                                 CODE OF VIRGINIA

PRIORITY OF SECURITY INTERESTS IN GOODS COVERED BY CERTIFICATE OF TITLE (§
8.9A-337)

If, while a security interest in goods is perfected by any method under the law
of another jurisdiction, this Commonwealth issues a certificate of title that
does not show that the goods are subject to the security interest or contain a
statement that they may be subject to security interests not shown on the
certificate:

1. a buyer of the goods, other than a person in the business of selling goods of
that kind, takes free of the security interest if the buyer gives value and
receives delivery of the goods after issuance of the certificate and without
knowledge of the security interest; and

2. the security interest is subordinate to a conflicting security interest in
the goods that attaches, and is perfected under &#xA7; 8.9A-311 (b), after
issuance of the certificate and without the conflicting secured party&#8217;s
knowledge of the security interest.

HISTORY: 2000, c. 1007.