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Can you summarize NHRS 382-A:9-508?
UNIFORM COMMERCIAL CODE > Effectiveness of Financing Statement if New Debtor Becomes Bound by Security Agreement.
Short Summary
This section of the New Hampshire Revised Statutes, specifically the Uniform Commercial Code (Chapter 382-A), governs the effectiveness of a financing statement when a new debtor becomes bound by a security agreement. It states that a filed financing statement naming an original debtor is effective to perfect a security interest in collateral in which a new debtor has or acquires rights, as long as the financing statement would have been effective had the original debtor acquired rights in the collateral. However, if the difference between the name of the original debtor and the new debtor causes the financing statement to be seriously misleading, it has different effects depending on the timing. If the new debtor becomes bound under Section 9-203(d) within four months after the filing, the financing statement is effective to perfect a security interest in collateral acquired by the new debtor during that time. However, if the new debtor becomes bound more than four months after the filing, an initial financing statement providing the name of the new debtor must be filed before the expiration of that time for the financing statement to be effective. This section does not apply if a filed financing statement remains effective against the new debtor under Section 9-507(a).
Whom does it apply to?
Creditors and debtors involved in security agreements and financing statements
What does it govern?
Effectiveness of Financing Statement if New Debtor Becomes Bound by Security Agreement
What are exemptions?
This section does not apply to collateral as to which a filed financing statement remains effective against the new debtor under Section 9-507(a)
What are the Penalties?
No penalties mentioned
Jurisdiction
New Hampshire