Iowa Code

Iowa Code § 554.9320 (2026)

Buyer of goods

✓ current as of July 2026

Find cases: SyfertCases citing this section IA-LEGlegis.iowa.gov JustiaTitle on Justia CornellLII Search CasesGoogle Scholar

1. Buyer in ordinary course of business. Except as otherwise provided in subsection 5, a buyer in ordinary course of business, other than a person buying farm products from a person engaged in farming operations, takes free of a security interest created by the buyer’s seller, even if the security interest is perfected and the buyer knows of its existence. 2. Buyer of consumer goods. Except as otherwise provided in subsection 5, a buyer of goods from a person who used or bought the goods for use primarily for personal, family, or household purposes takes free of a security interest, even if perfected, if the buyer buys: a. without knowledge of the security interest; b. for value; c. primarily for the buyer’s personal, family, or household purposes; and d. before the filing of a financing statement covering the goods. 3. Effectiveness of filing for subsection 2. To the extent that it affects the priority of a security interest over a buyer of goods under subsection 2, the period of effectiveness of a filing made in the jurisdiction in which the seller is located is governed by section 554.9316, subsections 1 and 2. 4. Buyer in ordinary course of business at wellhead or minehead. A buyer in ordinary course of business buying oil, gas, or other minerals at the wellhead or minehead or after extraction takes free of an interest arising out of an encumbrance. 5. Possessory security interest not affected. Subsections 1 and 2 do not affect a security interest in goods in the possession of the secured party under section 554.9313. 2000 Acts, ch 1149, §40, 187 Referred to in §554.7209, 554.7503, 554.9317

Notes of Decisions

Cited in 5 cases, 2007–2018 · leading case: In Re W. Iowa Limestone, Inc., 538 F.3d 858 (8th Cir. 2008).

Sort: Relevance Newest Treatment

In Re W. Iowa Limestone, Inc., 538 F.3d 858 (8th Cir. 2008). · cites it 2× “1201 (9) (2005), 2 by virtue of their constructive possession of the goods, giving the buyers priority under Iowa Code § 554.9320 (1) (2005). The Eighth Circuit Bankruptcy Appellate .”

United Bank of Iowa v. Indep. Inputs (In Re W. Iowa Limestone, Inc.), 375 B.R. 518 (8th Cir. BAP 2007). “The exception at issue in this case is found in Iowa Code § 554.9320 , which provides that “a buyer in ordinary course of business takes free of a security interest created by the buyer’s seller, even if the security interest is perfected and the buyer knows of its existence.”

United Bank of Iowa v. Indep. Inputs (8th Cir. 2008). · cites it 2× “1201 (9) (2005),2 by virtue of their constructive possession of the goods, giving the buyers priority under Iowa Code § 554.9320 (1) (2005). The Eighth Circuit Bankruptcy Appellate Panel (BAP) reversed, concluding that the buyers did not have constructive possession of the goods…”

Rice v. Hill & Hill Farms P'ship (In re Turner Grain Merch., Inc.), 596 B.R. 49 (Bankr. E.D. Ark. 2018). “See Iowa Code Ann. § 554.9320 (1) (West 2001) (Iowa); Minn.”

United Bank of Iowa v. Indep. Inputs (8th Cir. BAP 2007). “The exception at issue in this case is found in Iowa Code § 554.9320 , which provides that “a buyer in ordinary course of business takes free of a security interest created by the buyer's seller, even if the security interest is perfected and the buyer knows of its existence.”

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.