57A-9-327. Priority among conflicting security interests in same deposit account.
137 words·~1 min read·
/sd/title-57/chapter-57-9/57a-9-327A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The following rules govern priority among conflicting security interests in the same deposit account:
(1)A security interest held by a secured party having control of the deposit account under § 57A-9-104 has priority over a conflicting security interest held by a secured party that does not have control.
(2)Except as otherwise provided in paragraphs
(3)and (4), security interests perfected by control under § 57A-9-314 rank according to priority in time of obtaining control.
(3)Except as otherwise provided in paragraph (4), a security interest held by the bank with which the deposit account is maintained has priority over a conflicting security interest held by another secured party.
(4)A security interest perfected by control under § 57A-9-104(a)(3) has priority over a security interest held by the bank with which the deposit account is maintained.