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.
Cal. Com. Code § 9402
Rights of Third Parties
Known as the Uniform Commercial Code
The act spans §§ 1101–12107 (623 sections).
Repealed and added by Stats. 1999, Ch. 991, Sec. 35
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.