Article 9 — Secured Transactions · Section 9-509
Explore UCC § 9-509, which addresses the sufficiency of a financing statement to provide notice of a security interest in collateral.
Source: U.C.C. § 9-509
A financing statement is sufficient if it is made in the form prescribed by this article and provides the name of the debtor and a description of the collateral.
UCC § 9-509 outlines the requirements for a financing statement, which must include the debtor's name and a clear description of the collateral to effectively notify third parties about the security interest involved.
A legal document filed by a secured party to give public notice of its security interest in the collateral.
An individual or entity that owes payment or performance under a secured obligation.
Property subject to a security interest.
Example 1
A lender files a financing statement that includes the full legal name of a business and a description of the machinery used in its operations.
Example 2
A personal loan agreement is backed by a car, and the lender files a UCC-1 financing statement describing the vehicle to secure the loan.