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Searching 2021-2022 Session

The Vermont Statutes Online

 

Title 9A : Uniform Commercial Code

Article 009 : Secured Transactions

(Cite as: 9A V.S.A. § 9-627)
  • § 9-627. Determination of whether conduct was commercially reasonable

    (a) The fact that a greater amount could have been obtained by a collection, enforcement, disposition, or acceptance at a different time or in a different method from that selected by the secured party is not of itself sufficient to preclude the secured party from establishing that the collection, enforcement, disposition, or acceptance was made in a commercially reasonable manner.

    (b) A disposition of collateral is made in a commercially reasonable manner if the disposition is made:

    (1) in the usual manner on any recognized market;

    (2) at the price current in any recognized market at the time of the disposition; or

    (3) otherwise in conformity with reasonable commercial practices among dealers in the type of property that was the subject of the disposition.

    (c) A collection, enforcement, disposition, or acceptance is commercially reasonable if it has been approved:

    (1) in a judicial proceeding;

    (2) by a bona fide creditors' committee;

    (3) by a representative of creditors; or

    (4) by an assignee for the benefit of creditors.

    (d) Approval under subsection (c) of this section need not be obtained, and lack of approval does not mean that the collection, enforcement, disposition, or acceptance is not commercially reasonable. (Added 1999, No. 106 (Adj. Sess.), § 2, eff. July 1, 2001.)