§ 9-601 — Rights after Default; Judicial Enforcement; Consignor or Buyer of Accounts, Chattel Paper, Payment Intangibles, or Promissory Notes

New York § 9-601

• Jurisdiction: New York
• Law UCC: Uniform Commercial Code
• Part 6: Default
• Subpart 1: Default and Enforcement of Security Interest
• Art. 9: Secured Transactions

Text

Section 9--601. Rights after Default; Judicial Enforcement; Consignor or\n Buyer of Accounts, Chattel Paper, Payment Intangibles,\n or Promissory Notes.\n (a) Rights of secured party after default. After default, a secured\nparty has the rights provided in this part and, except as otherwise\nprovided in Section 9--602, those provided by agreement of the parties.\nA secured party:\n (1) may reduce a claim to judgment, foreclose, or otherwise\n enforce the claim, security interest, or agricultural lien by\n any available judicial procedure; and\n (2) if the collateral is documents, may proceed either as to the\n documents or as to the goods they cover.\n * (b) Rights and duties of secured party in possession or control. A\nsecured party in possession of collateral or control of collateral under\nSection 7--106, 9--104, 9--105, 9--106, or 9--107 has the rights and\nduties provided in Section 9--207.\n * NB Effective until June 3, 2026\n* (b) Rights and duties of secured party in possession or control. A\nsecured party in possession of collateral or control of collateral under\nSection 7--106, 9--104, 9--105, 9--105A, 9--106, 9--107, or 9--107A has\nthe rights and duties provided in Section 9--207.\n * NB Effective June 3, 2026\n (c) Rights cumulative; simultaneous exercise. The rights under\nsubsections (a) and (b) are cumulative and may be exercised\nsimultaneously.\n (d) Rights of debtor and obligor. Except as otherwise provided in\nsubsection (g) and Section 9--605, after default, a debtor and an\nobligor have the rights provided in this part and by agreement of the\nparties.\n (e) Lien of levy after judgment. If a secured party has reduced its\nclaim to judgment, the lien of any levy that may be made upon the\ncollateral by virtue of an execution based upon the judgment relates\nback to the earliest of:\n (1) the date of perfection of the security interest or\n agricultural lien in the collateral;\n (2) the date of filing a financing statement covering the\n collateral; or\n (3) any date specified in a statute under which the agricultural\n lien was created.\n (f) Execution sale. A sale pursuant to an execution is a foreclosure\nof the security interest or agricultural lien by judicial procedure\nwithin the meaning of this section. A secured party may purchase at the\nsale and thereafter hold the collateral free of any other requirements\nof this article.\n (g) Consignor or buyer of certain rights to payment. Except as\notherwise provided in Section 9--607(c), this part imposes no duties\nupon a secured party that is a consignor or is a buyer of accounts,\nchattel paper, payment intangibles, or promissory notes.\n