Indiana Code 26-1-2-402. Rights of seller’s creditors against sold goods
(2) A creditor of the seller may treat a sale or an identification of goods to a contract for sale as void if as against him a retention of possession by the seller is fraudulent under any rule of law of the state where the goods are situated, except that retention of possession in good faith and current course of trade by a merchant-seller for a commercially reasonable time after a sale or identification is not fraudulent.
Terms Used In Indiana Code 26-1-2-402
- Contract: A legal written agreement that becomes binding when signed.
(a) under the provisions of IC 26-1-9.1 on secured transactions; or
(b) where identification to the contract or delivery is made not in current course of trade but in satisfaction of or as security for a pre-existing claim for money, security, or the like and is made under circumstances which under any rule of law of the state where the goods are situated would apart from IC 26-1-2 constitute the transaction a fraudulent transfer or voidable preference.
Formerly: Acts 1963, c.317, s.2-402. As amended by P.L.152-1986, SEC.142; P.L.57-2000, SEC.19.