Utah Statutes

§ 70A-9a-205 — Use or disposition of collateral permissible.

Utah·Title 70A Uniform Commercial Code·Ch. 70A-9a Uniform Commercial Code - Secured Transactions·Part 70A-9a-2 Effectiveness of Security Agreement - Attachment of Security Interest - Rights of Parties to Security Agreement
(1)A security interest is not invalid or fraudulent against creditors solely because:
(1)(a) the debtor has the right or ability to:
(1)(a)(i) use, commingle, or dispose of all or part of the collateral, including returned or repossessed goods;
(1)(a)(ii) collect, compromise, enforce, or otherwise deal with collateral;
(1)(a)(iii) accept the return of collateral or make repossessions; or
(1)(a)(iv) use, commingle, or dispose of proceeds; or
(1)(b) the secured party fails to require the debtor to account for proceeds or replace collateral.
(2)This section does not relax the requirements of possession if attachment, perfection, or enforcement of a security interest depends upon possession of the collateral by the secured party.

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Utah § 70A-9a-205 (Use or disposition of collateral permissible.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

Enacted by Chapter 252, 2000 General Session

Nearby Sections

15
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