reglab/statecodes huggingface dataset:
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter I - Short Title, Applicability and Definitions (§§ 2001-2207 — 2016) › § 2014 - Consignment [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-114 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter I - Short Title, Applicability and Definitions (§§ 2001-2207 — 2016) › § 2015 - Investment property [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-115 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter I - Short Title, Applicability and Definitions (§§ 2001-2207 — 2016) › § 2016 - Security interest arising in purchase or delivery of financial asset [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-116 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2051 - General validity of security agreement [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-201 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2052 - Title to collateral immaterial [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-202 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2053 - Attachment and enforceability of security interest; proceeds; formal requisites [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-203 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2054 - After-acquired property; future advances [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-204 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2055 - Use or disposition of collateral without accounting permissible [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-205 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2056 - Agreement not to assert defenses against assignee; modification of sales warranties where security agreement exists [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-206 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2057 - Rights and duties when collateral is in secured party’s possession [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-207 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter II - Validity of Security Agreement and Rights of Parties Thereto (§§ 2051 — 2058) › § 2058 - Request for statement of account or list of collateral [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-208 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2101 - Persons who take priority over unperfected security interests; rights of “lien creditor.” [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-301 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 5, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2102 - When filing is required to perfect security interest; security interests to which filing provisions of §§ 2001-2207 of this title do not apply [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-302, on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 5, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2103 - When security interest is perfected; continuity of perfection [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-303 on Sept. 19, 1996, No. 241, § 18; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2104 - Perfection of security interest in instruments, documents and goods covered by documents; perfection by permissive filing; temporary perfection without filing or transfer of possession [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-304 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 5; Sept. 10, 2009, No. 96, [§ 3]; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2105 - When possession by secured party perfects security interest without filing [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-305 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 5, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2106 - “Proceeds”; secured party’s rights on disposition of collateral [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-306 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2107 - Protection of buyers of goods [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-307 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2108 - Purchase of chattel paper and instruments [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-308 on Sept. 19, 1996, No. 241, § 13; Sept. 10, 2009, No. 96, § 4; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2109 - Protection of purchasers of instruments and documents [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-309 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2110 - Priority of certain liens arising by operation of law [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-310 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2111 - Alienability of debtor’s rights; judicial process [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-311 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2112 - Priorities among conflicting security interests in the same collateral [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-312 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 5, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2113 - Priority of security interests in fixtures [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-313 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2114 - Accessions [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-314 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2115 - Priority when goods are commingled or processed [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-315 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2116 - Priority subject to subordination [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-316 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2117 - Secured party not obligated on contract of debtor [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-317 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2118 - Defense against assignee; modification of contract after notification of assignment; term prohibiting assignment ineffective; identification and proof of assignment [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-318 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter III - Rights of Third Parties; Perfected and Unperfected Security Interest; Rules of Priority (§§ 2101 — 2119) › § 2119 - Preference and priority [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-319 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2151 - Place of filing; erroneous filing; removal of collateral [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-401 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2152 - Formal requisites of financing statement; amendments; mortgage as financing statement [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-402 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2153 - What constitutes filing; duration of filing; effect of lapsed filing; duties of filing officer [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-403 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2154 - Termination statement [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-404 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2155 - Assignment of security interest; duties of filing officer; fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-405 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2156 - Release of collateral; duties of filing officer; fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-406 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2157 - Information from filing officer [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-407 on Sept. 18, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2158 - Financing statements covering consigned or leased goods [Repealed]

History —Aug. 17, 1995, No. 208, added § 9-408 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2159 - Adjustment of fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-409 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2160 - Exemption of United States government from fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-410 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2161 - Exemption of Commonwealth and agencies from fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-411 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2162 - Exemption of cooperative associations from fees [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-412 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter IV - Filing (§§ 2151 — 2163) › § 2163 - Security interests in motor vehicles [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-413 on Sept. 19, 1996, No. 241, § 13; Jan. 16, 1997, No. 1, § 1; Dec. 31, 1997, No. 214, § 7, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2201 - Default; procedure when security agreement covers both real and personal property [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-501 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2202 - Collection rights of secured party [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-502 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2203 - Secured party’s right to possession after default [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-503 on Sept. 19, 1996, No. 241, § 13; Dec. 31, 1997, No. 214, § 9, eff. Jan. 1, 1998; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2204 - Secured party’s right to dispose of collateral after default; effect of disposition [Repealed]

