Priority in security interests in investment property.
400.9-328. The following rules govern priority among conflictingsecurity interests in the same investment property:
(1) A security interest held by a secured party having control ofinvestment property under section 400.9-106 has priority over a securityinterest held by a secured party that does not have control of theinvestment property.
(2) Except as otherwise provided in paragraphs (3) and (4),conflicting security interests held by secured parties each of which hascontrol under section 400.9-106 rank according to priority in time of:
(A) If the collateral is a security, obtaining control;
(B) If the collateral is a security entitlement carried in asecurities account and:
(i) If the secured party obtained control under section400.8-106(d)(1), the secured party's becoming the person for which thesecurities account is maintained;
(ii) If the secured party obtained control under section400.8-106(d)(2), the securities intermediary's agreement to comply with thesecured party's entitlement orders with respect to security entitlementscarried or to be carried in the securities account; or
(iii) If the secured party obtained control through another personunder section 400.8-106(d)(3), the time on which priority would be basedunder this paragraph if the other person were the secured party; or
(C) If the collateral is a commodity contract carried with acommodity intermediary, the satisfaction of the requirement for controlspecified in section 400.9-106(b)(2) with respect to commodity contractscarried or to be carried with the commodity intermediary.
(3) A security interest held by a securities intermediary in asecurity entitlement or a securities account maintained with the securitiesintermediary has priority over a conflicting security interest held byanother secured party.
(4) A security interest held by a commodity intermediary in acommodity contract or a commodity account maintained with the commodityintermediary has priority over a conflicting security interest held byanother secured party.
(5) A security interest in a certificated security in registered formwhich is perfected by taking delivery under section 400.9-313(a) and not bycontrol under section 400.9-314 has priority over a conflicting securityinterest perfected by a method other than control.
(6) Conflicting security interests created by a broker, securitiesintermediary, or commodity intermediary which are perfected without controlunder section 400.9-106 rank equally.
(7) In all other cases, priority among conflicting security interestsin investment property is governed by sections 400.9-322 and 400.9-323.
Priority in security interests in investment property.
400.9-328. The following rules govern priority among conflictingsecurity interests in the same investment property:
(1) A security interest held by a secured party having control ofinvestment property under section 400.9-106 has priority over a securityinterest held by a secured party that does not have control of theinvestment property.
(2) Except as otherwise provided in paragraphs (3) and (4),conflicting security interests held by secured parties each of which hascontrol under section 400.9-106 rank according to priority in time of:
(A) If the collateral is a security, obtaining control;
(B) If the collateral is a security entitlement carried in asecurities account and:
(i) If the secured party obtained control under section400.8-106(d)(1), the secured party's becoming the person for which thesecurities account is maintained;
(ii) If the secured party obtained control under section400.8-106(d)(2), the securities intermediary's agreement to comply with thesecured party's entitlement orders with respect to security entitlementscarried or to be carried in the securities account; or
(iii) If the secured party obtained control through another personunder section 400.8-106(d)(3), the time on which priority would be basedunder this paragraph if the other person were the secured party; or
(C) If the collateral is a commodity contract carried with acommodity intermediary, the satisfaction of the requirement for controlspecified in section 400.9-106(b)(2) with respect to commodity contractscarried or to be carried with the commodity intermediary.
(3) A security interest held by a securities intermediary in asecurity entitlement or a securities account maintained with the securitiesintermediary has priority over a conflicting security interest held byanother secured party.
(4) A security interest held by a commodity intermediary in acommodity contract or a commodity account maintained with the commodityintermediary has priority over a conflicting security interest held byanother secured party.
(5) A security interest in a certificated security in registered formwhich is perfected by taking delivery under section 400.9-313(a) and not bycontrol under section 400.9-314 has priority over a conflicting securityinterest perfected by a method other than control.
(6) Conflicting security interests created by a broker, securitiesintermediary, or commodity intermediary which are perfected without controlunder section 400.9-106 rank equally.
(7) In all other cases, priority among conflicting security interestsin investment property is governed by sections 400.9-322 and 400.9-323.
Priority in security interests in investment property.
400.9-328. The following rules govern priority among conflictingsecurity interests in the same investment property:
(1) A security interest held by a secured party having control ofinvestment property under section 400.9-106 has priority over a securityinterest held by a secured party that does not have control of theinvestment property.
(2) Except as otherwise provided in paragraphs (3) and (4),conflicting security interests held by secured parties each of which hascontrol under section 400.9-106 rank according to priority in time of:
(A) If the collateral is a security, obtaining control;
(B) If the collateral is a security entitlement carried in asecurities account and:
(i) If the secured party obtained control under section400.8-106(d)(1), the secured party's becoming the person for which thesecurities account is maintained;
(ii) If the secured party obtained control under section400.8-106(d)(2), the securities intermediary's agreement to comply with thesecured party's entitlement orders with respect to security entitlementscarried or to be carried in the securities account; or
(iii) If the secured party obtained control through another personunder section 400.8-106(d)(3), the time on which priority would be basedunder this paragraph if the other person were the secured party; or
(C) If the collateral is a commodity contract carried with acommodity intermediary, the satisfaction of the requirement for controlspecified in section 400.9-106(b)(2) with respect to commodity contractscarried or to be carried with the commodity intermediary.
(3) A security interest held by a securities intermediary in asecurity entitlement or a securities account maintained with the securitiesintermediary has priority over a conflicting security interest held byanother secured party.
(4) A security interest held by a commodity intermediary in acommodity contract or a commodity account maintained with the commodityintermediary has priority over a conflicting security interest held byanother secured party.
(5) A security interest in a certificated security in registered formwhich is perfected by taking delivery under section 400.9-313(a) and not bycontrol under section 400.9-314 has priority over a conflicting securityinterest perfected by a method other than control.
(6) Conflicting security interests created by a broker, securitiesintermediary, or commodity intermediary which are perfected without controlunder section 400.9-106 rank equally.
(7) In all other cases, priority among conflicting security interestsin investment property is governed by sections 400.9-322 and 400.9-323.
