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Can you summarize IACO 554.9604?
UNIFORM COMMERCIAL CODE > Procedure if security agreement covers real property or fixtures.
Short Summary
This legal document, governed by the Iowa Code under the Uniform Commercial Code, outlines the procedure to be followed when a security agreement covers both personal and real property, or fixtures. If a security agreement covers both personal and real property, a secured party can proceed under this part for personal property without affecting their rights with respect to the real property. Alternatively, they can proceed with both personal and real property in accordance with the rights related to the real property, in which case the other provisions of this part do not apply. If a security agreement covers goods that are or become fixtures, a secured party can proceed under this part or in accordance with the rights related to real property, again with the other provisions of this part not applying. The document also allows a secured party holding a security interest in fixtures to remove the collateral from the real property if they have priority over all owners and encumbrancers of the real property. In case of any physical injury caused by the removal, the secured party is required to promptly reimburse the encumbrancer or owner for the cost of repair. However, they are not obligated to reimburse for any diminution in value of the real property caused by the absence of the goods removed or by any necessity of replacing them.
Whom does it apply to?
Secured parties and owners/encumbrancers of real property
What does it govern?
Procedure if security agreement covers real property or fixtures
What are exemptions?
No exemptions are mentioned
What are the Penalties?
No penalties are mentioned
Jurisdiction
Iowa