§ 26-1-9.1-335 — Accessions

Indiana § 26-1-9.1-335

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

Text

(a) A security interest may be created in
an accession and continues in collateral that becomes an accession.
(b) If a security interest is perfected when the collateral becomes an
accession, the security interest remains perfected in the collateral.
(c) Except as otherwise provided in subsection (d), the other
provisions of IC 26-1-9.1-301 through IC 26-1-9.1-342 determine the
priority of a security interest in an accession.
(d) A security interest in an accession is subordinate to a security
interest in the whole which is perfected by compliance with the
requirements of a certificate-of-title statute under IC 26-1-9.1-311(b).
(e) After default, subject to IC 26-1-9.1-601 through IC 26-1-9.1-628, a secured party may remove an accession from other
goods if the security interest in the accession has priority over the
claims of every person having an interest in the whole.
(f) A secured party that removes an accession from other goods
under subsection (e) shall promptly reimburse any holder of a security
interest or other lien on, or owner, of the whole or the other goods,
other than the debtor, for the cost of repair of any physical injury to the
whole or the other goods. The secured party need not reimburse the
holder or owner for any diminution in value of the whole or the other
goods caused by the absence of the accession removed or by any
necessity for replacing it. A person entitled to reimbursement may
refuse permission to remove until the secured party gives adequate
assurance for the performance of the obligation to reimburse.

Legislative History

As added by P.L.57-2000, SEC.45. Amended by P.L.165-2001, SEC.9.