The existence of a security interest, agricultural lien, or authority given to a debtor to dispose of or use collateral, without more, does not subject a secured party to liability in contract or tort for the debtor's acts or omissions.
Ark. Code Ann. § 4-9-402
Secured party not obligated on contract of debtor or in tort
Known as the Uniform Commercial Code
The act spans §§ 4–4 (597 sections).
Applied in 3 court decisions — leading case Meeks v. First Bank of South Arkansas (In Re Tracy's Flowers & Gifts, Inc.) (2001)
Most recently applied in 2013 Ark. App. 259 - Newsom v. Rabo Agrifinance, Inc. (April 2013)
Acts 2001, No. 1439, § 1.
Current official text: Arkansas General Assembly. Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Arkansas statutes; confirm against the official source for the current text. Not legal advice.