2010 New York Code
UCC - Uniform Commercial Code
Article 9 - SECURED TRANSACTIONS
Part 3 - PERFECTION AND PRIORITY
Sub Part 3 - (9-317 - 9-339) PRIORITY
9-334 - Priority of Security Interests in Fixtures and Crops

Section 9--334. Priority of Security Interests in Fixtures and Crops.
    (a) Security  interest  in  fixtures  under  this  article. A security
  interest under this article may be created in goods that are fixtures or
  may continue in goods that become fixtures. A security interest does not
  exist under this article in  ordinary  building  materials  incorporated
  into an improvement on land.
    (b) Security  interest  in  fixtures  under  real  property  law. This
  article does not prevent creation of an encumbrance upon fixtures  under
  real property law.
    (c) General  rule:  subordination of security interest in fixtures. In
  cases not governed by subsections (d) through (h), a  security  interest
  in  fixtures is subordinate to a conflicting interest of an encumbrancer
  or owner of the related real property other than the debtor.
    (d) Fixtures purchase-money priority. Except as otherwise provided  in
  subsection  (h),  a perfected security interest in fixtures has priority
  over a conflicting interest of an encumbrancer  or  owner  of  the  real
  property  if the debtor has an interest of record in or is in possession
  of the real property and:
         (1) the security interest is a purchase-money security interest;
         (2) the interest of the encumbrancer or owner arises  before  the
             goods become fixtures; and
         (3) the security interest is perfected by a fixture filing before
             the goods become fixtures or within 20 days thereafter.
    (e) Priority  of  security interest in fixtures over interests in real
  property. A perfected security interest in fixtures has priority over  a
  conflicting  interest  of  an encumbrancer or owner of the real property
  if:
         (1) the debtor has an interest of record in the real property  or
             is  in  possession  of  the  real  property  and the security
             interest:
             (A) is perfected by a fixture filing before the  interest  of
                 the encumbrancer or owner is of record; and
             (B) has   priority   over   any  conflicting  interest  of  a
                 predecessor in title of the encumbrancer or owner;
         (2) before the goods become fixtures, the  security  interest  is
             perfected  by  any  method  permitted by this article and the
             fixtures are readily removable:
             (A) factory or office machines;
             (B) equipment that is not primarily used or leased for use in
                 the operation of the real property; or
             (C) replacements of domestic  appliances  that  are  consumer
                 goods;
         (3) the  conflicting  interest  is  a  lien  on the real property
             obtained by legal or equitable proceedings after the security
             interest was  perfected  by  any  method  permitted  by  this
             article; or
         (4) the security interest is:
             (A) created  in  a  manufactured  home in a manufactured-home
                 transaction; and
             (B) perfected pursuant to  a  statute  described  in  Section
                 9--311(a)(2).
    (f) Priority  based  on  consent,  disclaimer,  or  right to remove. A
  security interest in fixtures, whether or not  perfected,  has  priority
  over  a  conflicting  interest  of  an encumbrancer or owner of the real
  property if:
         (1) the encumbrancer or owner has, in  an  authenticated  record,
             consented  to the security interest or disclaimed an interest
             in the goods as fixtures; or

(2) the debtor has a right to remove the  goods  as  against  the
             encumbrancer or owner.
    (g) Continuation  of  paragraph  (f)(2)  priority. The priority of the
  security interest under paragraph (f)(2) continues for a reasonable time
  if the debtor's right to remove the goods as against the encumbrancer or
  owner terminates.
    (h) Priority of construction mortgage. A mortgage  is  a  construction
  mortgage  to  the  extent that it secures an obligation incurred for the
  construction of an improvement on land, including the  acquisition  cost
  of  the  land, if a recorded record of the mortgage so indicates. Except
  as otherwise provided in subsections (e) and (f), a security interest in
  fixtures is subordinate to a construction mortgage if a  record  of  the
  mortgage  is  recorded  before  the  goods become fixtures and the goods
  become fixtures before the completion of the  construction.  A  mortgage
  has  this  priority to the same extent as a construction mortgage to the
  extent that it is given to refinance a construction mortgage.
    (i) Priority of security  interest  in  crops.  A  perfected  security
  interest  in  crops  growing  on  real  property  has  priority  over  a
  conflicting interest of an encumbrancer or owner of the real property if
  the debtor has an interest of record in or is in possession of the  real
  property.
    (j) Subsection   (i)   prevails.  Subsection  (i)  prevails  over  any
  inconsistent provisions with this article or any other chapter of law.