Exam 30: Secured Transactions

[Overextended Debtor] Michael bought a flat screen television for his living room from ABC Electronics, and financed the purchase through ABC Electronics. Later, Michael bought a boat, a new car, and an expensive engagement ring for his girlfriend, and found he was unable to continue making payments on the television. The manager of ABC Electronics called 60 days after the sale and asked Michael to return the television. Michael refused on the basis that ABC Electronics never perfected its interest in the television. He also explained that he had later granted a secured interest in the television along with his other goods to XYZ Credit in return for a loan. No financing statement was filed on behalf of ABC Electronics although XYZ Credit, with no knowledge of any interest of ABC Electronics, did file a financing statement. -What is the term for the type of agreement Michael had with ABC Electronics?

What is the likely effect on perfection when a financing statement is filed under an incorrect name?

Veronica and Helen are discussing the definition of "goods" and have come up with the following list. Which of the following have they incorrectly classified as a good?

Which of the following is true under the UCC regarding a security interest in collateral that has been perfected in one state when the collateral is moved to another state?

A description of the collateral does not need to be included in a security agreement.

Regarding protection in movable collateral that is moved from one state to another, what does the UCC provide?

Where should the bank have filed the financing statement?

Jo purchases a car from Used-Carz and signs a security agreement that identifies Jo's "blue car" as the collateral. If Jo is unable to make payments, how likely would Used-Carz be in a suit to recover the collateral if Jo defaults on her payments?

Shen buys a bicycle on credit from Bike City. Bike City has a security agreement establishing a purchase-money security interest in the bicycle. Shen, however, discovers that he does not have enough money to pay his rent. Therefore, he sells his bicycle to his neighbor, Mindy, who is unaware of Bike City's security interest in the bicycle. Shen fails to make payments on the bicycle and Bike City seeks to repossess it. Discuss the rights and obligations of the parties.

Which of the following is true regarding a security interest in consumer goods?

What are a secured party's remedies to recover its money when a debtor defaults on a loan?

A secured transaction is a transaction in ________.

Anna runs a business in Oklahoma and purchases goods to stalk her store every month from her supplier Glenn in Michigan. Anna would be considered a(n)

Value is consideration, according to the UCC.

Which of the following is an amendment to a financing statement that states that the debtor has no obligation to the secured party?

A person or party that has an obligation to the secured party is a ________.

Set forth the steps that a creditor must take to become a secured party.

Which of the following is true if a buyer of a consumer good subject to purchase-money security interest later sells the good?

Which of the following is true regarding the court's opinion in Price Auto Sales, Inc. v. Sanders, the case in the text in which a debtor sued an auto company for injuries sustained during an attempt to repossess his automobile?

________ is defined as the series of legal steps taken by a secured party to protect its rights in the collateral from other creditors who wish to have their debts satisfied through the same collateral.