§ 41-09-55 — (9-335) Accessions

North Dakota § 41-09-55

• Jurisdiction: North Dakota
• Title 41: Uniform Commercial Code
• Ch. 41-09: Secured Transactions

Text

1. A security interest may be created in an accession and continues in collateral that
becomes an accession.
2. If a security interest is perfected when the collateral becomes an accession, the
security interest remains perfected in the collateral.
3. Except as otherwise provided in subsection 4, the other provisions of this part
determine the priority of a security interest in an accession.
4. 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 subsection 2 of section 41-09-51.

5. After default, subject to sections 41-09-98 through 41-09-123, 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.
6. A secured party that removes an accession from other goods under subsection 5 shall
promptly reimburse any holder of a security interest or other lien on, or owner of, the
whole or of 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.