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355.9-508 Effectiveness of financing statement if new debtor becomes bound by
security agreement.
(1)
(2)
(3)
Except as otherwise provided in this section, a filed financing statement naming an
original debtor is effective to perfect a security interest in collateral in which a new
debtor has or acquires rights to the extent that the financing statement would have
been effective had the original debtor acquired rights in the collateral.
If the difference between the name of the original debtor and that of the new debtor
causes a filed financing statement that is effective under subsection (1) of this
section to be seriously misleading under KRS 355.9-506:
(a) The financing statement is effective to perfect a security interest in collateral
acquired by the new debtor before, and within four (4) months after, the new
debtor becomes bound under KRS 355.9-203(4); and
(b) The financing statement is not effective to perfect a security interest in
collateral acquired by the new debtor more than four (4) months after the new
debtor becomes bound under KRS 355.9-203(4) unless an initial financing
statement providing the name of the new debtor is filed before the expiration
of that time.
This section does not apply to collateral as to which a filed financing statement
remains effective against the new debtor under KRS 355.9-507(1).
Effective: July 1, 2001
History: Created 2000 Ky. Acts ch. 408, sec. 99, effective July 1, 2001.
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