Risk Management Blog

First Corporate Solutions is pleased to report that on October 4, 2013, California governor Jerry Brown signed CA Assembly Bill 502, making California the latest state to enact the 2010 Amendments to Article 9 of the Uniform Commercial Code.  The new filing rules will go into effect on July 1, 2014.

View a full-text copy of the bill here.

In an interesting turn, California has adopted neither Alternative A nor Alternative B (read more about these alternatives) with regard to naming individual debtors on a UCC financing statement. Rather, they have enacted a non-uniform rule which states that for individual debtors, the financing statement is sufficient only if it provides the individual name of the debtor or the surname and first personal name of the debtor. There is no safe harbor provided for UCC filers who use a debtor’s name as it appears on their driver’s license or state issued identification card.

Note that  the latest version of the National UCC forms (rev. 04/20/2011) will not be accepted at the California Secretary of State’s office or any county filing office until July 1, 2014.

Are you looking for a UCC provider? First Corporate Solutions builds customized service solutions based on your specific business needs. Contact us today for a free consultation at 800.406.1577 or info@ficoso.com.