§ 47-9-314 — Perfection by control

(a) Perfection by control. A security interest in investment property, deposit accounts, letter-of-credit rights, electronic chattel paper, or electronic documents may be perfected by control of the collateral under § 47-7-106 , § 47-9-104 , § 47-9-105 , § 47-9-106 , or § 47-9-107 . (b) Specified collateral: time of perfection by control; continuation of perfection. A security interest in deposit accounts, electronic chattel paper, letter-of-credit rights, or electronic documents is perfected by control under § 47-7-106 , § 47-9-104 , § 47-9-105 , or § 47-9-107 when the secured party obtains control and remains perfected by control only while the secured party retains control. (c) Investment property: time of perfection by control; continuation of perfection. A security interest in investment property is perfected by control under § 47-9-106 from the time the secured party obtains control and remains perfected by control until: (1) the secured party does not have control; and (2) one (1) of the following occurs: (A) if the collateral is a certificated security, the debtor has or acquires possession of the security certificate; (B) if the collateral is an uncertificated security, the issuer has registered or registers the debtor as the registered owner; or (C) if the collateral is a security entitlement, the debtor is or becomes the entitlement holder.

Legislative History

Acts 2000, ch. 846, § 1; 2008 , ch. 814, § 34.