When it comes to preserving lending relationships or finding new ones, all lenders need and want every tool available. One lesser-known tool used in times if distress is the Article 9 reorganization or sale, which can save a struggling business and help lenders recoup value and access new financing opportunities.
Revisions in the Unified Commercial Code have made collateral descriptions on financial statements simpler. But there are times when only specific names will do. Attorney Jeffrey Wurst explains when a generic name will suffice and when a specific name is critical to ensure a security interest.
Corporation Service Company said it is conducting the first-ever comprehensive overview of UCC Article 9 best practices and insights and invites UCC professionals to participate.
Varying definitions under different UCC Articles can conceivably cause a party to be governed by a different “good faith” standard in the same relationship. As Paul Shur explains, an awareness of these issues and the benefits of a uniform standard should be goals of practitioners and legislators.