§ 25‑9‑313. Whenpossession by or delivery to secured party perfects security interest withoutfiling.
(a) Perfection bypossession or delivery. Except as otherwise provided in subsection (b) ofthis section, a secured party may perfect a security interest in tangiblenegotiable documents, goods, instruments, money, or tangible chattel paper bytaking possession of the collateral. A secured party may perfect a securityinterest in certificated securities by taking delivery of the certificatedsecurities under G.S. 25‑8‑301.
(b) Goods covered bycertificate of title. With respect to goods covered by a certificate of titleissued by this State, a secured party may perfect a security interest in thegoods by taking possession of the goods only in the circumstances described inG.S. 25‑9‑316(d).
(c) Collateral inpossession of person other than debtor. With respect to collateral other thancertificated securities and goods covered by a document, a secured party takespossession of collateral in the possession of a person other than the debtor,the secured party, or a lessee of the collateral from the debtor in theordinary course of the debtor's business, when:
(1) The person inpossession authenticates a record acknowledging that it holds possession of thecollateral for the secured party's benefit; or
(2) The person takespossession of the collateral after having authenticated a record acknowledgingthat it will hold possession of collateral for the secured party's benefit.
(d) Time of perfectionby possession; continuation of perfection. If perfection of a securityinterest depends upon possession of the collateral by a secured party,perfection occurs no earlier than the time the secured party takes possessionand continues only while the secured party retains possession.
(e) Time of perfectionby delivery; continuation of perfection. A security interest in acertificated security in registered form is perfected by delivery when deliveryof the certificated security occurs under G.S. 25‑8‑301 and remainsperfected by delivery until the debtor obtains possession of the securitycertificate.
(f) Acknowledgment notrequired. A person in possession of collateral is not required to acknowledgethat it holds possession for a secured party's benefit.
(g) Effectiveness ofacknowledgment; no duties or confirmation. If a person acknowledges that itholds possession for the secured party's benefit:
(1) The acknowledgmentis effective under subsection (c) of this section or G.S. 25‑8‑301(a),even if the acknowledgment violates the rights of a debtor; and
(2) Unless the personotherwise agrees or law other than this Article otherwise provides, the persondoes not owe any duty to the secured party and is not required to confirm theacknowledgment to another person.
(h) Secured party'sdelivery to person other than debtor. A secured party having possession ofcollateral does not relinquish possession by delivering the collateral to aperson other than the debtor or a lessee of the collateral from the debtor inthe ordinary course of the debtor's business if the person was instructedbefore the delivery or is instructed contemporaneously with the delivery:
(1) To hold possessionof the collateral for the secured party's benefit; or
(2) To redeliver thecollateral to the secured party.
(i) Effect of deliveryunder subsection (h); no duties or confirmation. A secured party does notrelinquish possession, even if a delivery under subsection (h) of this sectionviolates the rights of a debtor. A person to which collateral is deliveredunder subsection (h) of this section does not owe any duty to the secured partyand is not required to confirm the delivery to another person unless the personotherwise agrees or law other than this Article otherwise provides. (1997‑181, s. 5; 2000‑169,s. 1; 2006‑112, s. 51.)
§ 25‑9‑313. Whenpossession by or delivery to secured party perfects security interest withoutfiling.
(a) Perfection bypossession or delivery. Except as otherwise provided in subsection (b) ofthis section, a secured party may perfect a security interest in tangiblenegotiable documents, goods, instruments, money, or tangible chattel paper bytaking possession of the collateral. A secured party may perfect a securityinterest in certificated securities by taking delivery of the certificatedsecurities under G.S. 25‑8‑301.
(b) Goods covered bycertificate of title. With respect to goods covered by a certificate of titleissued by this State, a secured party may perfect a security interest in thegoods by taking possession of the goods only in the circumstances described inG.S. 25‑9‑316(d).
(c) Collateral inpossession of person other than debtor. With respect to collateral other thancertificated securities and goods covered by a document, a secured party takespossession of collateral in the possession of a person other than the debtor,the secured party, or a lessee of the collateral from the debtor in theordinary course of the debtor's business, when:
(1) The person inpossession authenticates a record acknowledging that it holds possession of thecollateral for the secured party's benefit; or
(2) The person takespossession of the collateral after having authenticated a record acknowledgingthat it will hold possession of collateral for the secured party's benefit.
(d) Time of perfectionby possession; continuation of perfection. If perfection of a securityinterest depends upon possession of the collateral by a secured party,perfection occurs no earlier than the time the secured party takes possessionand continues only while the secured party retains possession.
(e) Time of perfectionby delivery; continuation of perfection. A security interest in acertificated security in registered form is perfected by delivery when deliveryof the certificated security occurs under G.S. 25‑8‑301 and remainsperfected by delivery until the debtor obtains possession of the securitycertificate.
