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Haw. Rev. Stat. § 490:9-314

Perfection by control

Known as the Uniform Commercial Code

The act spans §§ 490–490 (641 sections).

L 2000, c 241, pt of §1; am L 2004, c 163, §29; am L 2023, c 132, §49

(a) A security interest in controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, electronic documents, electronic money, investment property, or letter-of-credit rights may be perfected by control of the collateral under section 490:7-106, 490:9-104, 490:9-105.5, 490:9-106, 490:9-107, or 490:9-107.5.

(b) A security interest in controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, electronic documents, electronic money, or letter-of-credit rights shall be deemed perfected by control under section 490:7-106, 490:9-104, 490:9-105.5, 490:9-107, or 490:9-107.5 no earlier than the time the secured party obtains control and shall be deemed to remain perfected by control only while the secured party retains control.

(c) A security interest in investment property shall be deemed perfected by control under section 490:9-106 no earlier than the time the secured party obtains control and shall be deemed to remain perfected by control until:

(1) The secured party does not have control; and

(2) One of the following occurs:

(A) If the collateral is a certificated security, the debtor has or acquires possession of the security certificate;

(B) If the collateral is an uncertificated security, the issuer has registered or registers the debtor as the registered owner; or

(C) If the collateral is a security entitlement, the debtor is or becomes the entitlement holder.

Official source: Hawaii State Legislature. Reproduced from public-domain Hawaii statutes; confirm against the official source for the current text. Not legal advice.