reglab/statecodes huggingface dataset:
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2285 - Accessions

(a) Creation of security interest in accession.— A security interest may be created in an accession and continues in collateral that becomes an accession.
(b) Perfection of security interest.— If a security interest is perfected when the collateral becomes an accession, the security interest remains perfected in the collateral.
(c) Priority of security interest.— Except as otherwise provided in subsection (d) of this section, the other provisions of this chapter determine the priority of a security interest in an accession.
(d) Compliance with certificate-of-title statute.— A security interest in an accession is subordinate to a security interest in the whole which is perfected by compliance with the requirements of a certificate-of-title statute under § 2261(b) of this title.
(e) Removal of accession after default.— After default, subject to subchapter 6 of this chapter, a secured party may remove an accession from other goods if the security interest in the accession has priority over the claims of every person having an interest in the whole.
(f) Reimbursement following removal.— A secured party that removes an accession from other goods under subsection (e) of this section shall promptly reimburse any holder of a security interest or other lien on, or owner of, the whole or of the other goods, other than the debtor, for the cost of repair of any physical injury to the whole or the other goods. The secured party need not reimburse the holder or owner for any diminution in value of the whole or the other goods caused by the absence of the accession removed or by any necessity for replacing it. A person entitled to reimbursement may refuse permission to remove until the secured party gives adequate assurance for the performance of the obligation to reimburse.
History —Sept. 19, 1996, No. 241, added as § 9-335 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2286 - Commingled goods

(a) Commingled goods.— In this section, “commingled goods” means goods that are physically united with other goods in such a manner that their identity is lost in a product or mass.
(b) No security interest in commingled goods as such.— A security interest does not exist in commingled goods as such. However, a security interest may attach to a product or mass that results when goods become commingled goods.
(c) Attachment of security interest to product or mass.— If collateral becomes commingled goods, a security interest attaches to the product or mass.
(d) Perfection of security interest.— If a security interest in collateral is perfected before the collateral becomes commingled goods, the security interest that attaches to the product or mass under subsection (c) of this section is perfected.
(e) Priority of security interest.— Except as otherwise provided in subsection (f) of this section, the other provisions of this part determine the priority of a security interest that attaches to the product or mass under subsection (c) of this section.
(f) Conflicting security interests in product or mass.— If more than one (1) security interest attaches to the product or mass under subsection (c) of this section, the following rules determine priority:
(1) A security interest that is perfected under subsection (d) of this section has priority over a security interest that is unperfected at the time the collateral becomes commingled goods.
(2) If more than one (1) security interest is perfected under subsection (d) of this section, the security interests rank equally in proportion to the value of the collateral at the time it became commingled goods.
History —Sept. 19, 1996, No. 241, added as § 9-336 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2287 - Priority of security interests in goods covered by certificate of title

If, while a security interest in goods is perfected by any method under the law of another jurisdiction, this state issues a certificate of title that does not show that the goods are subject to the security interest or contain a statement that they may be subject to security interests not shown on the certificate:
(1) A buyer of the goods, other than a person in the business of selling goods of that kind, takes free of the security interest if the buyer gives value and receives delivery of the goods after issuance of the certificate and without knowledge of the security interest, and
(2) the security interest is subordinate to a conflicting security interest in the goods that attaches, and is perfected under § 2261(b) of this title, after issuance of the certificate and without the conflicting secured party's knowledge of the security interest.
History —Sept. 19, 1996, No. 241, added as § 9-337 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2288 - Priority of security interest or agricultural lien perfected by filed financing statement providing certain incorrect information

If a security interest or agricultural lien is perfected by a filed financing statement providing information described in § 2236(b)(5) of this title which is incorrect at the time the financing statement is filed:
(1) The security interest or agricultural lien is subordinate to a conflicting perfected security interest in the collateral to the extent that the holder of the conflicting security interest gives value in reasonable reliance upon the incorrect information, and
(2) a purchaser, other than a secured party, of the collateral takes free of the security interest or agricultural lien to the extent that, in reasonable reliance upon the incorrect information, the purchaser gives value and, in the case of chattel paper, documents, goods, instruments, or a security certificate, receives delivery of the collateral.
History —Sept. 19, 1996, No. 241, added as § 9-338 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2289 - Priority subject to subordination

