Skip to navigation Skip to content Skip to subnav
Searching 2021-2022 Session

The Vermont Statutes Online

 

Title 9A : Uniform Commercial Code

Article 009 : SECURED TRANSACTIONS

(Cite as: 9A V.S.A. § 9-507)
  • § 9-507. Effect of certain events on effectiveness of financing statement

    (a) A filed financing statement remains effective with respect to collateral that is sold, exchanged, leased, licensed, or otherwise disposed of and in which a security interest or agricultural lien continues, even if the secured party knows of or consents to the disposition.

    (b) Except as otherwise provided in subsection (c) of this section and section 9- 508 of this title, a financing statement is not rendered ineffective if, after the financing statement is filed, the information provided in the financing statement becomes seriously misleading under section 9- 506 of this title.

    (c) If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under subsection 9- 503(a) of this title so that the financing statement becomes seriously misleading under section 9- 506 of this title:

    (1) the financing statement is effective to perfect a security interest in collateral acquired by the debtor before, or within four months after, the financing statement becomes seriously misleading; and

    (2) the financing statement is not effective to perfect a security interest in collateral acquired by the debtor more than four months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statement not seriously misleading is filed within four months after the financing statement became seriously misleading. (Added 1999, No. 106 (Adj. Sess.), § 2, eff. July 1, 2001; amended 2013, No. 157 (Adj. Sess.), § 1.)