Section 45.29.610. Disposition of collateral after default.

   (a) After default, a secured party may sell, lease, license, or otherwise dispose of any or all of the collateral in its present condition or following commercially reasonable preparation or processing.
   (b) Every aspect of a disposition of collateral, including the method, manner, time, place, and other terms, must be commercially reasonable. If commercially reasonable, a secured party may dispose of collateral by public or private proceedings, by one or more contracts, as a unit or in parcels, and at any time and place and on any terms.
   (c) A secured party may purchase collateral
        (1) at a public disposition; or
        (2) at a private disposition only if the collateral is of a kind that is customarily sold on a recognized market or the subject of widely distributed standard price quotations.
   (d) A contract for sale, lease, license, or other disposition includes the warranties relating to title, possession, quiet enjoyment, and the like that by operation of law accompany a voluntary disposition of property of the kind subject to the contract.
   (e) A secured party may disclaim or modify warranties under (d) of this section
        (1) in a manner that would be effective to disclaim or modify the warranties in a voluntary disposition of property of the kind subject to the contract of disposition; or
        (2) by communicating to the purchaser a record evidencing the contract for disposition and including an express disclaimer or modification of the warranties.
   (f) A record is sufficient to disclaim warranties under (e) of this section if it indicates "There is no warranty relating to title, possession, quiet enjoyment, or the like in this disposition" or uses words of similar import.

Authorities

45.29.406;45.29.408;45.29.602;45.29.609;45.29.611;45.29.615;45.29.616;45.29.618;45.29.620;45.29.623

Notes

References

AS 45.29.406 Discharge of account debtor; notification of assignment; identification and proof of assignment; restrictions on assignment of accounts, chattel paper, payment intangibles, and promissory notes ineffective.
AS 45.29.408 Restrictions on assignment of promissory notes, health-care-insurance receivables, and certain general intangibles ineffective.
AS 45.29.602 Waiver and variance of rights and duties.
AS 45.29.609 Secured party's right to take possession after default.
AS 45.29.611 Notification before disposition of collateral.
AS 45.29.615 Application of proceeds of disposition; liability for deficiency and right to surplus.
AS 45.29.616 Explanation of calculation of surplus or deficiency.
AS 45.29.618 Rights and duties of certain secondary obligors.
AS 45.29.620 Acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral.
AS 45.29.623 Right to redeem collateral.

History

(Sec. 1 ch 113 SLA 2000)