b) Specified collateral: time of perfection by control; continuation of perfection. A security interest in deposit accounts, electronic chattel paper, or letter-of-credit rights is perfected by control under § 9–104, 9–105, or 9–107 when the secured party obtains control and remains perfected by control only while the secured party retains control.

  • (c) Investment property: time of perfection by control; continuation of perfection. A security interest in investment property is perfected by control under § 9–106 from the time the secured party obtains control and remains perfected by control until:

    • (1) the secured party does not have control; and

    • (2) one of the following occurs:

      • (A) if the collateral is a certificated security, the debtor has or acquires possession of the security certificate;

      • (B) if the collateral is an uncertificated security, the issuer has registered or registers the debtor as the registered owner; or

      • (C) if the collateral is a security entitlement, the debtor is or becomes the entitlement holder.


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