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Can you summarize MNST 336.9-326?
UNIFORM COMMERCIAL CODE > PRIORITY OF SECURITY INTERESTS CREATED BY NEW DEBTOR.
Short Summary
This legal document, part of the Minnesota Statutes under the Uniform Commercial Code, addresses the priority of security interests created by a new debtor. It states that a security interest created by a new debtor in collateral, which is perfected solely by a filed financing statement that would be ineffective to perfect the security interest without the application of specific sections, is subordinate to a security interest in the same collateral that is perfected through means other than a filed financing statement. The document also discusses the priority among conflicting security interests in the same collateral when multiple original debtors are involved. The conflicting security interests rank according to the time of the new debtor becoming bound to the security agreements. No specific exemptions or penalties are mentioned in this document.
Whom does it apply to?
Creditors and debtors involved in creating security interests in collateral
What does it govern?
Priority of security interests created by new debtor
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota