KRS § 378A.010 — KY Code / Title XXXI / Chapter 378A / Section 378A.010
378A.010 Definitions for chapter
Status: in_force

378A.010 Definitions for chapter.

As used in this chapter:

(1) "Affiliate" means:

(a) A person that directly or indirectly owns, controls, or holds with power to

vote, twenty percent (20%) or more of the outstanding voting securities of the

debtor, other than a person that holds the securities:

1. As a fiduciary or agent without sole discretionary power to vote the

securities; or

2. Solely to secure a debt, if the person has not in fact exercised the power

to vote;

(b) A corporation twenty percent (20%) or more of whose outstanding voting

securities are directly or indirectly owned, controlled, or held with power to

vote, by the debtor or a person that directly or indirectly owns, controls, or

holds, with power to vote, twenty percent (20%) or more of the outstanding

voting securities of the debtor, other than a person that holds the securities:

1. As a fiduciary or agent without sole discretionary power to vote the

securities; or

2. Solely to secure a debt, if the person has not in fact exercised the power

to vote;

(c) A person whose business is operated by the debtor under a lease or other

agreement, or a person substantially all of whose assets are controlled by the

debtor; or

(d) A person that operates the debtor's business under a lease or other agreement

or controls substantially all of the debtor's assets;

(2) "Asset" means property of a debtor, but the term does not include:

(a) Property to the extent it is encumbered by a valid lien;

(b) Property to the extent it is generally exempt under nonbankruptcy law; or

(c) An interest in property held in tenancy by the entireties to the extent it is not

subject to process by a creditor holding a claim against only one (1) tenant.

(3) "Claim," except as used in "claim for relief," means a right to payment, whether or

not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent,

matured, unmatured, undisputed, legal, equitable, secure, or unsecured;

(4) "Creditor" means a person that has a claim;

(5) "Debt" means liability on a claim;

(6) "Debtor" means a person that is liable on a claim;

(7) "Electronic" means relating to technology having electrical, digital, magnetic,

wireless, optical, electromagnetic, or similar capabilities;

(8) "Insider" includes:

(a) If the debtor is an individual:

1. A relative of the debtor or of a general partner of the debtor;

2. A partnership in which the debtor is a general partner;

3. A general partner in a partnership described in subparagraph 2. of this

paragraph; or

4. A corporation of which the debtor is a director, officer, or person in

control;

(b) If the debtor is a corporation:

1. A director of the debtor;

2. An officer of the debtor;

3. A person in control of the debtor;

4. A partnership in which the debtor is a general partner;

5. A general partner in a partnership described in subparagraph 4. of this

paragraph; or

6. A relative of a general partner, director, officer, or person in control of

the debtor;

(c) If the debtor is a partnership:

1. A general partner in the debtor;

2. A relative of a general partner in, a general partner of, or a person in

control of the debtor;

3. Another partnership in which the debtor is a general partner;

4. A general partner in a partnership described in subparagraph 3. of this

paragraph; or

5. A person in control of the debtor;

(d) An affiliate, or an insider of an affiliate as if the affiliate were the debtor; and

(e) A managing agent of the debtor;

(9) "Lien" means a charge against or an interest in property to secure payment of a debt

or performance of an obligation, and includes a security interest created by

agreement, a judicial lien obtained by legal or equitable process or proceedings, a

common-law lien, or a statutory lien;

(10) "Organization" means a person other than an individual;

(11) "Person" means an individual, estate, business or nonprofit entity, public

corporation, government or governmental subdivision, agency, or instrumentality,

or other legal entity;

(12) "Property" means anything that may be the subject of ownership;

(13) "Record" means information that is inscribed on a tangible medium or that is stored

in an electronic or other medium and is retrievable in perceivable form;

(14) "Relative" means an individual related by consanguinity within the third degree as

determined by the common law, a spouse, or an individual related to a spouse

within the third degree as so determined, and includes an individual in an adoptive

relationship within the third degree;

(15) "Sign" means, with present intent to authenticate or adopt a record:

(a) To execute or adopt a tangible symbol; or

(b) To attach to or logically associate with the record an electronic symbol, sound,

or process;

(16) "Transfer" means every mode, direct or indirect, absolute or conditional, voluntary

or involuntary, of disposing of or parting with an asset or an interest in an asset, and

includes payment of money, release, lease, license, and creation of a lien or other

encumbrance; and

(17) "Valid lien" means a lien that is effective against the holder of a judicial lien

subsequently obtained by legal or equitable process or proceedings.