RS 10:9-605

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RS 10:9-605

§9-605. Unknown debtor or secondary obligor

(a)In general: No duty owed by secured party. Except as provided in Subsection

(b)of this Section, a secured party does not owe a duty based on its status as secured party:

(1)to a person that is a debtor or obligor, unless the secured party knows:

(A)that the person is a debtor or obligor;

(B)the identity of the person; and

(C)how to communicate with the person; or

(2)to a secured party or lienholder that has filed a financing statement against a person, unless the secured party knows:

(A)that the person is a debtor; and

(B)the identity of the person.

(b)Exception: Secured party owes duty to debtor or obligor. A secured party owes a duty based on its status as a secured party to a person if, at the time the secured party obtains control of collateral that is a controllable account, controllable electronic record, or controllable payment intangible or at the time the security interest attaches to the collateral, whichever is later:

(1)the person is a debtor or obligor; and

(2)the secured party knows that the information in Subparagraph (a)(1)(A), (B), or

(C)of this Section relating to the person is not provided by the collateral, a record attached to or logically associated with the collateral, or the system in which the collateral is recorded.

Acts 2001, No. 128, §1, eff. July 1, 2001; Acts 2024, No. 773, §1.