Fla. Stat. § 679.620 — Florida Code / Title XXXIX / Chapter 679 / Part VI / Section 679.620
679.620 Acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral.
Status: in_force

(1) Except as otherwise provided in subsection (7), a secured party may accept collateral in full or partial satisfaction of the obligation it secures only if: (a) The debtor consents to the acceptance under subsection (3); (b) The secured party does not receive, within the time set forth in subsection (4), a notification of objection to the proposal signed by: 1. A person to whom the secured party was required to send a proposal under s. 679.621; or 2. Any other person, other than the debtor, holding an interest in the collateral subordinate to the security interest that is the subject of the proposal; (c) If the collateral is consumer goods, the collateral is not in the possession of the debtor when the debtor consents to the acceptance; and (d) Subsection (5) does not require the secured party to dispose of the collateral or the debtor waives the requirement pursuant to s. 679.624.

(2) A purported or apparent acceptance of collateral under this section is ineffective unless: (a) The secured party consents to the acceptance in a signed record or sends a proposal to the debtor; and (b) The conditions of subsection (1) are met.

(3) For purposes of this section: (a) A debtor consents to an acceptance of collateral in partial satisfaction of the obligation it secures only if the debtor agrees to the terms of the acceptance in a record signed after default; and (b) A debtor consents to an acceptance of collateral in full satisfaction of the obligation it secures only if the debtor agrees to the terms of the acceptance in a record signed after default or the secured party: 1. Sends to the debtor after default a proposal that is unconditional or subject only to a condition that collateral not in the possession of the secured party be preserved or maintained; 2. In the proposal, proposes to accept collateral in full satisfaction of the obligation it secures, and, in a consumer transaction, provides notice that the proposal will be deemed accepted if it is not objected to by an authenticated notice within 30 days after the date the proposal is sent by the secured party; and 3. Does not receive a notification of objection signed by the debtor within 30 days after the proposal is sent.

(4) To be effective under paragraph (1)(b), a notification of objection must be received by the secured party: (a) In the case of a person to whom the proposal was sent pursuant to s. 679.621, within 20 days after notification was sent to that person; and (b) In other cases: 1. Within 20 days after the last notification was sent pursuant to s. 679.621; or 2. If a notification was not sent, before the debtor consents to the acceptance under subsection (3).

(5) A secured party that has taken possession of collateral shall dispose of the collateral pursuant to s. 679.610 within the time specified in subsection (6) if: (a) Sixty percent of the cash price has been paid in the case of a purchase-money security interest in consumer goods; or (b) Sixty percent of the principal amount of the obligation secured has been paid in the case of a non-purchase-money security interest in consumer goods.

(6) To comply with subsection (5), the secured party shall dispose of the collateral: (a) Within 90 days after taking possession; or (b) Within any longer period to which the debtor and all secondary obligors have agreed in an agreement to that effect entered into and signed after default.

(7) In a consumer transaction, a secured party may not accept collateral in partial satisfaction of the obligation it secures.

History: s. 7, ch. 2001-198; s. 115, ch. 2025-92.