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Mont. Code Ann. § 30-9A-325

Priority of security interests in transferred collateral

Known as the Uniform Commercial Code

The act spans §§ 30–30 (713 sections).

En

(1) Except as otherwise provided in subsection (2), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:

(a) the debtor acquired the collateral subject to the security interest created by the other person;

(b) the security interest created by the other person was perfected when the debtor acquired the collateral; and

(c) there is no period thereafter when the security interest is unperfected.

(2) Subsection (1) subordinates a security interest only if the security interest:

(a) otherwise would have priority solely under 30-9A-322 (1) or 30-9A-324; or

(b) arose solely under 30-2-711 (3) or 30-2A-508 (5).

Official source: Montana Code Annotated (Montana Legislature). Reproduced from public-domain Montana statutes; confirm against the official source for the current text. Not legal advice.