Document ID: chunk:federal_register_of_legislation:C2024C00719:section:21
Version: federal_register_of_legislation:C2024C00719
Segment Type: section
Provision Reference: s 21
Character Range: 90185–91576

21  Perfection—main rule
 (1) A security interest in particular collateral is perfected if:
 (a) the security interest is temporarily perfected, or otherwise perfected, by force of this Act; or
 (b) all of the following apply:
 (i) the security interest is attached to the collateral;
 (ii) the security interest is enforceable against a third party;
 (iii) subsection (2) applies.
 (2) This subsection applies if:
 (a) for any collateral, a registration is effective with respect to the collateral; or
 (b) for any collateral, the secured party has possession of the collateral (other than possession as a result of seizure or repossession); or
 (c) for the following kinds of collateral, the secured party has control of the collateral:
 (i) an ADI account;
 (ii) an intermediated security;
 (iii) an investment instrument;
 (iv) a negotiable instrument that is not evidenced by a certificate;
 (v) a right evidenced by a letter of credit that states that the letter of credit must be presented on claiming payment or requiring the performance of an obligation;
 (vi) satellites and other space objects.
Note: For what constitutes possession and control of collateral, see Part 2.3.
 (3) A security interest may be perfected regardless of the order in which attachment and any step mentioned in subsection (2) occur.
 (4) A single registration may perfect one or more security interests.