History —Aug. 17, 1995, No. 208, added § 9-504 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2205 - Compulsory disposition of collateral; acceptance of the collateral as discharge of obligations [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-505 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2206 - Debtor’s right to redeem collateral [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-506 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
2023 Laws of Puerto Rico › TITLE NINETEEN - Negotiable Instruments (§§ 1-24 — 2409) › Subtitle 2 - Commercial Transactions (§§ 401 — 2409) › Chapter 55 - Secured Transactions; Sales of Accounts and Chattel Paper; Consignments (§§ 2001-2207 — 2207) › Subchapter V - Default (§§ 2201 — 2207) › § 2207 - Secured party’s liability for failure to comply with this subchapter [Repealed]

History —Aug. 17, 1995, No. 208, added as § 9-507 on Sept. 19, 1996, No. 241, § 13; Repealed. Act.
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 I - General Provisions (§§ 2211 — 2220) › § 2211 - Short title

This chapter may be cited as Chapter 9–Secured Transactions.
History —Sept. 19, 1996, No. 241, added as § 9–101 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 I - General Provisions (§§ 2211 — 2220) › § 2214 - Control of deposit account

(a) Requirements for control.— A secured party has control of a deposit account if:
(1) The secured party is the bank with which the deposit account is maintained;
(2) the debtor, secured party, and bank have agreed in an authenticated record that the bank will comply with instructions originated by the secured party directing disposition of the funds in the deposit account without further consent by the debtor, or
(3) the secured party becomes the bank's customer with respect to the deposit account.
(b) Debtor's right to direct disposition.— A secured party that has satisfied subsection (a) has control, even if the debtor retains the right to direct the disposition of funds from the deposit account.
History —Sept. 19, 1996, No. 241, added as § 9–104 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 I - General Provisions (§§ 2211 — 2220) › § 2215 - Control of electronic chattel paper

(a) General rule: control of electronic chattel paper.— A secured party has control of electronic chattel paper if a system employed for evidencing the transfer of interests in the chattel paper reliably establishes the secured party as the person to which the chattel paper was assigned.
(b) Specific facts giving control.— A system satisfies subsection (a), and a secured party has control of electronic chattel paper, if the record or records comprising the chattel paper are created, stored, and assigned in such a manner that:
(1) A single authoritative copy of the record or records exists, which is unique, identifiable, and, except as otherwise provided in clauses (4), (5), and (6), unalterable;
(2) the authoritative copy identifies the secured party as the assignee of the record or records;
(3) the authoritative copy is communicated to and maintained by the secured party or its designated custodian;
(4) copies or amendments that add or change an identified assignee of the authoritative copy can be made only with the participation of the secured party;
(5) each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and
(6) any amendment of the authoritative copy is readily identifiable as authorized or unauthorized.
History —Sept. 19, 1996, No. 241, added as § 9–105 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 I - General Provisions (§§ 2211 — 2220) › § 2216 - Control of investment property

(a) Control under § 1706 of this title.— A person has control of a certificated security, uncertificated security, or security entitlement as provided in § 1706 of this title.
(b) Control of commodity contract.— A secured party has control of a commodity contract if:
(1) The secured party is the commodity intermediary with which the commodity contract is carried, or
(2) the commodity customer, secured party, and commodity intermediary have agreed that the commodity intermediary will apply any value distributed on account of the commodity contract as directed by the secured party without further consent by the commodity customer.
(c) Effect of control of securities account or commodity account.— A secured party having control of all security entitlements or commodity contracts carried in a securities account or commodity account has control over the securities account or commodity account.
History —Sept. 19, 1996, No. 241, added as § 9–106 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 I - General Provisions (§§ 2211 — 2220) › § 2217 - Control of letter-of-credit right

A secured party has control of a letter-of-credit right to the extent of any right to payment or performance by the issuer or any nominated person if the issuer or nominated person has consented to an assignment of proceeds of the letter of credit under § 1233(c) of this title or otherwise applicable law or practice.
History —Sept. 19, 1996, No. 241, added as § 9–107 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 I - General Provisions (§§ 2211 — 2220) › § 2217a - Control over life insurance policy

(a) Requirements for control.— A secured party has control over a life insurance policy:
(1) If the secured party is the insurer that issued the policy, or
(2) if the secured party is not also the insurer, the insurer authenticates a record acknowledging notice of the granting of a security interest to the secured party in the policy and the insured agrees to pay the proceeds of the policy to the secured party.
(b) Additional requirement: consent of beneficiary.— If the beneficiary of a life insurance policy taken as collateral is not the insured or its estate, a security interest does not attach with respect to rights under the policy unless the written consent of the policy beneficiary is given. This requirement does not apply when the beneficiary may be changed upon the sole request of the insured or when the policy itself provides that it may be pledged or assigned without the beneficiary's consent.
History —Sept. 19, 1996, No. 241, added as § 9–107.1 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 I - General Provisions (§§ 2211 — 2220) › § 2217b - Control conditioned on default

