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Can you summarize MNST 336.9-625?
UNIFORM COMMERCIAL CODE > REMEDIES FOR SECURED PARTY'S FAILURE TO COMPLY WITH ARTICLE.
Short Summary
This legal document pertains to the remedies available when a secured party fails to comply with the provisions of the Uniform Commercial Code (UCC) Article on trade regulations and consumer protection. If a secured party is found to be noncompliant, a court may order or restrain the collection, enforcement, or disposition of collateral. The noncompliant party may be liable for damages caused by the failure to comply, including loss resulting from the debtor’s inability to obtain alternative financing. The document specifies that debtors, obligors, and persons with a security interest or lien on the collateral may recover damages for their loss. In consumer goods transactions, the debtor or secondary obligor may recover an amount not less than the credit service charge plus ten percent of the principal amount of the obligation or the time-price differential plus ten percent of the cash price. Additionally, the document outlines statutory damages of $500 for noncompliance with specific provisions, such as failure to comply with filing requirements or failure to comply with a request for information. Failure to comply with a request under section 336.9-210 without reasonable cause may result in additional damages. The document also addresses the limitation of a security interest if a secured party fails to comply with a request regarding a list of collateral or a statement of account. Overall, this document provides a framework for seeking remedies and damages in cases of noncompliance with the UCC Article on trade regulations and consumer protection.
Whom does it apply to?
Secured parties, debtors, obligors, persons with security interest or lien on collateral
What does it govern?
Remedies for secured party's failure to comply with Article
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
Damages in the amount of any loss caused by noncompliance, statutory damages of $500 for specific noncompliance
Jurisdiction
Minnesota