Risk Management Blog

If you're new to the Uniform Commercial Code (UCC), you'll need a few basic definitions before we answer that. We'll start you off with a few terms that are the building blocks of UCC search and filing procedures. Secured Transaction: This is a loan in which the lender acquires a security interest in collateral that belongs to the debtor. Security Interest: This is a lender's claim to collateral that a debtor has provided for a loan.… >> READ MORE

Following up on our post from earlier this week, What are “Standard Search Logic” and the Model Administrative Rules?, here's a behind-the-scenes look at how we created an online UCC search system that follows MARS guidelines. An FCS online search report is intended to satisfy the requirements under the UCC Revised Article 9 Model Administrative Rules (MARS), which provide state filing offices with a set of guidelines for producing… >> READ MORE

The amount of liens filed in a given state’s filing office can number in the millions making accuracy, and the ability to uncover name variations,  paramount when analyzing search results. Each individual Secretary of State filing office has a set of rules called “standard search logic” that determines what search results will show for a given search. Here’s the official definition: Standard Search Logic: The search logic used… >> READ MORE

Assembly Bill 2416, a bill currently moving through the California Legislature, could have negative effects on California business owners. The bill will allow an employee to place a lien on the personal property of their employer. Many organizations are opposed to this bill and have been vocal about their opposition, including the California Escrow Association. Below is the CEA’s stance on the bill: AB 2416 (Stone) would allow an employee,… >> READ MORE

The short answer is that searching Tax Liens and Judgment Liens while conducting your due diligence might save you money and hassle, but let’s back up and explain the reasoning. The first thing to understand is that both Tax Liens and Judgment Liens have priority relative to other types of liens, such as a UCC, based on the date of its filing, and this affects your ability to collect. For example, if your debtor has an outstanding Tax… >> READ MORE

From the California Escrow Association: CEA and CLTA have been strongly opposing AB 2416 (Stone).  AB 2416 was heard on the Senate Floor on Thursday, August 28, and failed, but was granted reconsideration, meaning it may come up for a vote again. Though we’ve heard about possible amendments underway, none that we are aware of would remove our concerns. Please see here for their original post.  >> READ MORE

We are pleased to announce the release of Georgia data to our online UCC system. Beginning November 3, 2014, FCS online clients may search the state’s database of more than 3 million filings within our online UCC system. The FCS online UCC system was designed with the high volume searcher in mind. For example, on the FCS system you can see full, detailed results with just one click, instead of having to open multiple screens. You will… >> READ MORE

As of Monday, November 3, we have added UCC data from New Jersey to our online UCC system. Active users may search New Jersey’s UCC database of more than 1.2 million filings, complemented by clear, downloadable document images. Not familiar with our online UCC search system? Check out some more information here. And if you’re interested in learning more from one of our staff members, please click here to schedule a demo. New… >> READ MORE

Our guest contributor, Natalie Follmer of RMP Capital Corp, shares with us this week how to perfect a security interest and secure your position as a secured lender / factor. In the funding world, UCC financing statements are essential in doing business.  They are a vital piece to the puzzle and can cause major problems if filed incorrectly.   When it comes to perfecting a financing statement, there are many items to consider and it’s… >> READ MORE

We welcome back our blog contributor PJ Garcia of Beach Escrow this week to discuss the upcoming changes to real estate settlement statements for California consumers this week. Did you know that the HUD-1 Settlement Statement (HUD-1) is being retired?  The Legislature specifically directed the Consumer Financial Protection Bureau (CFPB) to integrate the disclosures required under the Truth in Lending (TILA) and Real Estate Settlement… >> READ MORE