New Mexico Statutes 55-9-320. Buyer of goods
(a) Except as otherwise provided in Subsection (e) of this section or in the Farm Products Secured Interest Act N.M. Stat. Ann. § 56-13-1 to 56-13-14, a buyer in ordinary course of business, other than a person buying farm products from a person engaged in farming operations, takes free of a security interest created by the buyer’s seller, even if the security interest is perfected and the buyer knows of its existence.
Terms Used In New Mexico Statutes 55-9-320
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
(b) Except as otherwise provided in Subsection (e) of this section, a buyer of goods from a person who used or bought the goods for use primarily for personal, family or
household purposes takes free 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 household purposes; and
(4) before the filing of a financing statement covering the goods.
(c) To the extent that it affects the priority of a security interest over a buyer of goods under Subsection (b) of this section, the period of effectiveness of a filing made in the jurisdiction in which the seller is located is governed by Subsections (a) and (b) of Section 55-9-316 N.M. Stat. Ann..
(d) A buyer in ordinary course of business buying oil, gas or other minerals at the wellhead or minehead or after extraction takes free of an interest arising out of an encumbrance.
(e) Subsections (a) and (b) of this section do not affect a security interest in goods in the possession of the secured party under Section 55-9-313 N.M. Stat. Ann..