Delaware offices closed Friday June 18th for Juneteenth, click here for more information.

On Sunday, June 20th, we will be performing routine maintenance and access to our services will be intermittent. Please contact your Account Manager with any questions or concerns.

Risk Management Blog

UCC & Corporate Due Diligence

Resource Guide for Legal and Financial Professionals

Listen Up UCC Filers-Protect Your Customer List From Competitors

UCC, Reduce Financial Risk

Does it seem sometimes seem like your competitors have a copy of your customer list? Well, they just might.

“No way!” you say. “How did that happen?”

It’s easier than you might think. Every time a secured party perfects a security interest by filing a financing statement, one result of that filing is to reveal the secured party’s debtor, its customer, in the public record.

And, just like one can search a Secretary of State index by debtor name to for liens and more to determine a potential debtor’s current financial obligations, one can also search a Secretary of State’s index by secured party to uncover any secured party’s debtor list…its customers.

If this is happening to your firm, perhaps it’s time to consider a Secured Party Representative Service. This service allows secured parties to perfect their security interests as before BUT with one important difference: the secured party’s name is no longer listed on the financing statement. So, when a competitor runs a secured party search on your firm’s name, your customer list is protected.

Interested to learn more? Click here to schedule a consultation with one of our UCC experts to learn more about how Secured Party Representative Service may be the answer to keeping your customer list confidential.

*Disclaimer

 

Leave a Reply