§ 34.1-9-103 — Purchase-money security interest; application of payments; burden of establishing

Wyoming § 34.1-9-103

• Jurisdiction: Wyoming
• Title 34.1: Uniform Commercial Code
• Art. 9: SECURED TRANSACTIONS

Text

(a) In this section:
(i) "Purchase-money collateral" means goods or
software that secures a purchase-money obligation incurred with
respect to that collateral; and
(ii) "Purchase-money obligation" means an obligation
of an obligor incurred as all or part of the price of the
collateral or for value given to enable the debtor to acquire
rights in or the use of the collateral if the value is in fact
so used.
(b) A security interest in goods is a purchase-money
security interest:
(i) To the extent that the goods are purchase-money
collateral with respect to that security interest;
(ii) If the security interest is in inventory that is
or was purchase-money collateral, also to the extent that the
security interest secures a purchase-money obligation incurred
with respect to other inventory in which the secured party holds
or held a purchase-money security interest; and
(iii) Also to the extent that the security interest
secures a purchase-money obligation incurred with respect to
software in which the secured party holds or held a
purchase-money security interest.
(c) A security interest in software is a purchase-money
security interest to the extent that the security interest also
secures a purchase-money obligation incurred with respect to
goods in which the secured party holds or held a purchase-money
security interest if:
(i) The debtor acquired its interest in the software
in an integrated transaction in which it acquired an interest in
the goods; and
(ii) The debtor acquired its interest in the software
for the principal purpose of using the software in the goods.
(d) The security interest of a consignor in goods that are
the subject of a consignment is a purchase-money security
interest in inventory.
(e) In a transaction other than a consumer-goods
transaction, if the extent to which a security interest is a
purchase-money security interest depends on the application of a
payment to a particular obligation, the payment must be applied:
(i) The purchase-money collateral also secures an
obligation that is not a purchase-money obligation;
(ii) Collateral that is not purchase-money collateral
also secures the purchase-money obligation; or
(iii) The purchase-money obligation has been renewed,
refinanced, consolidated or restructured.
(A) To obligations that are not secured; and
(B) If more than one (1) obligation is secured,
to obligations secured by purchase-money security interests in
the order in which those obligations were incurred.
(f) In a transaction other than a consumer-goods
transaction, a purchase-money security interest does not lose
its status as such, even if:
(i) The purchase-money collateral also secures an
obligation that is not a purchase-money obligation;
(ii) Collateral that is not purchase-money collateral
also secures the purchase-money obligation; or
(iii) The purchase-money obligation has been renewed,
refinanced, consolidated or restructured.
(g) In a transaction other than a consumer-goods
transaction, a secured party claiming a purchase-money security
interest has the burden of establishing the extent to which the
security interest is a purchase-money security interest.
(h) The limitation of the rules in subsections (e), (f)
and (g) to transactions other than consumer-goods transactions
is intended to leave to the court the determination of the
proper rules in consumer-goods transactions. The court may not
infer from that limitation the nature of the proper rule in
consumer-goods transactions and may continue to apply
established approaches.
34.1-9-103A. "Production-money crops"; "production-money
obligation"; production-money security interest; burden of
establishing.
(a) A security interest in crops is a production-money
security interest to the extent that the crops are
production-money crops.
(b) If the extent to which a security interest is a
production-money security interest depends on the application of
a payment to a particular obligation, the payment must be
applied:
(i) In accordance with any reasonable method of
application to which the parties agree;
(ii) In the absence of the parties' agreement to a
reasonable method, in accordance with any intention of the
obligor manifested at or before the time of payment; or
(iii) In the absence of an agreement to a reasonable
method and a timely manifestation of the obligor's intention, in
the following order:
(A) To obligations that are not secured; and
(B) If more than one (1) obligation is secured,
to obligations secured by production-money security interests in
the order in which those obligations were incurred.
(c) A production-money security interest does not lose its
status as such, even if:
(i) The production-money crops also secure an
obligation that is not a production-money obligation;
(ii) Collateral that is not production-money crops
also secures the production-money obligation; or
(iii) The production-money obligation has been
renewed, refinanced or restructured.
(d) A secured party claiming a production-money security
interest has the burden of establishing the extent to which the
security interest is a production-money security interest.