§ 9622. Effect of acceptance of collateral.
130 words·~1 min read·
/pa/title-13/chapter-96/9622A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§ 9622. Effect of acceptance of collateral.
(a)Effect of acceptance.-- A secured party's acceptance of collateral in full or partial satisfaction of the obligation it secures:
(1)discharges the obligation to the extent consented to by the debtor;
(2)transfers to the secured party all of a debtor's rights in the collateral;
(3)discharges the security interest or agricultural lien which is the subject of the debtor's consent and any subordinate security interest or other subordinate lien; and
(4)terminates any other subordinate interest.
(b)Discharge of subordinate interest notwithstanding noncompliance.-- A subordinate interest is discharged or terminated under subsection
(a)even if the secured party fails to comply with this division.
13c9622v
Cross References. Section 9622 is referred to in sections 9102, 9602, 9623 of this title.
13c9623s