A secured party that has satisfied § 2214, 2215, 2216, 2217 or 2217a of this title has control with respect to such collateral even if the secured party has agreed not to exercise its rights until a default by the debtor or other unfulfilled condition is met.
History —Sept. 19, 1996, No. 241, added as § 9–107.2 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 I - General Provisions (§§ 2211 — 2220) › § 2218 - Sufficiency of description

(a) Sufficiency of description.— Except as otherwise provided in subsections (c), (d), and (e) of this section, a description of personal property is sufficient, whether or not it is specific, if it reasonably identifies what is described.
(b) Examples of reasonable identification.— Except as otherwise provided in subsection (d) of this section, a description of collateral reasonably identifies the collateral if it identifies the collateral by:
(1) Specific listing;
(2) category;
(3) except as otherwise provided in subsection (e) of this section, a type of collateral defined in the Commercial Transactions Act;
(4) quantity;
(5) computational or allocational formula or procedure, or
(6) except as otherwise provided in subsection (c) of this section, any other method, if the identity of the collateral is objectively determinable.
(c) Supergeneric description not sufficient.— A description of collateral as “all the debtor's assets” or “all the debtor's personal property” or using words of similar import does not reasonably identify the collateral.
(d) Investment property.— Except as otherwise provided in subsection (e) of this section, a description of a security entitlement, securities account, or commodity account is sufficient if it describes:
(1) The collateral by those terms or as investment property, or
(2) the underlying financial asset or commodity contract.
(e) When description by type insufficient.— A description only by type of collateral defined in the Commercial Transactions Act is an insufficient description of:
(1) A commercial tort claim;
(2) in a consumer transaction, consumer goods, a security entitlement, a securities account, or a commodity account;
(3) a life insurance policy;
(4) a judgment, other than as a form of proceeds under § 2265 of this title;
(5) an interest in an estate, or
(6) a beneficial interest in a trust.
—Sept. 19, 1996, No. 241, added as § 9–108 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 I - General Provisions (§§ 2211 — 2220) › § 2220 - [Reserved.]

History —Sept. 19, 1996, No. 241, added as § 9–110 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2231 - General effectiveness of security agreement

(a) General effectiveness.— Except as otherwise provided in the Commercial Transactions Act, a security agreement is effective according to its terms between the parties, against purchasers of the collateral, and against creditors.
(b) Applicable consumer laws and other law.— A transaction subject to this chapter is subject to any applicable rule of law which establishes a different rule for consumers and any other statute or regulation that regulates the rates, charges, agreements, and practices for loans, credit sales, or other extensions of credit.
(c) Other applicable law controls.— In case of conflict between this chapter and a rule of law, statute, or regulation described in subsection (b)of this section, the rule of law, statute, or regulation controls. Failure to comply with a statute or regulation described in subsection (b) of this section has only the effect the statute or regulation specifies.
(d) Further deference to other applicable law.— This chapter does not:
(1) Validate any rate, charge, agreement, or practice that violates a statute, or regulation described in subsection (b) of this section, or
(2) extend the application of the statute, or regulation to a transaction not otherwise subject to it.
History —Sept. 19, 1996, No. 241, added as § 9–201 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2232 - Title to collateral immaterial

Except as otherwise provided with respect to consignments or sales of accounts, chattel paper, payment intangibles, or promissory notes, the provisions of this chapter with regard to rights and obligations apply whether title to collateral is in the secured party or the debtor.
History —Sept. 19, 1996, No. 241, added as § 9–202 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2234 - After-acquired property; future advances

(a) After-acquired collateral.— Except as otherwise provided in subsection (b) of this section, a security agreement may create or provide for a security interest in after-acquired collateral.
(b) When after-acquired property clause not effective.— A security interest does not attach under a term constituting an after-acquired property clause to:
(1) Consumer goods, other than an accession when given as additional security, unless the debtor acquires rights in them within ten (10) days after the secured party gives value; or
(2) a commercial tort claim;
(3) a life insurance policy;
(4) a judgment, other than as a form of proceeds under § 2265 of this title;
(5) an interest in an estate, or
(6) a beneficial interest in a trust.
(c) Future advances and other value.— A security agreement may provide that collateral secures, or that accounts, chattel paper, payment intangibles, or promissory notes are sold in connection with, future advances or other value, whether or not the advances or value are given pursuant to commitment.
—Sept. 19, 1996, No. 241, added as § 9–204 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2235 - Use or disposition of collateral permissible