This chapter does not preclude subordination by agreement by a person entitled to priority.
History —Sept. 19, 1996, No. 241, added as § 9-339 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2290 - Effectiveness of right of recoupment or set-off against deposit account

(a) Exercise of recoupment or set-off.— Except as otherwise provided in subsection (c) of this section, a bank with which a deposit account is maintained may exercise any right of recoupment or set-off against a secured party that holds a security interest in the deposit account.
(b) Recoupment or set-off not affected by security interest.— Except as otherwise provided in subsection (c) of this section, the application of this chapter to a security interest in a deposit account does not affect a right of recoupment or set-off of the secured party as to a deposit account maintained with the secured party.
(c) When set-off ineffective.— The exercise by a bank of a set-off against a deposit account is ineffective against a secured party that holds a security interest in the deposit account which is perfected by control under § 2214(a)(3) of this title, if the set-off is based on a claim against the debtor.
—Sept. 19, 1996, No. 241, added as § 9-340 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
History
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2291 - Bank's rights and duties with respect to deposit account

Except as otherwise provided in § 2290(c) of this title, and unless the bank otherwise agrees in an authenticated record, a bank's rights and duties with respect to a deposit account maintained with the bank are not terminated, suspended, or modified by:
(1) The creation, attachment, or perfection of a security interest in the deposit account;
(2) the bank's knowledge of the security interest, or
(3) the bank's receipt of instructions from the secured party.
History —Sept. 19, 1996, No. 241, added as § 9-341 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter III - Perfection and Priority (§§ 2251 — 2292) › § 2292 - Bank's right to refuse to enter into or disclose existence of control agreement

This chapter does not require a bank to enter into an agreement of the kind described in § 2214(a)(2) of this title, even if its customer so requests or directs. A bank that has entered into such an agreement is not required to confirm the existence of the agreement to another person unless requested to do so by its customer.
History —Sept. 19, 1996, No. 241, added as § 9-342 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2301 - Alienability of debtor’s rights

(a) Other law governs alienability; exceptions.— Except as otherwise provided in subsection (b) and §§ 2306–2309 of this title, whether a debtor’s rights in collateral may be voluntarily or involuntarily transferred is governed by law other than this chapter.
(b) Agreement does not prevent transfer.— An agreement between the debtor and secured party which prohibits a transfer of the debtor’s rights in collateral or makes the transfer a default does not prevent the transfer from taking effect.
History —Sept. 19, 1996, No. 241, added as § 9–401 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2302 - Secured party not obligated on contract of debtor or in tort

The existence of a security interest, agricultural lien, or authority given to a debtor to dispose of or use collateral, without more, does not subject a secured party to liability in contract or tort for the debtor’s acts or omissions.
History —Sept. 19, 1996, No. 241, added as § 9–402 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2303 - Agreement not to assert defenses against assignee

(a) Value.— In this section, “value” has the meaning provided in § 603(a)of this title.
(b) Agreement not to assert claim or defense.— Except as otherwise provided in this section, an agreement between an account debtor and an assignor not to assert against an assignee any claim or defense that the account debtor may have against the assignor is enforceable by an assignee that takes an assignment:
(1) For value;
(2) in good faith;
(3) without notice of a claim of a property or possessory right to the property assigned, and
(4) without notice of a defense or claim in recoupment of the type that may be asserted against a person entitled to enforce a negotiable instrument under § 605(a) of this title.
(c) When subsection (b) not applicable.— Subsection (b) of this section does not apply to defenses of a type that may be asserted against a holder in due course of a negotiable instrument under § 605(b) of this title.
(d) Omission of required statement in consumer transaction.— In a consumer transaction, if a record evidences the account debtor’s obligation, law other than this chapter requires that the record include a statement to the effect that the rights of an assignee are subject to claims or defenses that the account debtor could assert against the original obligee, and the record does not include such a statement:
(1) The record has the same effect as if the record included such a statement, and
(2) the account debtor may assert against an assignee those claims and defenses that would have been available if the record included such a statement.
(e) Rule for individual under other law.— This section is subject to law other than this chapter which establishes a different rule for an account debtor who is an individual and who incurred the obligation primarily for personal, family, or household purposes.
(f) Other law not displaced.— Except as otherwise provided in subsection (d) of this section, this section does not displace law other than this chapter which gives effect to an agreement by an account debtor not to assert a claim or defense against an assignee.
History —Sept. 19, 1996, No. 241, added as § 9–403 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2304 - Rights acquired by assignee; claims and defenses against assignee

