State Codes and Statutes

Statutes > North-carolina > Chapter_25 > GS_25-9-610

§25‑9‑610.  Disposition of collateral after default.

(a)        Disposition afterdefault. – After default, a secured party may sell, lease, license, orotherwise dispose of any or all of the collateral in its present condition orfollowing any commercially reasonable preparation or processing.

(b)        Commerciallyreasonable disposition. – Every aspect of a disposition of collateral,including the method, manner, time, place, and other terms, must becommercially reasonable. If commercially reasonable, a secured party maydispose of collateral by public or private proceedings, by one or morecontracts, as a unit or in parcels, and at any time and place and on any terms.

(c)        Purchase by securedparty. – A secured party may purchase collateral:

(1)        At a public disposition;or

(2)        At a privatedisposition only if the collateral is of a kind that is customarily sold on arecognized market or the subject of widely distributed standard pricequotations.

(d)        Warranties ondisposition. – A contract for sale, lease, license, or other dispositionincludes the warranties relating to title, possession, quiet enjoyment, and thelike which by operation of law accompany a voluntary disposition of property ofthe kind subject to the contract.

(e)        Disclaimer ofwarranties. – A secured party may disclaim or modify warranties undersubsection (d) of this section:

(1)        In a manner thatwould be effective to disclaim or modify the warranties in a voluntarydisposition of property of the kind subject to the contract of disposition; or

(2)        By communicating tothe purchaser a record evidencing the contract for disposition and including anexpress disclaimer or modification of the warranties.

(f)         Record sufficientto disclaim warranties. – A record is sufficient to disclaim warranties undersubsection (e) of this section if it indicates "There is no warrantyrelating to title, possession, quiet enjoyment, or the like in thisdisposition" or uses words of similar import. (1965, c. 700, s. 1; 1975, c.862, s. 7; 2000‑169, s. 1.)

State Codes and Statutes

Statutes > North-carolina > Chapter_25 > GS_25-9-610

§25‑9‑610.  Disposition of collateral after default.

(a)        Disposition afterdefault. – After default, a secured party may sell, lease, license, orotherwise dispose of any or all of the collateral in its present condition orfollowing any commercially reasonable preparation or processing.

(b)        Commerciallyreasonable disposition. – Every aspect of a disposition of collateral,including the method, manner, time, place, and other terms, must becommercially reasonable. If commercially reasonable, a secured party maydispose of collateral by public or private proceedings, by one or morecontracts, as a unit or in parcels, and at any time and place and on any terms.

(c)        Purchase by securedparty. – A secured party may purchase collateral:

(1)        At a public disposition;or

(2)        At a privatedisposition only if the collateral is of a kind that is customarily sold on arecognized market or the subject of widely distributed standard pricequotations.

(d)        Warranties ondisposition. – A contract for sale, lease, license, or other dispositionincludes the warranties relating to title, possession, quiet enjoyment, and thelike which by operation of law accompany a voluntary disposition of property ofthe kind subject to the contract.

(e)        Disclaimer ofwarranties. – A secured party may disclaim or modify warranties undersubsection (d) of this section:

(1)        In a manner thatwould be effective to disclaim or modify the warranties in a voluntarydisposition of property of the kind subject to the contract of disposition; or

(2)        By communicating tothe purchaser a record evidencing the contract for disposition and including anexpress disclaimer or modification of the warranties.

(f)         Record sufficientto disclaim warranties. – A record is sufficient to disclaim warranties undersubsection (e) of this section if it indicates "There is no warrantyrelating to title, possession, quiet enjoyment, or the like in thisdisposition" or uses words of similar import. (1965, c. 700, s. 1; 1975, c.862, s. 7; 2000‑169, s. 1.)


State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_25 > GS_25-9-610

§25‑9‑610.  Disposition of collateral after default.

(a)        Disposition afterdefault. – After default, a secured party may sell, lease, license, orotherwise dispose of any or all of the collateral in its present condition orfollowing any commercially reasonable preparation or processing.

(b)        Commerciallyreasonable disposition. – Every aspect of a disposition of collateral,including the method, manner, time, place, and other terms, must becommercially reasonable. If commercially reasonable, a secured party maydispose of collateral by public or private proceedings, by one or morecontracts, as a unit or in parcels, and at any time and place and on any terms.

(c)        Purchase by securedparty. – A secured party may purchase collateral:

(1)        At a public disposition;or

(2)        At a privatedisposition only if the collateral is of a kind that is customarily sold on arecognized market or the subject of widely distributed standard pricequotations.

(d)        Warranties ondisposition. – A contract for sale, lease, license, or other dispositionincludes the warranties relating to title, possession, quiet enjoyment, and thelike which by operation of law accompany a voluntary disposition of property ofthe kind subject to the contract.

(e)        Disclaimer ofwarranties. – A secured party may disclaim or modify warranties undersubsection (d) of this section:

(1)        In a manner thatwould be effective to disclaim or modify the warranties in a voluntarydisposition of property of the kind subject to the contract of disposition; or

(2)        By communicating tothe purchaser a record evidencing the contract for disposition and including anexpress disclaimer or modification of the warranties.

(f)         Record sufficientto disclaim warranties. – A record is sufficient to disclaim warranties undersubsection (e) of this section if it indicates "There is no warrantyrelating to title, possession, quiet enjoyment, or the like in thisdisposition" or uses words of similar import. (1965, c. 700, s. 1; 1975, c.862, s. 7; 2000‑169, s. 1.)