47-9705. Effectiveness of action taken before effective date

473 words·~2 min read·/az/title-47/47-9705

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

A. If action, other than the filing of a financing statement, is taken before July 1, 2001 and the action would have resulted in priority of a security interest over the rights of a person that becomes a lien creditor had the security interest become enforceable before July 1, 2001, the action is effective to perfect a security interest that attaches under this chapter, as added in 1999, within one year after July 1, 2001. An attached security interest becomes unperfected one year after July 1, 2001 unless the security interest becomes a perfected security interest under this chapter, as added in 1999, before the expiration of that period.

B. The filing of a financing statement before July 1, 2001 is effective to perfect a security interest to the extent the filing would satisfy the applicable requirements for perfection under this chapter, as added in 1999.

C. This chapter, as added in 1999, does not render ineffective an effective financing statement that before July 1, 2001 is filed and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in former section 47-9103. However, except as otherwise provided in subsections D and E of this section and section 47-9706, the financing statement ceases to be effective at the earlier of:

1. The time the financing statement would have ceased to be effective under the law of the jurisdiction in which it is filed; or

2. June 30, 2007.

D. The filing of a continuation statement after July 1, 2001 does not continue the effectiveness of the financing statement filed before July 1, 2001. However, on the timely filing of a continuation statement after July 1, 2001 and in accordance with the law of the jurisdiction governing perfection as provided in article 3 of this chapter, as added in 1999, the effectiveness of a financing statement filed in the same office in that jurisdiction before July 1, 2001 continues for the period provided by the law of that jurisdiction.

E. Subsection C, paragraph 2 of this section applies to a financing statement that before July 1, 2001 is filed against a transmitting utility and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in former section 47-9103 only to the extent that article 3 of this chapter, as added in 1999, provides that the law of a jurisdiction other than the jurisdiction in which the financing statement is filed governs perfection of a security interest in collateral covered by the financing statement.

F. A financing statement that includes a financing statement filed before July 1, 2001 and a continuation statement filed after July 1, 2001 is effective only to the extent that it satisfies the requirements of article 5 of this chapter, as added in 1999, for an initial financing statement.