(a) Assignee’s rights subject to terms, claims, and defenses; exceptions.— Unless an account debtor has made an enforceable agreement not to assert defenses or claims, and subject to subsections (b) through (e) of this section, the rights of an assignee are subject to:
(1) All terms of the agreement between the account debtor and assignor and any defense or claim in recoupment arising from the transaction that gave rise to the contract, and
(2) any other defense or claim of the account debtor against the assignor which accrues before the account debtor receives a notification of the assignment authenticated by the assignor or the assignee.
(b) Account debtor’s claim reduces amount owed to assignee.— Subject to subsection (c) of this section and except as otherwise provided in subsection (d) of this section, the claim of an account debtor against an assignor may be asserted against an assignee under subsection (a) of this section only to reduce the amount the account debtor owes.
(c) Rule for individual under other law.— This section is subject to law other than this chapter which establishes a different rule for an account debtor who is an individual and who incurred the obligation primarily for personal, family, or household purposes.
(d) Omission of required statement in consumer transaction.— In a consumer transaction, if a record evidences the account debtor’s obligation, law other than this chapter requires that the record include a statement to the effect that the account debtor’s recovery against an assignee with respect to claims and defenses against the assignor may not exceed amounts paid by the account debtor under the record, and the record does not include such a statement, the extent to which a claim of an account debtor against the assignor may be asserted against an assignee is determined as if the record included such a statement.
(e) Inapplicability to health-care-insurance receivable.— This section does not apply to an assignment of a health-care-insurance receivable.
History —Sept. 19, 1996, No. 241, added as § 9–404 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2305 - Modification of assigned contract

(a) Effect of modification on assignee.— A modification of or substitution for an assigned contract is effective against an assignee if made in good faith. The assignee acquires corresponding rights under the modified or substituted contract. The assignment may provide that the modification or substitution is a breach of contract by the assignor. This subsection is subject to subsections (b)–(d) of this section.
(b) Applicability of subsection (a).— Subsection (a) of this section applies to the extent that:
(1) The right to payment or a part thereof under an assigned contract has not been fully earned by performance, or
(2) the right to payment or a part thereof has been fully earned by performance and the account debtor has not received notification of the assignment under § 2306(a) of this title.
(c) Rule for individual under other law.— This section is subject to law other than this chapter which establishes a different rule for an account debtor who is an individual and who incurred the obligation primarily for personal, family, or household purposes.
(d) Inapplicability to health-care-insurance receivable.— This section does not apply to an assignment of a health-care-insurance receivable.
History —Sept. 19, 1996, No. 241, added § 9–405 as on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2307 - Restrictions on creation or enforcement of security interest in leasehold in interest or in lessor’s residual interest

(a) Term restricting assignment generally ineffective.— Except as otherwise provided in subsection (b) of this section, a term in a lease agreement is ineffective to the extent that it:
(1) Prohibits, restricts, or requires the consent of a party to the lease to the assignment or transfer of, or the creation, attachment, perfection, or enforcement of a security interest in, an interest of a party under the lease contract or in the lessor’s residual interest in the goods, or
(2) provides that the assignment or transfer or the creation, attachment, perfection, or enforcement of the security interest may give rise to a default, breach, right of recoupment, claim, defense, termination, right of termination, or remedy under the lease.
(b) Effectiveness of certain terms.— A term described in subsection (a)(2) of this section is effective to the extent that there is:
(1) A transfer by the lessee of the lessee’s right of possession or use of the goods in violation of the term, or
(2) a delegation of a material performance of either party to the lease contract in violation of the term.
History —Sept. 19, 1996, No. 241, added as § 9–407 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter IV - Rights of Third Parties (§§ 2301 — 2309) › § 2309 - Restrictions on assignment of letter -of-credit rights ineffective

