(1) |
A secured party has control of electronic chattel paper if a system employed by evidencing the transfer of interests in the chattel paper reliably establishes the secured party as the person to whom the chattel paper was assigned. |
Terms Used In Utah Code 70A-9a-105
- Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
- Person: means :Utah Code 68-3-12.5
(2) |
A system satisfies Subsection (1) if the record or records comprising the chattel paper are created, stored, and assigned in such a manner that:
(a) |
a single authoritative copy of the record or records exists which is unique, identifiable and, except as otherwise provided in Subsections (2)(d), (e), and (f), unalterable; |
(b) |
the authoritative copy identifies the secured party as the assignee of the record or records; |
(c) |
the authoritative copy is communicated to and maintained by the secured party or its designated custodian; |
(d) |
copies or amendments that add or change an identified assignee of the authoritative copy can be made only with the consent of the secured party; |
(e) |
each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and |
(f) |
any amendment of the authoritative copy is readily identifiable as authorized or unauthorized. |
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Amended by Chapter 225, 2013 General Session