Does the control agreement govern if it conflicts with any of the customer agreements between Pledgor and Broker?
UCC, Due Diligence, Revised Article 9 Something
Attorney Bennett Cohen returns this week to continue his examination on control agreements for pledged securities accounts. This is part six in our eight part series on the topic of control agreements. To start from the beginning, please see the first post, Examining Issues with Control Agreements for Pledged Securities Accounts.
Does the control agreement govern if it conflicts with any of the customer agreements between Pledgor… >> READ MORE
Does the control agreement go too far in limiting the potential liability of the Broker?
UCC, Due Diligence, Revised Article 9 Something
We're back this week with more in our series from attorney Bennett Cohen on control agreements for pledged securities accounts. This is the fourth post in our series, so if you need a refresher please visit his introductory post, Examining Issues with Control Agreements for Pledged Securities Accounts.
We've reviewed quite a number of control agreements which provide that the Broker shall have no liability to the Lender except for… >> READ MORE
Does punctuation matter for a debtor name on a UCC filing? Can something like a period or comma cause issues with UCC filings?
UCC Something
A filing officer will not reject a document for a punctuation error, but it could potentially cause the name not to be found later as part of a UCC search effort. Each state independently implements its own search logic. Most states have adopted a version of the International Association of Commercial Administrator’s Model Administrative Rules for UCC searching which disregards punctuation, but some states are stricter than others. A UCC… >> READ MORE
Does Article 9 Recognize Secured Parties’ Choice To Alter Their Relative Priority? Is Public Notice Required?
UCC Something
When recently presented with these questions, we found the answers from Darrell Pierce of the law firm Dykema Gossett PLLC , reprinted below:
“Article 9 recognizes that secured parties may choose to alter their relative priority by agreement. There is no need to file notices of subordination to make them legally effective, or to maintain the perfected status of either security party. However, for the purpose of informing searchers that… >> READ MORE
Does a lender need to take possession of the original leases to perfect its security interest in the equipment leases?
UCC, Revised Article 9, Reduce Financial Risk Something
Do you have UCC questions about equipment leases? Are you at risk to losing priority to other creditors? Attorney Bennett Cohen of Illinois law firm Cohen, Salk & Huvard, P.C., gets asked questions like this all the time, and has taken the time to write some answers. You may also want to check out his eBook on Purchase Money Security Interests (PMSI).
Pledges of Equipment Leases: Does a lender need to take possession of the… >> READ MORE
Does a lender need to file a precautionary UCC filing against the lessee of the equipment to perfect the lender’s security interest in the leased equipment?
UCC, Revised Article 9, Reduce Financial Risk Something
Do you have UCC questions about equipment leases? Are you at risk to losing priority to other creditors? Attorney Bennett Cohen of Illinois law firm Cohen, Salk & Huvard, P.C., gets asked questions like this all the time, and has taken the time to write some answers. You may also want to check out his eBook on Purchase Money Security Interests (PMSI).
Precautionary UCC Filings against Lessees of Equipment: Does a lender need… >> READ MORE
Do You Know the New CFPB Regulations in California?
UCC Something
We welcome the California Escrow Association - Education Committee to our blog today with a discussion of the new CFPB regulations in California.
HUD announced in a bulletin dated August 26, 2014 (see link below), in response to new CFPB regulations, that the requirement for collection of “Post Pay-off Interest” on FHA loans has been removed. The change has recently become a topic of discussion because it applies to loans that are… >> READ MORE
Did You Know a Judgment Lien Can Potentially Prime Your Perfected Security Interest?
UCC, Due Diligence Something
It’s not common knowledge, common in the way everyone knows how a Federal tax lien can prime a perfected security interest. But it’s true. Check out this article from Pahl McCay’s Catherine Robertson discussing the subject.
Her final recommendation can be found at the end of her article, “we recommend you maintain a monitoring service for lien filings against your debtors.”
The critical aspect here is that the monitoring… >> READ MORE
Delaware UCC paper filings no longer accepted by the DE SOS as of 12/01/15
UCC, Legislation, Online UCC System Something
Effective December 1, 2015, the UCC Division of the Delaware Secretary of State will require that all UCC filings be submitted to the Division electronically. The Division will no longer accept paper UCC filings submitted directly to the State via mail, courier or fax. Electronic UCC filings may be submitted directly to the Division via an authorized Delaware agent, such as First Corporate Solutions, or via the State of Delaware’s e-UCC… >> READ MORE
Delaware to Increase Minimum Tax Fee for Corporations and Annual Tax Fee for Alternative Entities
UCC, Corporate, Due Diligence Something
House Bill 265 w/HA1, HA3/Title 8 has been signed into effect by the Governor of Delaware. The bill is effective immediately, but the state is offering a grace period until July 1,2014 before enforcing the new tax rates.
This Act increases the annual tax assessed on partnerships, limited partnerships and limited liability companies on file with the Secretary of State from $250 to $300 and increases the corporation franchise tax by $100… >> READ MORE
