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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>61420</law_id><section_number>8.9A-325</section_number><catch_line>Priority of security interests in transferred collateral</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><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> <span class="dictionary">Subordination</span> of security interest in transferred <span class="dictionary">collateral</span>. Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same <span class="dictionary">collateral</span> created by another person if: <a id="paragraph-224347" class="section-permalink" href="https://vacode.org/8.9A-325/#a"><i class="fa fa-link"/></a></p></section>
						<section id="a1" class="indent-1"><p><span class="prefix-number">1.</span> the debtor acquired the <span class="dictionary">collateral</span> subject to the security interest created by the other person; <a id="paragraph-224348" class="section-permalink" href="https://vacode.org/8.9A-325/#a1"><i class="fa fa-link"/></a></p></section>
						<section id="a2" class="indent-1"><p><span class="prefix-number">2.</span> the security interest created by the other person was perfected when the debtor acquired the <span class="dictionary">collateral</span>; and <a id="paragraph-224349" class="section-permalink" href="https://vacode.org/8.9A-325/#a2"><i class="fa fa-link"/></a></p></section>
						<section id="a3" class="indent-1"><p><span class="prefix-number">3.</span> there is no period thereafter when the security interest is unperfected. <a id="paragraph-224350" class="section-permalink" href="https://vacode.org/8.9A-325/#a3"><i class="fa fa-link"/></a></p></section>
						<section id="b"><p><span class="prefix-number">b.</span> Limitation of subsection (a) <span class="dictionary">subordination</span>. Subsection (a) subordinates a security interest only if the security interest: <a id="paragraph-224351" class="section-permalink" href="https://vacode.org/8.9A-325/#b"><i class="fa fa-link"/></a></p></section>
						<section id="b1" class="indent-1"><p><span class="prefix-number">1.</span> otherwise would have priority solely under &#xA7; <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) or &#xA7; <a class="law" title="Priority of purchase-money security interests" href="/8.9A-324/">8.9A-324</a>; or <a id="paragraph-224352" class="section-permalink" href="https://vacode.org/8.9A-325/#b1"><i class="fa fa-link"/></a></p></section>
						<section id="b2" class="indent-1"><p><span class="prefix-number">2.</span> arose solely under &#xA7; <a class="law" title="Buyer's remedies in general; buyer's security interest in rejected goods" href="/8.2-711/">8.2-711</a> (3) or &#xA7; <a class="law" title="Lessee's remedies" href="/8.2A-508/">8.2A-508</a> (5). <a id="paragraph-224353" class="section-permalink" href="https://vacode.org/8.9A-325/#b2"><i class="fa fa-link"/></a></p></section></text><history>2000, c. 1007.</history><metadata></metadata></law>
