State Codes and Statutes
Statutes > Virginia > Title-8-2 > Part-4 > 8-2-402§ 8.2-402. Rights of seller's creditors against sold goods.
(1) Except as provided in subsections (2) and (3), rights of unsecuredcreditors of the seller with respect to goods which have been identified to acontract for sale are subject to the buyer's rights to recover the goodsunder this title (§§ 8.2-502 and 8.2-716).
(2) A creditor of the seller may treat a sale or an identification of goodsto a contract for sale as void if as against him a retention of possession bythe seller is fraudulent under any rule of law of the state where the goodsare situated, except that retention of possession in good faith and currentcourse of trade by a merchant-seller for a commercially reasonable time aftera sale or identification is not fraudulent.
(3) Nothing in this title shall be deemed to impair the rights of creditorsof the seller
(a) under the provisions of the title on secured transactions (Title 8.9A); or
(b) where identification to the contract or delivery is made not in currentcourse of trade but in satisfaction of or as security for a preexisting claimfor money, security or the like and is made under circumstances which underany rule of law of the state where the goods are situated would apart fromthis title constitute the transaction a fraudulent transfer or voidablepreference.
(1964, c. 219.)