(a) Term or law restricting assignment generally ineffective.— A term in a letter of credit or a rule of law, statute, regulation, custom, or practice applicable to the letter of credit which prohibits, restricts, or requires the consent of an applicant, issuer, or nominated person to a beneficiary’s assignment of or creation of a security interest in a letter-of-credit right is ineffective to the extent that the term or rule of law, statute, regulation, custom, or practice:
(1) Would impair the creation, attachment, or perfection of a security interest in the letter-of-credit right, or
(2) provides that the assignment or the creation, attachment, or perfection of the security interest may give rise to a default, breach, right of recoupment, claim, defense, termination, right of termination, or remedy under the letter-of-credit right.
(b) Limitation on ineffectiveness under subsection (a) of this section.— To the extent that a term in a letter of credit is ineffective under subsection (a) of this section but would be effective under law other than this chapter or a custom or practice applicable to the letter of credit, to the transfer of a right to draw or otherwise demand performance under the letter of credit, or to the assignment of a right to proceeds of the letter of credit, the creation, attachment, or perfection of a security interest in the letter-of-credit right:
(1) Is not enforceable against the applicant, issuer, nominated person, or transferee beneficiary;
(2) imposes no duties or obligations on the applicant, issuer, nominated person, or transferee beneficiary, and
(3) does not require the applicant, issuer, nominated person, or transferee beneficiary to recognize the security interest, pay or render performance to the secured party, or accept payment or other performance from the secured party.
History —Sept. 19, 1996, No. 241, added as § 9–409 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2321 - Filing office

(a) Filing offices.— If the local law of this state governs perfection of a security interest or agricultural lien, the office in which to file a financing statement to perfect the security interest or agricultural lien is:
(1) At the Department of Transportation and Public Works in the Registry of Motor Vehicles and Trailers ascribed to the Directorate of Driver's Services, when the collateral is a motor vehicle as defined in the Motor Vehicle and Traffic Act of Puerto Rico, if the collateral is not held as inventory for sale or lease; or
(2) at the corresponding section of the Registry of the Property of Puerto Rico when the collateral is fixtures, crops growing or to be grown or timber to be cut, and in the registration book or information system of the Registry of the Property where a mortgage on the real estate would be filed or recorded. In order for the financing statement to be recordable at the Registry of the Property, the same must appear as a document (either physical or electronic, as permitted by law or regulation) issued by either judicial authority or signed by the debtor before a competent official, such as a notary public, in the manner prescribed by law and regulations of the jurisdiction where the document is signed, subject to compliance with the requirements of this Law, or
(3) in all other cases, in the office of the Secretary of State.
History —Sept. 19, 1996, No. 241, added as § 9-501 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2322 - Contents of financing statement; mortgage as financing statement; time of filing financing statement

(a) Sufficiency of financing statement.— Subject to subsection (b) of this section, a financing statement is sufficient only if it:
(1) Provides the name of the debtor;
(2) provides the name of the secured party or a representative of the secured party, and
(3) indicates the collateral covered by the financing statement.
(b) Real-property-related financing statements.— To be sufficient, a financing statement that covers as-extracted collateral or timber to be cut, or which is filed as a fixture filing and covers goods that are or are to become fixtures, must satisfy subsection (a) of this section and also:
(1) Indicate that it covers this type of collateral;
(2) indicate that it is to be filed at the corresponding section of the Registry of the Property of Puerto Rico;
(3) provide a description of the real property to which the collateral is related, and the property number, folio, volume at which the real property is recorded, and
(4) if the debtor does not have an interest of record in the real property, provide the name of a record owner.
It shall not be necessary that the financing statement be executed in deed form in order to be recorded at the Registry of Property.
(c) Deed of mortgage as financing statement.— A deed of a mortgage is effective, from the date it is filed for recordation, as a financing statement filed as a fixture filing or as a financing statement covering as-extracted collateral or timber to be cut only if:
(1) The deed indicates the goods or accounts that it covers;
(2) the goods are or are to become fixtures related to the real property described in the deed or the collateral is related to the real property described in the deed and is as-extracted collateral or timber to be cut;
(3) the deed satisfies the requirements for a financing statement in this section other than an indication that it is to be filed in the real property records, and
(4) the deed is duly recorded.
The provisions of this subsection shall not be deemed as a limitation of the right of a secured party to file a financing statement at the Registry of Property as provided in subsection (b) of this section.
(d) Filing before security agreement or attachment.— A financing statement may be filed before a security agreement is made or a security interest otherwise attaches.
(e) Motor vehicle registration as financing statement.— Notwithstanding anything to the contrary in subsection (a) of this section, the filing at the registry of motor vehicles of such transfer documents as may be necessary to register a motor vehicle to a lessor as its owner thereof shall constitute the filing of a financing statement sufficient to perfect a security interest in such motor vehicle in favor of lessor.
History —Sept. 19, 1996, No. 241, added as § 9-502 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2324 - Indication of collateral.—