(a) When security interest not invalid or fraudulent.— A security interest is not invalid or fraudulent against creditors solely because:
(1) The debtor has the right or ability to:
(A) Use, commingle, or dispose of all or part of the collateral, including returned or repossessed goods;
(B) collect, compromise, enforce, or otherwise deal with collateral;
(C) accept the return of collateral or make repossessions, or
(D) use, commingle, or dispose of proceeds; or
(2) the secured party fails to require the debtor to account for proceeds or replace collateral.
(b) Requirements of possession not relaxed.— This section does not relax the requirements of possession if attachment, perfection, or enforcement of a security interest depends upon possession of the collateral by the secured party.
History —Sept. 19, 1996, No. 241, added as § 9–205 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2236 - Security interest arising in purchase or delivery of financial asset

(a) Security interest when person buys through securities intermediary.— A security interest in favor of a securities intermediary attaches to a person's security entitlement if:
(1) The person buys a financial asset through the securities intermediary in a transaction in which the person is obligated to pay the purchase price to the securities intermediary at the time of the purchase, and
(2) The securities intermediary credits the financial asset to the buyer's securities account before the buyer pays the securities intermediary.
(b) Security interest secures obligation to pay for financial asset.— The security interest described in subsection (a) of this section secures the person's obligation to pay for the financial asset.
(c) Security interest in payment against delivery transaction.— A security interest in favor of a person that delivers a certificated security or other financial asset represented by a writing attaches to the security or other financial asset if:
(1) The security or other financial asset:
(A) In the ordinary course of business is transferred by delivery with any necessary endorsement or assignment, and
(B) is delivered under an agreement between persons in the business of dealing with such securities or financial assets, and
(2) the agreement calls for delivery against payment.
(d) Security interest secures obligation to pay for delivery.— The security interest described in subsection (c) of this section secures the obligation to make payment for the delivery.
History —Sept. 19, 1996, No. 241, added as § 9–206 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2237 - Rights and duties of secured party having possession or secured party control of collateral

(a) Duty of care when secured party in possession.— Except as otherwise provided in subsection (e) of this section, a secured party shall use reasonable care in the custody and preservation of collateral in the secured party's possession. In the case of chattel paper or an instrument, reasonable care includes taking necessary steps to preserve rights against prior parties unless otherwise agreed.
(b) Expenses, risks, duties, and rights when secured party in possession.— Except as otherwise provided in subsection (d) of this section, if a secured party has possession of collateral:
(1) Reasonable expenses, including the cost of insurance and payment of taxes or other charges, incurred in the custody, preservation, use, or operation of the collateral are chargeable to the debtor and are secured by the collateral;
(2) the risk of accidental loss or damage is on the debtor to the extent of a deficiency in any effective insurance coverage;
(3) the secured party shall keep the collateral identifiable, but fungible collateral may be commingled, and
(4) the secured party may use or operate the collateral:
(A) For the purpose of preserving the collateral or its value;
(B) as permitted by an order of a court having competent jurisdiction, or
(C) except in the case of consumer goods, in the manner and to the extent agreed by the debtor.
(c) A secured party shall be deem responsible for the loss or damage of the collateral when he fails to comply with the duties of reasonable custody and preservation of the collateral in his possession.
(d) Duties and rights when secured party in possession or control.— Except as otherwise provided in subsection (d), a secured party having possession of collateral or control of collateral under § 2214, 2215, 2216, 2217 or 2217a of this title:
(1) May hold as additional security any proceeds, except money or funds, received from the collateral;
(2) shall apply money or funds received from the collateral to reduce the secured obligation, unless remitted to the debtor, and
(3) may create a security interest in the collateral.
(e) Buyer of certain rights to payment.— If the secured party is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor:
(1) Subsection (a) of this section does not apply unless the secured party is entitled under an agreement:
(A) To charge back uncollected collateral, or
(B) otherwise to full or limited recourse against the debtor or a secondary obligor based on the nonpayment or other default of an account debtor or other obligor on the collateral; and
(2) subsections (b) and (c) of this section do not apply.
History —Sept. 19, 1996, No. 241, added as § 9–207 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 II - Effectiveness and Attachment; Rights and Obligations (§§ 2231 — 2240) › § 2239 - Duties of secured party if account debtor has been notified of assignment

(a) Applicability of section.— Except as otherwise provided in subsection (c) of this section, this section applies if:
(1) There is no outstanding secured obligation, and
(2) the secured party is not committed to make advances, incur obligations, or otherwise give value.
(b) Duties of secured party after receiving demand from debtor.— Within ten (10) days after receiving an authenticated demand by the debtor, a secured party shall send to an account debtor that has received notification of an assignment to the secured party as assignee under § 2306(a) of this title an authenticated record that releases the account debtor from any further obligation to the secured party.
(c) Inapplicability to sales.— This section does not apply to an assignment constituting the sale of an account, chattel paper, or payment intangible.
History —Sept. 19, 1996, No. 241, added as § 9–209 on Jan. 17, 2012, No. 21, § 11, eff. 1 year after Jan. 17, 2012.