§ 26-1-9.1-204 — Security interest in after-acquired collateral; exceptions; future advances; proceeds

Indiana § 26-1-9.1-204

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 9.1: Secured Transactions

Text

(a) Except as otherwise provided in
subsection (b), a security agreement may create or provide for a
security interest in after-acquired collateral.
(b) Subject to subsection (d), a security interest does not attach
under a term constituting an after-acquired property clause to:
(1) consumer goods, other than an accession when given as
additional security, unless the debtor acquires rights in them
within ten (10) days after the secured party gives value; or
(2) a commercial tort claim.
(c) A security agreement may provide that collateral secures, or that
accounts, chattel paper, payment intangibles, or promissory notes are
sold in connection with, future advances or other value, whether or not
the advances or value are given pursuant to commitment.
(d) Subsection (b) does not prevent a security interest from
attaching:
(1) to consumer goods as proceeds under section 315(a) of this
chapter or commingled goods under section 336(c) of this
chapter;
(2) to a commercial tort claim as proceeds under section 315(a)
of this chapter; or
(3) under an after-acquired property clause to property that is
proceeds of consumer goods or a commercial tort claim.

Legislative History

As added by P.L.57-2000, SEC.45. Amended by P.L.199-2023, SEC.46.