Indiana § 26-1-9.1-323 Future advances

Indiana Statutes

§ 26-1-9.1-323 — Future advances

Indiana § 26-1-9.1-323

Title 26COMMERCIAL LAW

Art. 1UNIFORM COMMERCIAL CODE

Ch. 9.1Secured Transactions

This text of Indiana § 26-1-9.1-323 (Future advances) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 26-1-9.1-323 (2026).

Text

(a)Except as otherwise provided in subsection (c), for purposes of determining the priority of a perfected security interest under IC 26-1-9.1-322(a)(1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:

(1)is made while the security interest is perfected only:

(A)under IC 26-1-9.1-309 when it attaches; or

(B)temporarily under IC 26-1-9.1-312(e), IC 26-1-9.1-312(f), or IC 26-1-9.1-312(g); and

(2)is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under IC 26-1-9.1-309, IC 26-1-9.1-312(e), IC 26-1-9.1-312(f), or IC 26-1-9.1-312(g).

(b)Except as otherwise provided in subsection (c), a security interest is subordinate to the r

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(a) Except as otherwise provided in
subsection (c), for purposes of determining the priority of a perfected
security interest under IC 26-1-9.1-322(a)(1), perfection of the security
interest dates from the time an advance is made to the extent that the
security interest secures an advance that:
(1) is made while the security interest is perfected only:
(A) under IC 26-1-9.1-309 when it attaches; or
(B) temporarily under IC 26-1-9.1-312(e), IC 26-1-9.1-312(f),
or IC 26-1-9.1-312(g); and
(2) is not made pursuant to a commitment entered into before or
while the security interest is perfected by a method other than
under IC 26-1-9.1-309, IC 26-1-9.1-312(e), IC 26-1-9.1-312(f), or
IC 26-1-9.1-312(g).
(b) Except as otherwise provided in subsection (c), a security
interest is subordinate to the rights of a person that becomes a lien
creditor to the extent that the security interest secures an advance made
more than forty-five (45) days after the person becomes a lien creditor
unless the advance is made:
(1) without knowledge of the lien; or
(2) pursuant to a commitment entered into without knowledge of
the lien.
(c) Subsections (a) and (b) do not apply to a security interest held by
a secured party that is a buyer of accounts, chattel paper, payment
intangibles, or promissory notes or a consignor.
(d) Except as otherwise provided in subsection (e), a buyer of goods
takes free of a security interest to the extent that it secures advances
made after the earlier of:
(1) the time the secured party acquires knowledge of the buyer's
purchase; or
(2) forty-five (45) days after the purchase.
(e) Subsection (d) does not apply if the advance is made pursuant to
a commitment entered into without knowledge of the buyer's purchase
and before the expiration of the forty-five (45) day period.
(f) Except as otherwise provided in subsection (g), a lessee of goods
takes the leasehold interest free of a security interest to the extent that
it secures advances made after the earlier of:
(1) the time the secured party acquires knowledge of the lease; or
(2) forty-five (45) days after the lease contract becomes
enforceable.
(g) Subsection (f) does not apply if the advance is made pursuant to
a commitment entered into without knowledge of the lease and before
the expiration of the forty-five (45) day period.