Risk Management Blog

UCC & Corporate Due Diligence

Resource Guide for Legal and Financial Professionals

Will a lender’s notation of its lien on a certificate of title for a vehicle always perfect the lender’s security interest?

UCC, Reduce Financial Risk, Title Related Topics Something

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


UCC Termination Statements, a Trap for the Unwary: Part Nine

UCC Something

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


Tired of reverse UCC searches exposing your customer list?

UCC Something

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


Some Transactions May Require Filing UCC’s in Multiple Locations

UCC Something

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


Should the Buyer and Seller take their business transfer through CA UCC Division 6, Bulk Sale Code?

UCC, Due Diligence Something

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


Is There Any Risk to a Lender Who Files Its UCC Statement After the Loan Closing?

UCC, Due Diligence, Reduce Financial Risk Something

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


Has the Broker subordinated its statutory first priority security interest in the Securities Account to the Lender’s security interest in the Securities Account?

UCC, Due Diligence, Revised Article 9 Something

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


UCC Termination Statements, a Trap for the Unwary: Part Ten

UCC Something

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


UCC Paper Filings No Longer Accepted by New Jersey Secretary of State Effective July 1, 2015

UCC, Online UCC System Something

Effective July 1, 2015, the state of New Jersey will no longer allow for UCC paper filings and electronic filings will be required. In addition to this change, it is important to note that establishing priority will be an issue as UCC filings will no longer be stamped with the time at which the filing was accepted. Further changes to the UCC process in the state of New Jersey regarding collateral and secured party naming to perfect a… >> READ MORE


[Special Offer] Free Virginia Online UCC Searches

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First Corporate Solutions is pleased to announce the addition of Virginia UCC data to our UCC library of states, available for searching Monday, January 26, 2015. Document images will be added soon to complement our Virginia solution and provide efficiency not accessible at the Virginia SOS itself; as you may already be aware, the Virginia SOS does not have document images online and they must be ordered separately. Until the images… >> READ MORE