9-304 - Law Governing Perfection and Priority of Security Interests in Deposit Accounts.

Section 9--304. Law Governing  Perfection  and  Priority  of  Security Interests in Deposit Accounts. (a) Law of bank's jurisdiction governs. The  local  law  of  a  bank's  jurisdiction governs perfection, the effect of  perfection  or  nonperfection, and the priority of a  security  interest  in  a  deposit  account maintained with that bank. (b) Bank's  jurisdiction.  The  following  rules  determine  a  bank's  jurisdiction for purposes of this part: (1) If an agreement between the bank and the debtor governing the deposit  account  expressly  provides that a particular jurisdiction  is the bank's jurisdiction for purposes of this part, this article, or this chapter, that jurisdiction is the bank's jurisdiction. (2) If paragraph (1) does not apply and an agreement between  the bank and its customer governing the deposit account expressly provides  that  the  agreement  is  governed  by the law of a particular jurisdiction,  that  jurisdiction  is  the  bank's jurisdiction. (3) If  neither  paragraph  (1)  nor paragraph (2) applies and an agreement between the bank and  its  customer  governing  the deposit  account  expressly provides that the deposit account is maintained at an office in a particular jurisdiction, that jurisdiction is the bank's jurisdiction. (4) If  none  of  the  preceding  paragraphs  apply,  the  bank's jurisdiction is the  jurisdiction  in  which  the  office identified in an account statement as the office serving  the customer's account is located. (5) If  none  of  the  preceding  paragraphs  apply,  the  bank's jurisdiction is the jurisdiction in which the chief executive office of the bank is located.