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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>65781</law_id><section_number>8.9A-323</section_number><catch_line>Future advances</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><referred_to_by><reference>8.2A-307</reference><reference>8.9A-328</reference></referred_to_by><structure><unit label="title" level="1" order_by="1" identifier="8.9A">Commercial Code &#x2014; Secured Transactions</unit><unit label="part" level="2" order_by="1" identifier="3">Perfection and Priority</unit><unit label="subpart" level="3" order_by="1" identifier="3">Priority</unit></structure><text>
						<section id="a"><p><span class="prefix-number">a.</span> When priority based on time of advance. Except as otherwise provided in subsection (c), for purposes of determining the priority of a perfected security interest under &#xA7;&#xA0;<a class="law" title="Priorities among conflicting security interests in and agricultural liens on same collateral" href="/8.9A-322/">8.9A-322</a> (a) (1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that: <a id="paragraph-239060" class="section-permalink" href="https://vacode.org/8.9A-323/#a"><i class="fa fa-link"/></a></p></section>
						<section id="a1" class="indent-1"><p><span class="prefix-number">1.</span> is made while the security interest is perfected only: <a id="paragraph-239061" class="section-permalink" href="https://vacode.org/8.9A-323/#a1"><i class="fa fa-link"/></a></p></section>
						<section id="A"><p><span class="prefix-number">A.</span> under &#xA7; <a class="law" title="Security interest perfected upon attachment" href="/8.9A-309/">8.9A-309</a> when it attaches; or <a id="paragraph-239062" class="section-permalink" href="https://vacode.org/8.9A-323/#A"><i class="fa fa-link"/></a></p></section>
						<section id="B"><p><span class="prefix-number">B.</span> temporarily under &#xA7;&#xA0;<a class="law" title="Perfection of security interests in chattel paper, controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, documents, goods covered by documents, instruments, investment property, letter-of-credit rights, and money; perfection by permissive filing, temporary perfection without filing or transfer of possession" href="/8.9A-312/">8.9A-312</a> (e), (f), or (g); and <a id="paragraph-239063" class="section-permalink" href="https://vacode.org/8.9A-323/#B"><i class="fa fa-link"/></a></p></section>
						<section id="B2" class="indent-1"><p><span class="prefix-number">2.</span> is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under &#xA7; <a class="law" title="Security interest perfected upon attachment" href="/8.9A-309/">8.9A-309</a> or &#xA7; <a class="law" title="Perfection of security interests in chattel paper, controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, documents, goods covered by documents, instruments, investment property, letter-of-credit rights, and money; perfection by permissive filing, temporary perfection without filing or transfer of possession" href="/8.9A-312/">8.9A-312</a> (e), (f), or (g). <a id="paragraph-239064" class="section-permalink" href="https://vacode.org/8.9A-323/#B2"><i class="fa fa-link"/></a></p></section>
						<section id="b"><p><span class="prefix-number">b.</span> <span class="dictionary">Lien</span> <span class="dictionary">creditor</span>. Except as otherwise provided in subsection (c), a security interest is subordinate to the rights of a person that becomes a <span class="dictionary">lien</span> <span class="dictionary">creditor</span> to the extent that the security interest secures an advance made more than forty-five days after the person becomes a <span class="dictionary">lien</span> <span class="dictionary">creditor</span> unless the advance is made: <a id="paragraph-239065" class="section-permalink" href="https://vacode.org/8.9A-323/#b"><i class="fa fa-link"/></a></p></section>
						<section id="b1" class="indent-1"><p><span class="prefix-number">1.</span> without knowledge of the <span class="dictionary">lien</span>; or <a id="paragraph-239066" class="section-permalink" href="https://vacode.org/8.9A-323/#b1"><i class="fa fa-link"/></a></p></section>
						<section id="b2" class="indent-1"><p><span class="prefix-number">2.</span> pursuant to a commitment entered into without knowledge of the <span class="dictionary">lien</span>. <a id="paragraph-239067" class="section-permalink" href="https://vacode.org/8.9A-323/#b2"><i class="fa fa-link"/></a></p></section>
						<section id="c"><p><span class="prefix-number">c.</span> Buyer of receivables. Subsections (a) and (b) do not apply to a security interest held by a secured <span class="dictionary">party</span> that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor. <a id="paragraph-239068" class="section-permalink" href="https://vacode.org/8.9A-323/#c"><i class="fa fa-link"/></a></p></section>
						<section id="d"><p><span class="prefix-number">d.</span> Buyer of goods. Except as otherwise provided in subsection (e), a buyer of goods takes free of a security interest to the extent that it secures advances made after the earlier of: <a id="paragraph-239069" class="section-permalink" href="https://vacode.org/8.9A-323/#d"><i class="fa fa-link"/></a></p></section>
						<section id="d1" class="indent-1"><p><span class="prefix-number">1.</span> the time the secured <span class="dictionary">party</span> acquires knowledge of the buyer&#x2019;s purchase; or <a id="paragraph-239070" class="section-permalink" href="https://vacode.org/8.9A-323/#d1"><i class="fa fa-link"/></a></p></section>
						<section id="d2" class="indent-1"><p><span class="prefix-number">2.</span> forty-five days after the purchase. <a id="paragraph-239071" class="section-permalink" href="https://vacode.org/8.9A-323/#d2"><i class="fa fa-link"/></a></p></section>
						<section id="e"><p><span class="prefix-number">e.</span> Advances made pursuant to commitment; priority of buyer of goods. Subsection (d) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer&#x2019;s purchase and before the expiration of the forty-five day period. <a id="paragraph-239072" class="section-permalink" href="https://vacode.org/8.9A-323/#e"><i class="fa fa-link"/></a></p></section>
						<section id="f"><p><span class="prefix-number">f.</span> Lessee of goods. Except as otherwise provided in subsection (g), a lessee of goods takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of: <a id="paragraph-239073" class="section-permalink" href="https://vacode.org/8.9A-323/#f"><i class="fa fa-link"/></a></p></section>
						<section id="f1" class="indent-1"><p><span class="prefix-number">1.</span> the time the secured <span class="dictionary">party</span> acquires knowledge of the lease; or <a id="paragraph-239074" class="section-permalink" href="https://vacode.org/8.9A-323/#f1"><i class="fa fa-link"/></a></p></section>
						<section id="f2" class="indent-1"><p><span class="prefix-number">2.</span> forty-five days after the lease <span class="dictionary">contract</span> becomes enforceable. <a id="paragraph-239075" class="section-permalink" href="https://vacode.org/8.9A-323/#f2"><i class="fa fa-link"/></a></p></section>
						<section id="g"><p><span class="prefix-number">g.</span> Advances made pursuant to commitment: priority of lessee of goods. Subsection (f) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the forty-five day period. <a id="paragraph-239076" class="section-permalink" href="https://vacode.org/8.9A-323/#g"><i class="fa fa-link"/></a></p></section></text><history>Code 1950, &#xA7; 43-27; 1964, c. 219, &#xA7;&#xA7; 8.9-301, 8.9-307, 8.9-312; 1966, c. 557; 1973, c. 509; 1983, c. 204; 1984, c. 613; 1991, c. 536, &#xA7; 8.2A-307; 1996, c. 216; 2000, c. 1007; 2024, c. 652.</history><metadata></metadata></law>
