§ 8.9A-617 Rights of transferee of collateral
a. Effects of disposition. A secured party’s disposition of collateral after default:
1. transfers to a transferee for value all of the debtor’s rights in the collateral;
2. discharges the security interest under which the disposition is made; and
3. discharges any subordinate security interest or other subordinate lien.
b. Rights of good-faith transferee. A transferee that acts in good faith takes free of the rights and interests described in subsection (a), even if the secured party fails to comply with this title or the requirements of any judicial proceeding.
c. Rights of other transferee. If a transferee does not take free of the rights and interests described in subsection (a), the transferee takes the collateral subject to:
2. the security interest or agricultural lien under which the disposition is made; and
History
This law was first created in 1964. The record of its establishment is cataloged in chapter 219 of that year’s edition of “Acts of Assembly,” the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1964 “Acts” aren’t available online. It has been modified 2 times. Those modifications are cataloged by “The Acts of Assembly,” a state publication, by year and chapter. Those modifications that can be read on the General Assembly’s website will be linked accordingly. Those modifications are as follows: in 1973, chapter 509; in 2000, chapter 1007.
1964, c. 219, § 8.9-504; 1973, c. 509; 2000, c. 1007.