8.9A-317 - A-317. Interests that take priority over or take free of security interest or agricultural lien.
§ 8.9A-317. Interests that take priority over or take free of securityinterest or agricultural lien.
(a) Conflicting security interests and rights of lien creditors. A securityinterest or agricultural lien is subordinate to the rights of:
(1) a person entitled to priority under § 8.9A-322; and
(2) except as otherwise provided in subsection (e), a person that becomes alien creditor before the earlier of the time:
(A) the security interest or agricultural lien is perfected; or
(B) one of the conditions specified in subdivision (b) (3) of § 8.9A-203 ismet and a financing statement covering the collateral is filed.
(b) Buyers that receive delivery. Except as otherwise provided in subsection(e), a buyer, other than a secured party, of tangible chattel paper, tangibledocuments, goods, instruments, or a security certificate takes free of asecurity interest or agricultural lien if the buyer gives value and receivesdelivery of the collateral without knowledge of the security interest oragricultural lien and before it is perfected.
(c) Lessees that receive delivery. Except as otherwise provided in subsection(e), a lessee of goods takes free of a security interest or agricultural lienif the lessee gives value and receives delivery of the collateral withoutknowledge of the security interest or agricultural lien and before it isperfected.
(d) Licensees and buyers of certain collateral. A licensee of a generalintangible or a buyer, other than a secured party, of accounts, electronicchattel paper, electronic documents, general intangibles, or investmentproperty other than a certificated security takes free of a security interestif the licensee or buyer gives value without knowledge of the securityinterest and before it is perfected.
(e) Purchase-money security interest. Except as otherwise provided in §§8.9A-320 and 8.9A-321, if a person files a financing statement with respectto a purchase-money security interest before or within twenty days after thedebtor receives delivery of the collateral, the security interest takespriority over the rights of a buyer, lessee, or lien creditor which arisebetween the time the security interest attaches and the time of filing.
(1964, c. 219, § 8.9-301; 1973, c. 509; 1983, c. 204; 1991, c. 536, §8.2A-307; 1996, c. 216; 2000, c. 1007; 2004, c. 200.)