A financing statement sufficiently indicates the collateral that it covers if the financing statement provides:
(1) A description of the collateral pursuant to § 2218 of this title; or
(2) an indication that the financing statement covers all assets or all personal property.
(3) in the case of motor vehicles not held as inventory for sale or lease, a description of the motor vehicle that includes the motor vehicle's year, make, model, and manufacturer's serial number or other vehicle identification number (VIN). A financing statement (including one affecting a titled motor vehicle) need not include the amount of any obligation thereby secured, the date or anticipated maturity thereof, or any other description of any obligation secured thereby.
History —Sept. 19, 1996, No. 241, added as § 9-504 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2325 - Filing and compliance with other statutes and treaties for consignments, leases, other bailments, and other transactions

(a) Use of terms other than “debtor” and “secured party”.— A consignor, lessor, or other bailor of goods, a licensor, or a buyer of a payment intangible or promissory note may file a financing statement, or may comply with a statute or treaty described in § 2261(a) of this title, using the terms “consignor”, “consignee”, “lessor”, “lessee”, “bailor”, “bailee”, “licensor”, “licensee”, “owner”, “registered owner”, “buyer”, “seller”, or words of similar import, instead of the terms “secured party” and “debtor”.
(b) Effect of financing statement under subsection (a) of this section.— This subchapter applies to the filing of a financing statement under subsection (a) of this section and, as appropriate, to compliance that is equivalent to filing a financing statement under § 2261(b) of this title, but the filing or compliance is not of itself a factor in determining whether the collateral secures an obligation. If it is determined for another reason that the collateral secures an obligation, a security interest held by the consignor, lessor, bailor, licensor, owner, or buyer which attaches to the collateral is perfected by the filing or compliance.
History —Sept. 19, 1996, No. 241, added as § 9-505 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2326 - Effect of errors or omissions

(a) Minor errors and omissions.— A financing statement substantially satisfying the requirements of this subchapter is effective, even if it has minor errors or omissions, unless the errors or omissions make the financing statement seriously misleading.
(b) Financing statement seriously misleading.— Except as otherwise provided in subsection (c) of this section, a financing statement that fails sufficiently to provide the name of the debtor in accordance with § 2323(a) of this title is seriously misleading.
(c) Financing statement not seriously misleading.— If a search of the records of the filing office under the debtor's correct name, using the filing office's standard search logic, if any, would disclose a financing statement that fails sufficiently to provide the name of the debtor in accordance with § 2323(a) of this title, the name provided does not make the financing statement seriously misleading.
(d) Debtor's correct name.— For purposes of § 2328(b) of this title, the “debtor's correct name” in subsection (c) of this section means the correct name of the new debtor.
History —Sept. 19, 1996, No. 241, added as § 9-506 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2327 - Effect of certain events on effectiveness of financing statement

(a) Disposition.— 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) Information becoming seriously misleading.— Except as otherwise provided in subsection (c) and § 2328 of this title, 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 § 2326 of this title.
(c) Change in debtor's name.— If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under § 2323(a) of this title so that the financing statement becomes seriously misleading under § 2326 of this title:
(1) The financing statement is effective to perfect a security interest in collateral acquired by the debtor before, or within four (4) months after, the filed financing statement becomes seriously misleading, and
(2) the financing statement is not effective to perfect a security interest in collateral acquired by the debtor more than four (4) months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statement not seriously misleading is filed within four (4) months after the event.
History —Sept. 19, 1996, No. 241, added as § 9-507 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2328 - Effectiveness of financing statement if new debtor becomes bound by security agreement

