                                 CODE OF VIRGINIA

RIGHTS AND DUTIES OF CERTAIN SECONDARY OBLIGORS (§ 8.9A-618)

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 &#xA7; 8.9A-610; and

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

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