§ 9-323
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/md/commercial-law/9-323A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§9–323.
(a)Except as otherwise provided in subsection (b), for purposes of determining the priority of a perfected security interest under § 9-322(a)(1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:
(1)Is made while the security interest is perfected only:
(A)Under § 9-309 when it attaches; or
(B)Temporarily under § 9-312(e), (f), or (g); and
(2)Is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under § 9-309 or § 9-312(e), (f), or (g).
(b)Subsection
(a)does not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor.
(c)Except as otherwise provided in subsection (d), a buyer of goods other than a buyer in ordinary course of business takes free of a security interest to the extent that it secures advances made after the earlier of:
(1)The time the secured party acquires knowledge of the buyer’s purchase; or
(2)45 days after the purchase.
(d)Subsection
(c)does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer’s purchase and before the expiration of the 45-day period.
(e)Except as otherwise provided in subsection (f), a lessee of goods, other than a lessee in ordinary course of business, takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:
(1)The time the secured party acquires knowledge of the lease; or
(2)45 days after the lease contract becomes enforceable.
(f)Subsection
(e)does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the 45-day period.