§ 62A.9A-622. 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 that 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) of this section, even if the secured party fails to comply with this Article.
[2000 c 250 § 9A-622.]
Sections: Previous 62A.9A-615 62A.9A-616 62A.9A-617 62A.9A-618 62A.9A-619 62A.9A-620 62A.9A-621 62A.9A-622 62A.9A-623 62A.9A-624 62A.9A-625 62A.9A-626 62A.9A-627 62A.9A-628 62A.9A-701 NextLast modified: April 7, 2009