(a) Financing statement naming original debtor.— Except as otherwise provided in this section, a filed financing statement naming an original debtor is effective to perfect a security interest in collateral in which a new debtor has or acquires rights to the extent that the financing statement would have been effective had the original debtor acquired rights in the collateral.
(b) Financing statement becoming seriously misleading.— If the difference between the name of the original debtor and that of the new debtor causes a filed financing statement that is effective under subsection (a) of this section to be seriously misleading under § 2326 of this title:
(1) The financing statement is effective to perfect a security interest in collateral acquired by the new debtor before, and within four (4) months after, the new debtor becomes bound under § 2233(d) of this title, and
(2) the financing statement is not effective to perfect a security interest in collateral acquired by the new debtor more than four (4) months after the new debtor becomes bound under § 2233(d) of this title unless an initial financing statement providing the name of the new debtor is filed before the expiration of that time.
(c) When section not applicable.— This section does not apply to collateral as to which a filed financing statement remains effective against the new debtor under § 2327(a) of this title.
History —Sept. 19, 1996, No. 241, added as § 9-508 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2329 - Persons entitled to file record

(a) Person entitled to file record.— A person may file an initial financing statement, amendment that adds collateral covered by a financing statement, or amendment that adds a debtor to a financing statement only if:
(1) The debtor authorizes the filing in an authenticated record or pursuant to subsection (b) or (c), or
(2) the person holds an agricultural lien that has become effective at the time of filing and the financing statement covers only collateral in which the person holds an agricultural lien.
(b) Security agreement as authorization.— By authenticating or becoming bound as debtor by a security agreement, a debtor or new debtor authorizes the filing of an initial financing statement, and an amendment, covering:
(1) The collateral described in the security agreement, and
(2) property that becomes collateral under § 2265(a)(2) of this title, whether or not the security agreement expressly covers proceeds.
(c) Acquisition of collateral as authorization.— By acquiring collateral in which a security interest or agricultural lien continues under § 2265(a)(1) of this title, a debtor authorizes the filing of an initial financing statement, and an amendment, covering the collateral and property that becomes collateral under § 2265(a)(2) of this title.
(d) Person entitled to file certain amendments.— A person may file an amendment other than an amendment that adds collateral covered by a financing statement or an amendment that adds a debtor to a financing statement only if:
(1) The secured party of record authorizes the filing, or
(2) the amendment is a termination statement for a financing statement as to which the secured party of record has failed to file or send a termination statement as required by subsection (a) or (c) of § 2333 of this title the debtor authorizes the filing, and the termination statement indicates that the debtor authorized it to be filed.
(e) Multiple secured parties of record.— If there is more than one (1) secured party of record for a financing statement, each secured party of record may authorize the filing of an amendment under subsection (d) of this section.
History —Sept. 19, 1996, No. 241, added as § 9–509 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2330 - Effectiveness of filed record

(a) Filed record effective if authorized.— A filed record is effective only to the extent that it was filed by a person that may file it under § 2329 of this title.
(b) Authorization by one secured party of record.— A record authorized by one secured party of record does not affect the financing statement with respect to another secured party of record.
(c) Continuation statement not timely filed.— A continuation statement that is not filed within the six (6)-month period prescribed by § 2335(d) of this title is ineffective.
History —Sept. 19, 1996, No. 241, added as § 9-510 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2331 - Secured party of record

(a) Secured party of record.— A secured party of record with respect to a financing statement is a person whose name is provided as the name of the secured party or a representative of the secured party in an initial financing statement that has been filed. If an initial financing statement is filed under § 2334(a) of this title the assignee named in the initial financing statement is the secured party of record with respect to the financing statement.
(b) Amendment naming secured party of record.— If an amendment of a financing statement which provides the name of a person as a secured party or a representative of a secured party is filed, the person named in the amendment is a secured party of record. If an amendment is filed under § 2334(b) of this title, the assignee named in the amendment is a secured party of record.
(c) Amendment deleting secured party of record.— A person remains a secured party of record until the filing of an amendment of the financing statement which deletes the person.
History —Sept. 19, 1996, No. 241, added as § 9–511 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2332 - Amendment of financing statement

