Section 9–623. Right to Redeem Collateral.

Terms Used In N.Y. Uniform Commercial Code 9-623

  • Contract: A legal written agreement that becomes binding when signed.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.

(a) Persons that may redeem. A debtor, any secondary obligor, or any other secured party or lienholder may redeem collateral.

(b) Requirements for redemption. To redeem collateral, a person shall tender:

(1) fulfillment of all obligations secured by the collateral; and

(2) the reasonable expenses and attorney's fees described in

Section 9–615(a)(1).

(c) When redemption may occur. A redemption may occur at any time before a secured party:

(1) has collected collateral under Section 9–607;

(2) has disposed of collateral or entered into a contract for its

disposition under Section 9–610; or

(3) has accepted collateral in full or partial satisfaction of

the obligation it secures under Section 9–622.