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Can you summarize IACO 554.9103?
UNIFORM COMMERCIAL CODE > Purchase-money security interest application of payments burden of establishing.
Short Summary
This section of the Iowa Code, specifically under the Uniform Commercial Code, governs the concept of purchase-money security interest and the application of payments in transactions other than consumer-goods transactions. It defines purchase-money collateral and purchase-money obligation, and outlines the conditions under which a security interest in goods or software qualifies as a purchase-money security interest. The section also addresses the application of payments in nonconsumer-goods transactions, providing guidelines for the order in which payments should be applied to obligations. Furthermore, it clarifies that a purchase-money security interest does not lose its status as such, even if it also secures non-purchase-money obligations or if the purchase-money obligation has been renewed or restructured. In nonconsumer-goods transactions, the burden of establishing the extent to which a security interest is a purchase-money security interest lies with the secured party. It is important to note that this section does not apply to consumer-goods transactions, and the determination of rules in such transactions is left to the court’s discretion.
Whom does it apply to?
Parties involved in transactions other than consumer-goods transactions
What does it govern?
Purchase-money security interest and application of payments
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Iowa