440.9703 Security interest perfected before effective date.
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440.9703 Security interest perfected before effective date.
Sec. 9703.
(1)A security interest that is enforceable immediately before this amendatory act takes effect and would have priority over the rights of a person that becomes a lien creditor at that time is a perfected security interest under this amendatory act if, when this amendatory act takes effect, the applicable requirements for enforceability and perfection under this amendatory act are satisfied without further action.
(2)Except as otherwise provided in section 9705, if, immediately before this amendatory act takes effect, a security interest is enforceable and would have priority over the rights of a person that becomes a lien creditor at that time, but the applicable requirements for enforceability or perfection under this amendatory act are not satisfied when this amendatory act takes effect, all of the following apply to the security interest:
(a)The security interest is a perfected security interest for 1 year after this amendatory act takes effect.
(b)The security interest remains enforceable thereafter only if the security interest becomes enforceable under section 9203 before the year expires.
(c)The security interest remains perfected thereafter only if the applicable requirements for perfection under this amendatory act are satisfied before the year expires.
History: Add. 2000, Act 348 , Eff. July 1, 2001