2012 -- S 2607

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LC01893

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO THE UNIFORM COMMERCIAL CODE - SECURED TRANSACTIONS

     Introduced By: Senator Joshua Miller

     Date Introduced: March 01, 2012

     Referred To: Senate Corporations

It is enacted by the General Assembly as follows:

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     SECTION 1. Sections 6A-9-503, 6A-9-518 and 6A-9-805 of the General Laws in

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Chapter 6A-9 entitled "Secured Transactions" are hereby amended to read as follows:

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     6A-9-503. Name of debtor and secured party. [Effective July 1, 2013.] -- (a)

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Sufficiency of debtor's name. - A financing statement sufficiently provides the name of the

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debtor:

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      (1) Except as otherwise provided in subdivision (3), if the debtor is a registered

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organization or the collateral is held in a trust that is a registered organization, and only if the

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financing statement provides the name that is stated to be the registered organization's name on

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the public organic record most recently filed with or issued or enacted by the registered

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organization's jurisdiction of organization which purports to state, amend, or restate the registered

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organization's name;

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      (2) Subject to subsection (f) if, the collateral is being administered by the personal

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representative of a decedent, only if the financing statement provides, as the name of the debtor,

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the name of the decedent and, in a separate part of the financing statement, indicates that the

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collateral is being administered by a personal representative;

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      (3) If the collateral is held in a trust that is not a registered organization, only if the

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financing statement:

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      (i) Provides, as the name of the debtor:

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      (A) If the organic record of the trust specifies a name for the trust, the name specified; or

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      (B) If the organic record of the trust does not specify a name for the trust, the name of

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the settler or testator; and

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      (ii) In a separate part of the financing statement:

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      (A) If the name is provided in accordance with subparagraph (i)(A), indicates that the

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collateral is held in a trust; or

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      (B) If the name is provided in accordance with subparagraph (ii)(A), provides additional

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information sufficient to distinguish the trust from other trusts having one or more the same

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settlors or the same testator and indicates that the collateral is held in a trust, unless the additional

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information so indicates;

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      (4) Subject to subsection (g), if the debtor is an individual to whom this state has issued a

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driver's license, or in lieu of such a driver's license a personal identification card issued by the

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same office of this state that issues driver's licenses, that has not expired, only if the financing

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statement provides the name of the individual which is indicated on the driver's license or

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personal identification card;

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      (5) If the debtor is an individual to whom paragraph (4) does not apply, only if the

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financing statement provides the individual name of the debtor or the surname and first personal

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name of the debtor; and

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      (6) In other cases:

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      (i) If the debtor has a name, only if the financing statement provides the organizational

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name of the debtor; and

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      (ii) If the debtor does not have a name, only if it provides the names of the partners,

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members, associates, or other persons comprising the debtor, in a manner that each name

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provided would be sufficient if the person named were the debtor.

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      (b) Additional debtor-related information. - A financing statement that provides the

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name of the debtor in accordance with subsection (a) is not rendered ineffective by the absence

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of:

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      (1) A trade name or other name of the debtor; or

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      (2) Unless required under subsection (a)(6)(ii), names of partners, members, associates,

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or other persons comprising the debtor.

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      (c) Debtor's trade name insufficient. - A financing statement that provides only the

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debtor's trade name does not sufficiently provide the name of the debtor.

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      (d) Representative capacity. - Failure to indicate the representative capacity of a secured

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party or representative of a secured party does not affect the sufficiency of a financing statement.

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      (e) Multiple debtors and secured parties. - A financing statement may provide the name

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of more than one debtor and the name of more than one secured party.

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      (f) Name of decedent. - The name of the decedent indicated on the order appointing the

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personal representative of the decedent issued by the court having jurisdiction over the collateral

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is sufficient as the "name of the decedent" under subdivision (a)(2).

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      (g) Multiple drivers' licenses. - If this state has issued to an individual more than one

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driver's license or personal identification card of a kind described in paragraph (a)(4), the one that

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was issued most recently is the one to which paragraph (a)(4) refers.

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      (h) Definition. - In this section, the "name of the settlor or testator" means:

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      (1) If the settlor is a registered organization, the name that is stated to be the settlor's

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name on the public organic record most recently filed with or issued or enacted by the settlor's

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jurisdiction of organization which purports to state, amend, or restate the settlor's name; or

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      (2) In other cases, the name of the settlor or testator indicated in the trust's organic

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record.

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     6A-9-518. Claim concerning inaccurate or wrongfully filed record. [Effective July 1,

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2013.] -- (a) Statement with respect to record indexed under person's name. - A person may file in

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the filing office an information statement with respect to a record indexed there under the person's

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name if the person believes that the record is inaccurate or was wrongfully filed.

