Arizona Laws 47-9327. Priority of security interests in deposit account
The following rules govern priority among conflicting security interests in the same deposit account:
Terms Used In Arizona Laws 47-9327
- Bank: means an organization that is engaged in the business of banking. See Arizona Laws 47-9102
- Deposit account: means a demand, time, savings, passbook or similar account maintained with a bank. See Arizona Laws 47-9102
- Secured party: means :
(a) A person in whose favor a security interest is created or provided for under a security agreement, whether or not any obligation to be secured is outstanding;
(b) A person that holds an agricultural lien;
(c) A consignor;
(d) A person to which accounts, chattel paper, payment intangibles or promissory notes have been sold;
(e) A trustee, indenture trustee, agent, collateral agent or other representative in whose favor a security interest or agricultural lien is created or provided for; or
(f) A person that holds a security interest arising under section 47-2401, 47-2505, 47-2711, 47-2A508, 47-4210 or 47-5118. See Arizona Laws 47-9102
1. A security interest held by a secured party having control of the deposit account under section 47-9104 has priority over a conflicting security interest held by a secured party that does not have control.
2. Except as otherwise provided in paragraphs 3 and 4 of this section, security interests perfected by control under section 47-9314 rank according to priority in time of obtaining control.
3. Except as otherwise provided in paragraph 4 of this section, a security interest held by the bank with which the deposit account is maintained has priority over a conflicting security interest held by another secured party.
4. A security interest perfected by control under section 47-9104, subsection A, paragraph 3 has priority over a security interest held by the bank with which the deposit account is maintained.