104.9325 - Priority of security interests in transferred collateral.

104.9325  Priority of security interests in transferred collateral.

      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 subsection 1 of NRS 104.9322 or NRS 104.9324; or

      (b) Arose solely under subsection 3 of NRS 104.2711 or subsection 5 of NRS 104A.2508.

      (Added to NRS by 1999, 316)