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Can you summarize IACO 554.9605?
UNIFORM COMMERCIAL CODE > Unknown debtor or secondary obligor.
Short Summary
This legal document, governed by the Iowa Code under the Uniform Commercial Code, outlines the duties of secured parties to unknown persons. Generally, a secured party does not owe a duty to a debtor or obligor unless they have knowledge of the person’s identity and how to communicate with them. Similarly, a secured party does not owe a duty to a secured party or lienholder unless they know the person is a debtor and know their identity. However, if a secured party obtains control of a controllable account, controllable electronic record, or controllable payment intangible and is aware that the nature of the collateral or recording system prevents them from acquiring the necessary knowledge, they still owe a duty to the debtor. This document does not mention any specific exemptions or penalties.
Whom does it apply to?
Secured parties, debtors, obligors, secured parties or lienholders that have filed a financing statement against a person
What does it govern?
Duties to unknown persons
What are exemptions?
None mentioned
What are the Penalties?
No penalties mentioned
Jurisdiction
Iowa