Risk Management Blog

If you do not reside in a state where your entity is qualified to do business, then most states require you to have a registered agent* to accept documents on your behalf. The state where your entity is registered needs to know they have a contact person for your business at all times (PO Box is not an acceptable address for registered agents). Your registered agent is responsible for receiving important tax and legal documents, such… >> READ MORE

Have you noticed a wave of calls from your customers to renegotiate the terms of their security agreement? Does it strike you as odd that so many are calling you all at once? Perhaps it’s not odd at all but instead an indication that a competitor has obtained a copy of your customer list and is reaching out directly to each and every one of your clients on it. “No way!” you might say. “How did that happen?” Well, it’s… >> READ MORE

Timing is critical when filing business entity documents . In many cases, proof of filing is a necessary step towards accomplishing other important tasks such as entering into contracts or opening a business bank account. Whether filing original formation documents or other papers related to the maintenance of a business entity, a rejected document can cost a filer time they can’t really afford to lose. There are many reasons why a filing… >> READ MORE

We continue our guest blog series with commercial lending attorney Bennett Cohen of the law firm Cohen, Salk & Huvard, P.C. You may also want to check out his eBook: Important Revisions To Article 9′s Rules Regarding Individual Debtors. Perfection in Titled Vehicles: Will a lender's notation of its lien on a certificate of title for a vehicle always perfect the lender's security interest? Answer: No. The general rule is that… >> READ MORE

We are pleased to welcome back guest author, attorney, Bennett L. Cohen to the FCS blog! Read on for the ninth installment in his blog series addressing the intricacies of UCC Termination Statements. UCC Termination Statements, a Trap for the Unwary: Part Nine Some secured parties actually instruct a search company to exclude terminated financing statements from the search results, based on the mistaken belief that terminated UCC statements… >> READ MORE

When Revised Article 9 (RA9) went into effect back in 2001, it dramatically streamlined the UCC filing process. Prior to RA9, the filing location for UCC Financing Statements was based on the location of the collateral, not the location of the debtor as it is today. As a result, creditors routinely had to file multiple UCC Financing Statements in order to perfect their security interest. There were even so-called dual-filing states that… >> READ MORE

On occasion questions come from the escrow community on certain situations that escrow agents find themselves in, involving the transfer of business assets and navigating through the CA UCC Code, under Division 6, Bulk Sale. The questions come in various forms, typically involving a business asset sale and transfer through escrow.  The transactions can involve business assets only or business assets with a Liquor License, but the scenario… >> READ MORE

Do you have UCC questions?  Attorney Bennett Cohen of Illinois law firm Cohen, Salk & Huvard, P.C., has the answers. Check out his guest post below. You may also want to check out his free eBook on RA9 Revisions to Individual Debtor Names. Timely UCC Filing: Is there any risk to a lender who files its UCC statement after the loan closing? Answer: Yes, the obvious risk is that an intervening lien (e.g., another UCC filing or… >> READ MORE

We're continuing our examination of control agreements for pledged securities accounts with guest blogger Bennett Cohen of the law firm Cohen, Salk & Huvard, P.C. See the introductory post here and the follow-up post, Is there adequate “control” language in the control agreement? Has the Broker subordinated its statutory first priority security interest in the Securities Account to the Lender's security interest in the Securities… >> READ MORE

We are pleased to welcome back guest author, attorney, Bennett L. Cohen to the FCS blog! Read on for the ninth installment in his blog series addressing the intricacies of UCC Termination Statements. UCC Termination Statements, a Trap for the Unwary: Part Ten As discussed last week, more due diligence is necessary if the debtor itself filed the UCC termination. In such case, it is suggested that the secured party issue a letter to you… >> READ MORE