                                 CODE OF VIRGINIA

WHAT CONSTITUTES FILING; EFFECTIVENESS OF FILING (§ 8.9A-516)

a. What constitutes filing. Except as otherwise provided in subsection (b),
communication of a record to a filing office and tender of the filing fee or
acceptance of the record by the filing office constitutes filing.

b. Refusal to accept record; filing does not occur. Filing does not occur with
respect to a record that a filing office refuses to accept because:

   1. the record is not communicated by a method or medium of communication
   authorized by the filing office;

   2. an amount equal to or greater than the applicable filing fee is not
   tendered;

   3. the filing office is unable to index the record because:

A. in the case of an initial financing statement, the record does not provide a
name for the debtor;

B. in the case of an amendment or information statement, the record:

i. does not identify the initial financing statement as required by § 8.9A-512
or 8.9A-518, as applicable;

   ii. identifies an initial financing statement whose effectiveness has lapsed
   under &#xA7; 8.9A-515; or

   iii. in the case of a record filed or recorded in the filing office described
   in &#xA7; 8.9A-501(a)(1), does not provide the name and mailing address of the
   debtor;

C. in the case of an initial financing statement that provides the name of a
debtor identified as an individual or an amendment that provides a name of a
debtor identified as an individual which was not previously provided in the
financing statement to which the record relates, the record does not identify
the debtor&#8217;s surname; or

D. in the case of a record filed or recorded in the filing office described in
§ 8.9A-501(a)(1), the record does not provide a sufficient description of the
real property to which it relates;

   4. in the case of an initial financing statement or an amendment that adds a
   secured party of record, the record does not provide a name and mailing
   address for the secured party of record;

   5. in the case of an initial financing statement or an amendment that provides
   a name of a debtor which was not previously provided in the financing
   statement to which the amendment relates, the record does not:

A. provide a mailing address for the debtor; or

B. indicate whether the name provided as the name of the debtor is the name of
an individual or an organization;

   6. in the case of an assignment reflected in an initial financing statement
   under &#xA7; 8.9A-514(a) or an amendment filed under &#xA7; 8.9A-514(b), the
   record does not provide a name and mailing address for the assignee;

   7. in the case of a continuation statement, the record is not filed within the
   six-month period prescribed by &#xA7; 8.9A-515(d); or

   8. in the case of an initial financing statement or amendment communicated to
   the office of the State Corporation Commission, it appears to such office that
   the record:

A. is not created pursuant to this title;

B. is presented for filing for an improper purpose, such as to hinder, harass,
or otherwise wrongfully interfere with a person or promote or conduct an
illegitimate object or purpose;

C. is materially false or fraudulent; or

D. indicates that the debtor and the secured party are substantially the same
person or that an individual debtor is a transmitting utility.

c. Rules applicable to subsection (b). For purposes of subsection (b):

   1. a record does not provide information if the filing office is unable to
   read or decipher the information;

   2. a record that does not indicate that it is an amendment or identify an
   initial financing statement to which it relates, as required by &#xA7;
   8.9A-512, 8.9A-514, or 8.9A-518, is an initial financing statement; and

   3. if the filing office becomes aware that a record may have been wrongfully
   filed because it should have been rejected under subdivision (b)(8), the
   filing office may review the record and relevant circumstances and, if it
   determines that the record was wrongfully filed and should have been rejected
   under subdivision (b)(8):

A. the record shall be deemed void and ineffective; and

B. the filing office shall remove the record from the index and communicate the
foregoing to the person that presented the wrongfully filed record and to other
persons, as appropriate.

d. Refusal to accept record; record effective as filed record. A record that is
communicated to the filing office with tender of the filing fee, but which the
filing office refuses to accept for a reason other than one set forth in
subsection (b), is effective as a filed record except as against a purchaser of
the collateral which gives value in reasonable reliance upon the absence of the
record from the files.

HISTORY: 2000, c. 1007; 2002, cc. 566, 644; 2012, c. 155; 2013, c. 757