This bill enacts provisions within Title 70A, Uniform Commercial Code.
This bill:
- defines terms;
- amends the scope of Title 70A, Chapter 2, Uniform Commercial Code - Sales, and Title 70A, Chapter 2a, Uniform Commercial Code - Leases;
- replaces certain references to "writing" with "record" in Title 70A, Uniform Commercial Code;
- amends provisions relating to a funds transfer;
- amends provisions relating to hybrid transactions;
- enacts provisions relating to the control of a controllable electronic record;
- provides for the discharge of an account debtor's obligation on a controllable account or controllable payment intangible;
- establishes the governing law for a controllable electronic record;
- provides where a branch of a bank is considered to be located for a choice of law provision;
- amends provisions relating to control of an electronic document of title;
- provides what does not qualify as a financial asset;
- amends provisions relating to a purchaser's control of a security entitlement;
- amends provisions relating to the control of a deposit account;
- amends provisions relating to the control of an electronic copy of a record evidencing chattel paper;
- provides the circumstances under which a secured party has control of a controllable electronic record;
- provides a limitation on when a security interest does not attach;
- amends the duties of a secured party with control of collateral;
- enacts provisions governing perfection and priority of security interests in chattel paper, controllable accounts, controllable electronic records, and controllable payment intangibles;
- amends provisions relating to perfection by control;
- enacts provisions governing perfection by possession and control of chattel paper;
- amends the contents of a notification of disposition of collateral;
- enacts transitional provisions for the Uniform Commercial Code Amendments (2022); and
- makes technical changes.