§ 9-107.1 — Control of Beneficial Interest in Illinois Land Trust

Illinois § 9-107.1

• Jurisdiction: Illinois
• Topic: BUSINESS AND EMPLOYMENT
• Ch. 810: COMMERCIAL CODE
• Act 810 ILCS 5/: Uniform Commercial Code.
• Art.: Article 9 - Secured Transactions

Text

(a) Requirements for Control. A secured party has control of the beneficial interest in an Illinois land trust if: (1) the secured party shall have transmitted to the trustee for the trust a record authenticated by the debtor that contains a collateral assignment by the debtor of, or the grant of a security interest in, a beneficial interest in the trust; and (2) in an authenticated record, the trustee for the trust has accepted the collateral assignment or security agreement. (b) Debtor's right to direct disposition and proceeds. A secured party that has satisfied subsection (a) has control, even if the debtor retains, subject to the terms and conditions of the collateral assignment or security agreement, the power of direction of the trustee and the right to receive the rents, income and profits thereof.

Legislative History

(Source: P.A. 92-234, eff. 1-1-02.)