(a) Amendment of information in financing statement.— Subject to § 2329 of this title, a person may add or delete collateral covered by, continue or terminate the effectiveness of, or, subject to subsection (e) of this section, otherwise amend the information provided in, a financing statement by filing an amendment that:
(1) Identifies, by its file number, the initial financing statement to which the amendment relates, and
(2) if the amendment relates to an initial financing statement recorded or filed for recordation in a filing office described in § 2321(a)(1) of this title, provides the date that the initial financing statement was recorded or filed for recordation and the information specified in § 2322(b) of this title.
(b) Period of effectiveness not affected.— Except as otherwise provided in § 2335 of this title, the filing of an amendment does not extend the period of effectiveness of the financing statement.
(c) Effectiveness of amendment adding collateral.— A financing statement that is amended by an amendment that adds collateral is effective as to the added collateral only from the date of the filing of the amendment.
(d) Effectiveness of amendment adding debtor.— A financing statement that is amended by an amendment that adds a debtor is effective as to the added debtor only from the date of the filing of the amendment.
(e) Certain amendments ineffective.— An amendment is ineffective to the extent it:
(1) Purports to delete all debtors and fails to provide the name of a debtor to be covered by the financing statement, or
(2) purports to delete all secured parties of record and fails to provide the name of a new secured party of record.
History —Sept. 19, 1996, No. 241, added as § 9-512 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2333 - Termination statement

(a) Consumer goods.— A secured party shall cause the secured party of record for a financing statement to file a termination statement for the financing statement if the financing statement covers consumer goods and:
(1) There is no obligation secured by the collateral covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value, or
(2) the debtor did not authorize the filing of the initial financing statement.
(b) Time for compliance with subsection (a) of this section.— To comply with subsection (a) of this section, a secured party shall cause the secured party of record to file the termination statement:
(1) Within one (1) month after there is no obligation secured by the collateral covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value, or
(2) if earlier, within twenty (20) days after the secured party receives an authenticated demand from a debtor.
(c) Other collateral.— In cases not governed by subsection (a) of this section, within twenty (20) days after a secured party receives an authenticated demand from a debtor, the secured party shall cause the secured party of record for a financing statement to send to the debtor a termination statement for the financing statement or file the termination statement in the filing office if:
(1) Except in the case of a financing statement covering accounts or chattel paper that has been sold or goods that are the subject of a consignment, there is no obligation secured by the collateral covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value;
(2) the financing statement covers accounts or chattel paper that has been sold but as to which the account debtor or other person obligated has discharged its obligation;
(3) the financing statement covers goods that were the subject of a consignment to the debtor but are not in the debtor's possession, or
(4) the debtor did not authorize the filing of the initial financing statement.
(d) Effect of filing termination statement.— Except as otherwise provided in § 2330 of this title, upon the filing of a termination statement with the filing office, the financing statement to which the termination statement relates ceases to be effective. Except as otherwise provided in § 2330 of this title, for purposes of §§ 2339(g), 2342(a), and 2343(c) of this title, the filing with the filing office of a termination statement relating to a financing statement that indicates that the debtor is a transmitting utility also causes the effectiveness of the financing statement to lapse.
History —Sept. 19, 1996, No. 241, added as § 9-513 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2334 - Assignment of powers of secured party of record

(a) Assignment reflected on initial financing statement.— Except as otherwise provided in subsection (c) of this section, an initial financing statement may reflect an assignment of all of the secured party's power to authorize an amendment to the financing statement by providing the name and mailing address of the assignee as the name and address of the secured party.
(b) Assignment of filed financing statement.— Except as otherwise provided in subsection (c) of this section, a secured party of record may assign of record all or part of its power to authorize an amendment to a financing statement by filing in the filing office an amendment of the financing statement which:
(1) Identifies, by its file number, the initial financing statement to which it relates;
(2) provides the name of the assignor, and
(3) provides the name and mailing address of the assignee.
History —Sept. 19, 1996, No. 241, added as § 9-514 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55A - Secured Transactions (§§ 2211 — 2409) › Subchapter V - Filing (§§ 2321 — 2346) › § 2337 - Effect of indexing errors

The failure of the filing office to index a record correctly does not affect the effectiveness of the filed record.
History —Sept. 19, 1996, No. 241, added as § 9-517 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.