Virginia Decodedhttps://vacode.org740548.9A-618Rights and duties of certain secondary obligors2025Commercial Code — Secured TransactionsDefaultDefault and Enforcement of Security Interest

a. Rights and duties of secondary obligor. A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:

1. receives an assignment of a secured obligation from the secured party;

2. receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or

3. is subrogated to the rights of the secured party with respect to collateral.

b. Effect of assignment, transfer, or subrogation. An assignment, transfer, or subrogation described in subsection (a):

1. is not a disposition of collateral under § 8.9A-610; and

2. relieves the secured party of further duties under this title.

1964, c. 219, § 8.9-504; 1973, c. 509; 2000, c. 1007.