(f) Acknowledgment notrequired. A person in possession of collateral is not required to acknowledgethat it holds possession for a secured party's benefit.
(g) Effectiveness ofacknowledgment; no duties or confirmation. If a person acknowledges that itholds possession for the secured party's benefit:
(1) The acknowledgmentis effective under subsection (c) of this section or G.S. 25‑8‑301(a),even if the acknowledgment violates the rights of a debtor; and
(2) Unless the personotherwise agrees or law other than this Article otherwise provides, the persondoes not owe any duty to the secured party and is not required to confirm theacknowledgment to another person.
(h) Secured party'sdelivery to person other than debtor. A secured party having possession ofcollateral does not relinquish possession by delivering the collateral to aperson other than the debtor or a lessee of the collateral from the debtor inthe ordinary course of the debtor's business if the person was instructedbefore the delivery or is instructed contemporaneously with the delivery:
(1) To hold possessionof the collateral for the secured party's benefit; or
(2) To redeliver thecollateral to the secured party.
(i) Effect of deliveryunder subsection (h); no duties or confirmation. A secured party does notrelinquish possession, even if a delivery under subsection (h) of this sectionviolates the rights of a debtor. A person to which collateral is deliveredunder subsection (h) of this section does not owe any duty to the secured partyand is not required to confirm the delivery to another person unless the personotherwise agrees or law other than this Article otherwise provides. (1997‑181, s. 5; 2000‑169,s. 1; 2006‑112, s. 51.)
§ 25‑9‑313. Whenpossession by or delivery to secured party perfects security interest withoutfiling.
(a) Perfection bypossession or delivery. Except as otherwise provided in subsection (b) ofthis section, a secured party may perfect a security interest in tangiblenegotiable documents, goods, instruments, money, or tangible chattel paper bytaking possession of the collateral. A secured party may perfect a securityinterest in certificated securities by taking delivery of the certificatedsecurities under G.S. 25‑8‑301.
(b) Goods covered bycertificate of title. With respect to goods covered by a certificate of titleissued by this State, a secured party may perfect a security interest in thegoods by taking possession of the goods only in the circumstances described inG.S. 25‑9‑316(d).
(c) Collateral inpossession of person other than debtor. With respect to collateral other thancertificated securities and goods covered by a document, a secured party takespossession of collateral in the possession of a person other than the debtor,the secured party, or a lessee of the collateral from the debtor in theordinary course of the debtor's business, when:
(1) The person inpossession authenticates a record acknowledging that it holds possession of thecollateral for the secured party's benefit; or
(2) The person takespossession of the collateral after having authenticated a record acknowledgingthat it will hold possession of collateral for the secured party's benefit.
(d) Time of perfectionby possession; continuation of perfection. If perfection of a securityinterest depends upon possession of the collateral by a secured party,perfection occurs no earlier than the time the secured party takes possessionand continues only while the secured party retains possession.
(e) Time of perfectionby delivery; continuation of perfection. A security interest in acertificated security in registered form is perfected by delivery when deliveryof the certificated security occurs under G.S. 25‑8‑301 and remainsperfected by delivery until the debtor obtains possession of the securitycertificate.
(f) Acknowledgment notrequired. A person in possession of collateral is not required to acknowledgethat it holds possession for a secured party's benefit.
(g) Effectiveness ofacknowledgment; no duties or confirmation. If a person acknowledges that itholds possession for the secured party's benefit:
(1) The acknowledgmentis effective under subsection (c) of this section or G.S. 25‑8‑301(a),even if the acknowledgment violates the rights of a debtor; and
(2) Unless the personotherwise agrees or law other than this Article otherwise provides, the persondoes not owe any duty to the secured party and is not required to confirm theacknowledgment to another person.
(h) Secured party'sdelivery to person other than debtor. A secured party having possession ofcollateral does not relinquish possession by delivering the collateral to aperson other than the debtor or a lessee of the collateral from the debtor inthe ordinary course of the debtor's business if the person was instructedbefore the delivery or is instructed contemporaneously with the delivery:
(1) To hold possessionof the collateral for the secured party's benefit; or
(2) To redeliver thecollateral to the secured party.
(i) Effect of deliveryunder subsection (h); no duties or confirmation. A secured party does notrelinquish possession, even if a delivery under subsection (h) of this sectionviolates the rights of a debtor. A person to which collateral is deliveredunder subsection (h) of this section does not owe any duty to the secured partyand is not required to confirm the delivery to another person unless the personotherwise agrees or law other than this Article otherwise provides. (1997‑181, s. 5; 2000‑169,s. 1; 2006‑112, s. 51.)
