...

UCC-1 with out a Security Agreement ? NO !!!
http://wiki.answers.com/Q/In_the_absence_of_a_security_agreement_can_a_UCC-1_filing_be_considered_evidence_of_a_legal_security_interest


In the absence of a security agreement can a UCC-1 filing be considered evidence of a legal security interest?


Answer:

If a security agreement is not completed and signed by the debtor, their is no security and a UCC-1 alone will not stand.

If you know/believe there was a security agreement signed and cannot locate or get access to it: a UCC-1 that has the "stamp" or other certification on it that the Secretary of State "recorded" the UCC-1, then the creditor indeed has a security interest.

You can call the Sec'y of State and ask the procedure for filing a UCC-1.


PERFECTING A SECURITY INTEREST
***********************************
The process of doing so, and receiveing a copy back with the recording information on it, is called "perfecting a security interest".

The office can also tell you how to do a search, and the cost, to find out if the UCC-1 was recorded, and the cost of getting a copy.

This is all public information, in fact, the act of filing the UCC-1 in this "public" manner is part of the legal requirement of perfecting.

In additon to talking with the office of the Sec'y of State, you can learn more, including the extent this is accurate in the state in question, by talking with business lawyers and bank loan officers. Check the legal section of book stores too, many have a department with books on variuos aspects of the law, including how to create a security interest.

<< Back to article