47-9613. Contents and form of notification before disposition of collateral; general

330 words·~2 min read·/az/title-47/47-9613

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Except in a consumer goods transaction, the following rules apply:

1. The contents of a notification of disposition are sufficient if the notification:

(a)Describes the debtor and the secured party;

(b)Describes the collateral that is the subject of the intended disposition;

(c)States the method of intended disposition;

(d)States that the debtor is entitled to an accounting of the unpaid indebtedness and states the charge, if any, for an accounting; and

(e)States the time and place of a public disposition or the time after which any other disposition is to be made.

2. Whether the contents of a notification that lacks any of the information specified in paragraph 1 of this section are nevertheless sufficient is a question of fact.

3. The contents of a notification providing substantially the information specified in paragraph 1 of this section are sufficient, even if the notification includes:

(a)Information not specified by that paragraph; or

(b)Minor errors that are not seriously misleading.

4. A particular phrasing of the notification is not required.

5. The following form of notification and the form appearing in section 47-9614, paragraph 3, when completed, each provides sufficient information:

Notification of Disposition of Collateral

To: [Name of debtor, obligor, or other person to which the

notification is sent]

From: [Name, address, and telephone number of secured party]

Name of Debtor(s): [Include only if debtor(s) are not an addressee]

[For a public disposition:]

We will sell [or lease or license, as applicable] the [describe collateral] [to the highest qualified bidder] in public as follows:

Day and Date:

Time:

Place:

[For a private disposition:]

We will sell [or lease or license, as applicable] the [describe collateral] privately sometime after [day and date] .

You are entitled to an accounting of the unpaid indebtedness secured by the property that we intend to sell [or lease or license, as applicable] [for a charge of $ ]. You may request an accounting by calling us at [telephone number] .