Section 45.29.507. Effect of certain events on effectiveness of financing statement.

   (a) A filed financing statement remains effective with respect to collateral that is sold, exchanged, leased, licensed, or otherwise disposed of and in which a security interest or agricultural lien continues even if the secured party knows of or consents to the disposition.
   (b) Except as otherwise provided in (c) of this section and AS 45.29.508, a financing statement is not rendered ineffective if, after the financing statement is filed, the information provided in the financing statement becomes seriously misleading under AS 45.29.506.
   (c) If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under AS 45.29.503(a) so that the financing statement becomes seriously misleading under AS 45.29.506, the financing statement is
        (1) effective to perfect a security interest in collateral acquired by the debtor before, or within four months after, the filed financing statement becomes seriously misleading; and
        (2) not effective to perfect a security interest in collateral acquired by the debtor more than four months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement that renders the financing statement not seriously misleading is filed within four months after the financing statement becomes seriously misleading.

Authorities

45.29.508

Notes

References

AS 45.29.508 Effectiveness of financing statement if new debtor becomes bound by security agreement.

History

(Sec. 1 ch 113 SLA 2000; am Sec. 20 ch 64 SLA 2013)