                                 CODE OF VIRGINIA

PRIORITY OF SECURITY INTEREST OR AGRICULTURAL LIEN PERFECTED BY FILED FINANCING
STATEMENT PROVIDING CERTAIN INCORRECT INFORMATION (§ 8.9A-338)

If a security interest or agricultural lien is perfected by a filed financing
statement providing information described in § 8.9A-516 (b) (5) which is
incorrect at the time the financing statement is filed:

1. the security interest or agricultural lien is subordinate to a conflicting
perfected security interest in the collateral to the extent that the holder of
the conflicting security interest gives value in reasonable reliance upon the
incorrect information; and

2. a purchaser, other than a secured party, of the collateral takes free of the
security interest or agricultural lien to the extent that, in reasonable
reliance upon the incorrect information, the purchaser gives value and, in the
case of tangible chattel paper, tangible documents, goods, instruments, or a
security certificate, receives delivery of the collateral.

HISTORY: 2000, c. 1007; 2004, c. 200.