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Can you summarize Chapter 2 ?
Secured Transactions; Sales of Accounts and Chattel Paper > Validity of Security Agreement and Rights of Parties Thereto
Short Summary
This legal document, part of the Guam Code Annotated, specifically falls under the Uniform Commercial Code and pertains to Secured Transactions and Sales of Accounts and Chattel Paper. It outlines the requirements for the enforceability of a security interest and the attachment of collateral. To be enforceable, the collateral must either be in the possession of the secured party or the debtor must have signed a security agreement that includes a description of the collateral. Additionally, value must have been given, and the debtor must have rights in the collateral. The security interest attaches as soon as all these requirements are met, unless there is an explicit agreement to postpone attachment. The document also grants the secured party rights to proceeds, as provided by Section 9306, unless otherwise agreed. It is important to note that this document is subject to the Uniform Consumer Credit Code and any conflicts between the provisions of this document and that statute are controlled by the provisions of the statute. Non-compliance with applicable statutes may have specified effects.
Whom does it apply to?
Parties to a security agreement, purchasers of collateral, and creditors
What does it govern?
Validity of Security Agreement and Rights of Parties Thereto
What are exemptions?
None mentioned
What are the Penalties?
None mentioned
Jurisdiction
Guam