62A.9A-618 - Rights and duties of certain secondary obligors.

Rights and duties of certain secondary obligors.

(a) Rights and duties of secondary obligor. A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:

     (1) Receives an assignment of a secured obligation from the secured party;

     (2) Receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or

     (3) Is subrogated to the rights of a secured party with respect to collateral.

     (b) Effect of assignment, transfer, or subrogation. An assignment, transfer, or subrogation described in subsection (a) of this section:

     (1) Is not a disposition of collateral under RCW 62A.9A-610; and

     (2) Relieves the secured party of further duties under this Article.

[2000 c 250 § 9A-618.]