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      (b) Contents of statement under subsection (a). - An information statement under

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subsection (a) must:

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      (1) Identify the record to which it relates by the file number assigned to the initial

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financing statement to which the record relates; and

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      (2) Indicate that it is an information statement; and

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     (b) Sufficiency of contents of correction statement under subsection (a). An information

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statement under subsection (a) must:

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     (1) Identify the record to which it relates by:

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     (i) The file number assigned to the initial financing statement to which the record relates;

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and

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     (ii) If the correction information statement relates to a record filed or recorded in a filing

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office described in subdivision 6A-9-501(a)(1), the date and time that the initial financing

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statement was filed or recorded and the information in subsection 6A-9-502(b);

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     (2) Indicate that it is a correction information statement; and

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      (3) Provide the basis for the person's belief that the record is inaccurate and indicate the

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manner in which the person believes the record should be amended to cure any inaccuracy or

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provide the basis for the person's belief that the record was wrongfully filed.

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      (c) Statement by secured party of record. - A person may file in the filing office an

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information statement with respect to a record filed there if the person is a secured party of record

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with respect to the financing statement to which the record relates and believes that the person

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that filed the record was not entitled to do so under subsection 6A-9-509(d).

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      (d) Contents of statement under subsection (c). - An information statement under

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subsection (c) must:

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      (1) Identify the record to which it relates by:

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      (i) The file number assigned to the initial financing statement to which the record relates;

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and

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      (ii) If the information statement relates to a record filed in a filing office described in

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subdivision 6A-9-501(a)(1), the date and time that the initial financing statement was filed and

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the information specified in subsection 6A-9-502(b);

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      (2) Indicate that it is an information statement; and

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      (3) Provide the basis for the person's belief that the person who filed the record was not

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entitled to do so under subsection 6A-9-509(d).

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      (e) Record not affected by information statement. - The filing of an information

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statement does not affect the effectiveness of an initial financing statement or other filed record.

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     6A-9-805. Effectiveness of action taken before effective date. [Effective July 1, 2013.]

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-- (a) Pre-effective-date filing effective. - The filing of a financing statement before the

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amendatory act takes effect is effective to perfect a security interest to the extent the filing would

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satisfy the applicable requirements for perfection under this chapter as amended by the

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amendatory act.

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      (b) When pre-effective-date filing becomes ineffective. - The amendatory act does not

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render ineffective an effective financing statement that, before the amendatory act takes effect, is

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filed and satisfies the applicable requirements for perfection under the law of the jurisdiction

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governing perfection as provided in this chapter as it existed before the amendatory act took

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effect. However, except as otherwise provided in subsections (c) and (d) and section 6A-9-806,

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the financing statement ceases to be effective:

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      (1) If the financing statement is filed in this state, at the time the financing statement

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would have ceased to be effective had the amendatory act not taken effect; or

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      (2) If the financing statement is filed in another jurisdiction, at the earlier of:

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      (i) The time the financing statement would have ceased to be effective under the law of

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that jurisdiction; or

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      (ii) June 30, 2018.

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      (c) Continuation statement. - The filing of a continuation statement after the amendatory

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act takes effect does not continue the effectiveness of a financing statement filed before the

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amendatory act takes effect. However, upon the timely filing of a continuation statement after the

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amendatory act takes effect and in accordance with the law of the jurisdiction governing

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perfection as provided in this chapter as amended by the amendatory act, the effectiveness of a

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financing statement filed in the same office in that jurisdiction before the amendatory act takes

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effect continues for the period provided by the law of that jurisdiction.

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      (d) Application of subparagraph 6A-9-804(b)(2)(B) to transmitting utility financing

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statement. Application of subparagraph (b)(2)(ii) to transmitting utility financing statement -

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Subparagraph 6A-9-804(b)(2)(B) Subparagraph (b)(2)(ii) applies to a financing statement that,

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before the amendatory act takes effect, is filed against a transmitting utility and satisfies the

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applicable requirements for perfection under the law of the jurisdiction governing perfection as

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provided in this chapter as it existed before the amendatory act took effect, only to the extent that

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this chapter as amended by the amendatory act provides that the law of a jurisdiction other than

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the jurisdiction in which the financing statement is filed governs perfection of a security interest

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in collateral covered by the financing statement.

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      (e) Application of Part 5. - A financing statement that includes a financing statement

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filed before the amendatory act takes effect and a continuation statement filed after the

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amendatory act takes effect is effective only to the extent that it satisfies the requirements of Part

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5 of this chapter as amended by the amendatory act for an initial financing statement. A financing

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statement that indicates that the debtor is a decedent's estate indicates that the collateral is being

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administered by a personal representative within the meaning of subdivision 6A-9-503(a)(2) as

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amended by the amendatory act. A financing statement that indicates that the debtor is a trust or is

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a trustee acting with respect to property held in trust indicates that the collateral is held in a trust

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within the meaning of subdivision 6A-9-503(a)(3) as amended by the amendatory act.

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     SECTION 2. This act shall take effect upon passage.

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LC01893

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO THE UNIFORM COMMERCIAL CODE - SECURED TRANSACTIONS

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     This act would make certain amendments to the uniform commercial code to conform to

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the model act.

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     This act would take effect upon passage.

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LC01893

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