An obligation may be issued as subordinated to performance of another obligation of the person obligated, or a creditor may subordinate its right to performance of an obligation by agreement with either the person obligated or another creditor of the person obligated. Subordination does not create a security interest as against either the common debtor or a subordinated creditor.
S.C. Code Ann. § 36-1-310
Subordinated obligations
Known as the Uniform Commercial Code
The act spans §§ 36–36 (519 sections).
2014 Act No. 213 (S.343), SECTION 1, eff October 1, 2014.
Official source: South Carolina Legislature. Reproduced from public-domain South Carolina statutes; confirm against the official source for the current text. Not legal advice.