§ 6A-9-320 Buyer of goods. – (a) Buyer in ordinary course of business. Except as otherwise providedin subsection (e), a buyer in ordinary course of business, other than a personbuying farm products from a person engaged in farming operations, takes free ofa security interest created by the buyer's seller, even if the securityinterest is perfected and the buyer knows of its existence.
(b) Buyer of consumer goods. Except as otherwiseprovided in subsection (e), a buyer of goods from a person who used or boughtthe goods for use primarily for personal, family, or household purposes takesfree of a security interest, even if perfected, if the buyer buys:
(1) Without knowledge of the security interest;
(2) For value;
(3) Primarily for the buyer's personal, family, or householdpurposes; and
(4) Before the filing of a financing statement covering thegoods.
(c) Effectiveness of filing for subsection (b). To theextent that it affects the priority of a security interest over a buyer ofgoods under subsection (b), the period of effectiveness of a filing made in thejurisdiction in which the seller is located is governed by § 6A-9-316(a)and (b).
(d) Buyer in ordinary course of business at wellhead orminehead. A buyer in ordinary course of business buying oil, gas, or otherminerals at the wellhead or minehead or after extraction takes free of aninterest arising out of an encumbrance.
(e) Possessory security interest not affected.Subsections (a) and (b) do not affect a security interest in goods in thepossession of the secured party under § 6A-9-313.
§ 6A-9-320 Buyer of goods. – (a) Buyer in ordinary course of business. Except as otherwise providedin subsection (e), a buyer in ordinary course of business, other than a personbuying farm products from a person engaged in farming operations, takes free ofa security interest created by the buyer's seller, even if the securityinterest is perfected and the buyer knows of its existence.
(b) Buyer of consumer goods. Except as otherwiseprovided in subsection (e), a buyer of goods from a person who used or boughtthe goods for use primarily for personal, family, or household purposes takesfree of a security interest, even if perfected, if the buyer buys:
(1) Without knowledge of the security interest;
(2) For value;
(3) Primarily for the buyer's personal, family, or householdpurposes; and
(4) Before the filing of a financing statement covering thegoods.
(c) Effectiveness of filing for subsection (b). To theextent that it affects the priority of a security interest over a buyer ofgoods under subsection (b), the period of effectiveness of a filing made in thejurisdiction in which the seller is located is governed by § 6A-9-316(a)and (b).
(d) Buyer in ordinary course of business at wellhead orminehead. A buyer in ordinary course of business buying oil, gas, or otherminerals at the wellhead or minehead or after extraction takes free of aninterest arising out of an encumbrance.
(e) Possessory security interest not affected.Subsections (a) and (b) do not affect a security interest in goods in thepossession of the secured party under § 6A-9-313.
§ 6A-9-320 Buyer of goods. – (a) Buyer in ordinary course of business. Except as otherwise providedin subsection (e), a buyer in ordinary course of business, other than a personbuying farm products from a person engaged in farming operations, takes free ofa security interest created by the buyer's seller, even if the securityinterest is perfected and the buyer knows of its existence.
(b) Buyer of consumer goods. Except as otherwiseprovided in subsection (e), a buyer of goods from a person who used or boughtthe goods for use primarily for personal, family, or household purposes takesfree of a security interest, even if perfected, if the buyer buys:
(1) Without knowledge of the security interest;
(2) For value;
(3) Primarily for the buyer's personal, family, or householdpurposes; and
(4) Before the filing of a financing statement covering thegoods.
(c) Effectiveness of filing for subsection (b). To theextent that it affects the priority of a security interest over a buyer ofgoods under subsection (b), the period of effectiveness of a filing made in thejurisdiction in which the seller is located is governed by § 6A-9-316(a)and (b).
(d) Buyer in ordinary course of business at wellhead orminehead. A buyer in ordinary course of business buying oil, gas, or otherminerals at the wellhead or minehead or after extraction takes free of aninterest arising out of an encumbrance.
(e) Possessory security interest not affected.Subsections (a) and (b) do not affect a security interest in goods in thepossession of the secured party under § 6A-9-313.
