Mich. Comp. Laws § 440.9317

Interests that take priority over or take free of unperfected security interest or agricultural lien.

Find cases: SyfertCases citing this section MI-LEGlegislature.mi.gov JustiaChapter on Justia CornellLII Search CasesGoogle Scholar

UNIFORM COMMERCIAL CODE

Act 174 of 1962

440.9317 Interests that take priority over or take free of unperfected security interest or agricultural lien.

Sec. 9317.

(1) A security interest or agricultural lien is subordinate to the rights of 1 or more of the following:

(a) A person entitled to priority under section 9322.

(b) Except as otherwise provided in subsection (5), a person that becomes a lien creditor before the earlier of the following:

(i) The time the security interest or agricultural lien is perfected.

(ii) The time 1 of the conditions specified in section 9203(2)(c) is met and a financing statement covering the collateral is filed.

(2) Except as otherwise provided in subsection (5), a buyer, other than a secured party, of tangible chattel paper, tangible documents, goods, instruments, or a certificated security takes free of a security interest or agricultural lien if the buyer gives value and receives delivery of the collateral without knowledge of the security interest or agricultural lien and before it is perfected.

(3) Except as otherwise provided in subsection (5), a lessee of goods takes free of a security interest or agricultural lien if the lessee gives value and receives delivery of the collateral without knowledge of the security interest or agricultural lien and before it is perfected.

(4) A licensee of a general intangible or a buyer, other than a secured party, of collateral other than tangible chattel paper, tangible documents, goods, instruments, or a certificated security takes free of a security interest if the licensee or buyer gives value without knowledge of the security interest and before it is perfected.

(5) Except as otherwise provided in sections 9320 and 9321, if a person files a financing statement with respect to a purchase-money security interest before or within 20 days after the debtor receives delivery of the collateral, the security interest takes priority over the rights of a buyer, lessee, or lien creditor that arise between the time the security interest attaches and the time of filing.

History: 1962, Act 174, Eff. Jan. 1, 1964 ;-- Am. 2000, Act 348, Eff. July 1, 2001 ;-- Am. 2012, Act 87, Eff. July 1, 2013

Notes of Decisions

Cited in 8 cases, 2003–2020 · leading case: Arthur Glick Truck Sales, Inc. v. Stuphen East Corp.

Sort: Relevance Newest Treatment

Arthur Glick Truck Sales, Inc. v. Stuphen East Corp. (2012) nysd · cites it 5× “See Mich. Comp. Laws Ann. § 440.9317 (5); N.Y.”

In re Lundy Estate (2011) michctapp “9316, priority of security interests, MCL 440.9317 to MCL 440.9339, and rights of third parties, MCL 440.”

Laborers Pension Trust Fund-Detroit & Vicinity v. Interior Exterior Specialists Co. (2011) mied · cites it 2× “Mich. Comp. Laws § 440.9317 (l)(b). A “lien creditor” in- *772 eludes “[a] creditor that has acquired a lien on the property involved by attachment, levy, or the like.”

In Re Damon J. And Regina M. Kroskie, Debtors. James W. Boyd, Chapter 7 Trustee v. Chase Manhattan Mortgage Corporation (2003) ca6 “This raises the question of whether Chase Manhattan’s unperfected interest is avoidable by the Trustee. We hold that Chase Manhattan’s interest is avoidable because the Trustee’s interest as a statutory judgment lien creditor is superior to that of an unperfected creditor.”

Richardson v. Countrywide Home Loans (In Re Gregory) (2004) miwb · cites it 30× “In fact, it is Mich. Comp. Laws Ann. § 440.9317 (l)(b) that empowers the Chapter 7 trustee in this instance to use his Section 544(a)(1) status as a hypothetical judgment lien creditor to challenge Countrywide’s lien.”

Meoli v. Heartwell Mortgage Corp. (In Re Hoggard) (2005) miwb · cites it 11× “Mich. Comp. Laws § 440.9317 (1). His argument is straightforward: 1.”

Gold v. Pasternak (In Re Harvey Goldman & Co.) (2011) mieb · cites it 2× “Under Mich. Comp. Laws Ann. § 440.9317 (l)(b)(i), an unperfected security interest is subordinate to a lien creditor in Michigan.”

Domestic Uniform Rental v. Falcon Transport Co (2020) michctapp “MCL 440.9317(1); MCL 440.9322(1)(a). Appellant provided the Uniform Commercial Code (UCC) filing of its perfected security interest in defendants’ accounts, and plaintiff does not dispute the validity of appellant’s security interest.”

— Mich. Comp. Laws § 440.9317(1) — 2 cases

Meoli v. Heartwell Mortgage Corp. (In Re Hoggard) (2005) miwb “Mich. Comp. Laws § 440.9317 (1). His argument is straightforward: 1.”

— Mich. Comp. Laws § 440.9317(l)(b) — 1 case

Meoli v. Heartwell Mortgage Corp. (In Re Hoggard) (2005) miwb “Mich. Comp. Laws § 440.9317 (1). His argument is straightforward: 1.”

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.