§ 8.9A-325 Priority of security interests in transferred collateral
a. Subordination of security interest in transferred collateral. Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:
1. the debtor acquired the collateral subject to the security interest created by the other person;
2. the security interest created by the other person was perfected when the debtor acquired the collateral; and
3. there is no period thereafter when the security interest is unperfected.
b. Limitation of subsection (a) subordination. Subsection (a) subordinates a security interest only if the security interest:
1. otherwise would have priority solely under § 8.9A-322 (a) or § 8.9A-324; or
History
This law was first created in 2000. The record of its establishment is cataloged in chapter 1007 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.
2000, c. 1007.