S.C. Code Ann. § 36-9-318

No interest retained in right to payment that is sold; rights and title of seller of account or chattel paper with respect to creditors and purchasers

Known as the Uniform Commercial Code

The act spans §§ 36–36 (519 sections).

1962 Code SECTION 10.9-318; 1966 (54) 2716; 1988 Act No. 494, SECTION 5; 2001 Act No; 67, SECTION 12.

(a) A debtor that has sold an account, chattel paper, payment intangible, or promissory note does not retain a legal or equitable interest in the collateral sold.

(b) For purposes of determining the rights of creditors of, and purchasers for value of an account or chattel paper from, a debtor that has sold an account or chattel paper, while the buyer's security interest is unperfected, the debtor is deemed to have rights and title to the account or chattel paper identical to those the debtor sold.

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