Ask Reggi Your Question Now
Can you summarize NVRS 104.9620?
Uniform Commercial CodeOriginal Articles > Acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral.
Short Summary
This legal document, part of the Nevada Revised Statutes under the Uniform Commercial CodeOriginal Articles, governs the acceptance of collateral in full or partial satisfaction of an obligation and the compulsory disposition of collateral. It outlines the conditions under which a secured party may accept collateral as satisfaction for the obligation it secures, including obtaining debtor consent and not receiving objections from certain parties. The document also specifies that if collateral is consumer goods, it should not be in the possession of the debtor when consent is given. Additionally, it clarifies the requirements for a valid acceptance of collateral and the timeframe for receiving objections. The document further mandates that a secured party must dispose of collateral within a specified time if certain payment thresholds have been met. However, it allows for longer disposal periods if agreed upon by the debtor and secondary obligors. Lastly, it states that in consumer transactions, collateral cannot be accepted in partial satisfaction of the obligation. No specific exemptions or penalties are mentioned in this document.
Whom does it apply to?
Secured parties and debtors
What does it govern?
Acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Nevada