1. Class 6 Secured Transactions, Fall, 2018 Perfection: Debtor’s Name
11/21/2018
Class 6 Secured Transactions, Fall, Perfection: Debtor’s Name
Randal C. Picker
James Parker Hall Distinguished Service Professor of Law
The Law School
The University of Chicago
Copyright © Randal C. Picker. All Rights Reserved.

2. 9-502 (a) [Sufficiency of financing statement.]
11/21/2018
9-502
(a) [Sufficiency of financing statement.]
Subject to subsection (b), a financing statement is sufficient only if it:
(1) provides the name of the debtor;
(2) provides the name of the secured party or a representative of the secured party; and
(3) indicates the collateral covered by the financing statement.
November 21, 2018

3. 9-503: Name of Debtor (a) [Sufficiency of debtor’s name.]
11/21/2018
9-503: Name of Debtor
(a) [Sufficiency of debtor’s name.]
A financing statement sufficiently provides the name of the debtor:
(1) except as otherwise provided in paragraph (3), if the debtor is a registered organization … , only if the financing statement provides the name that is stated to be the registered
November 21, 2018

4. 11/21/2018
9-503: Name of Debtor
organization’s name on the public organic record most recently filed with or issued or enacted by the registered organization’s jurisdiction of organization which purports to state, amend, or restate the registered organization’s name;
November 21, 2018

5. 11/21/2018
9-503: Name of Debtor: Alt A
(4) subject to subsection (g), if the debtor is an individual to whom this State has issued a [driver’s license] that has not expired, only if the financing statement provides the name of the individual which is indicated on the [driver’s license];
November 21, 2018

6. 11/21/2018
9-503: Name of Debtor: Alt A
(5) if the debtor is an individual to whom paragraph (4) does not apply, only if the financing statement provides the individual name of the debtor or the surname and first personal name of the debtor; and
November 21, 2018

7. 9-503: Name of Debtor (c) [Debtor’s trade name insufficient.]
11/21/2018
9-503: Name of Debtor
(c) [Debtor’s trade name insufficient.]
A financing statement that provides only the debtor’s trade name does not sufficiently provide the name of the debtor.
November 21, 2018

8. 9-506: Errors or Omissions (a) [Minor errors and omissions.]
11/21/2018
9-506: Errors or Omissions
(a) [Minor errors and omissions.]
A financing statement substantially satisfying the requirements of this part is effective, even if it has minor errors or omissions, unless the errors or omissions make the financing statement seriously misleading.
November 21, 2018

9. 11/21/2018
9-506: Errors or Omissions
(b) [Financing statement seriously misleading.]
Except as otherwise provided in subsection (c), a financing statement that fails sufficiently to provide the name of the debtor in accordance with Section 9‑503(a) is seriously misleading.
November 21, 2018

10. 11/21/2018
9-506: Errors or Omissions
(c) [Financing statement not seriously misleading.]
If a search of the records of the filing office under the debtor’s correct name, using the filing office’s standard search logic, if any, would disclose a financing statement that fails sufficiently to provide the name of the debtor in accordance with Section 9‑503(a), the name provided does not make the financing statement seriously misleading.
November 21, 2018

11. Tyringham Holdings, Inc.
11/21/2018
First Case
Legal Name
Tyringham Holdings, Inc.
Filed Name
Tyringham Holdings
Is the financing statement effective?
November 21, 2018

12. November 21, 2018

13. November 21, 2018

14. Apply the VA Search Logic
Search on the legal name: “Tyringham Holdings, Inc.”
Ignore capitalization, spaces and punctuation
Ignore certain noise words: none here given VA rule
Converted to “tyringhamholdingsinc”
Does that match “tyringhamholdings”?
November 21, 2018

15. First Case Analysis That would be “TH, Inc.” and not just “TH”
11/21/2018
First Case
Analysis
Debtor is a registered organization per 9-503(a)(1)
That would be “TH, Inc.” and not just “TH”
November 21, 2018

16. First Case Consider 9-506(c):
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First Case
Consider 9-506(c):
Does a search run under the debtor’s correct name using the filing office’s standard search logic find the financing statement?
If yes, the filed name doesn’t in and of itself making the financing statement seriously misleading
November 21, 2018

17. 11/21/2018
First Case
If no, then 9-506(b) applies and the financing statement is seriously misleading and the statement is ineffective under 9-506(a)
Searching on “TH, Inc.” using the standard search logic did not find “TH”
Result
The secured creditor is unperfected
November 21, 2018

18. Jim Ross Tires, Inc. dba HTC Tires & Automotive Centers
11/21/2018
Second Case: AmPac FS
Legal Name
Jim Ross Tires, Inc.
Filed Name
Jim Ross Tires, Inc. dba HTC Tires & Automotive Centers
Is the financing statement effective?
November 21, 2018

19. Second Case: Tradition Bank FS
11/21/2018
Second Case: Tradition Bank FS
Legal Name
Jim Ross Tires, Inc.
Filed Name
Jim Ross Tire, Inc.
Is the financing statement effective?
November 21, 2018

20. Third Case Legal Name PTM Technologies, Inc. Filed Name
11/21/2018
Third Case
Legal Name
PTM Technologies, Inc.
Filed Name
PTM Tecnologies, Inc.
Is the financing statement effective?
November 21, 2018

21. NC UCC Searches
Here
November 21, 2018

22. Fourth Case Legal Name ISC, Inc. Filed Name ISC, Inc .
11/21/2018
Fourth Case
Legal Name
ISC, Inc.
Filed Name
ISC, Inc .
Is the financing statement effective?
November 21, 2018

23. Wisconsin Regs Search Logic
November 21, 2018

24. Fifth Case Legal Name Brooks L. Dickerson Filed Name Louie Dickerson
11/21/2018
Fifth Case
Legal Name
Brooks L. Dickerson
Filed Name
Louie Dickerson
Is the financing statement effective?
November 21, 2018

25. Sixth Case Legal Name Ronald Markt Nay Filed Name Ronald Mark Nay
11/21/2018
Sixth Case
Legal Name
Ronald Markt Nay
Filed Name
Ronald Mark Nay
Is the financing statement effective?
November 21, 2018

26. Indiana UCC Searches Here http://www.in.gov/sos/business/2472.htm
November 21, 2018

27. Indiana Admin Rules Rule 501.1
“A search request must set forth the full correct name of a debtor or the name variant desired to be searched and must specify whether the debtor is an individual or an organization. The full name of an individual shall consist of a first name or initial, a middle name or initial, and a last name.”
November 21, 2018

28. Indiana Admin Rules Rule 501.1
“A search request may be submitted with no middle name or initial. If only a single name is presented (e.g. ‘Cher’) it will be treated as a last name and will return only names having the same last name which have no first name and no middle initial. A search request will be processed using the name in the exact form it is submitted.”
November 21, 2018

29. What Is the Solution to This?
If you can afford it
One person files FS
After filed, second person runs search
Did you find the financing statement?
November 21, 2018