Utah Code 70A-9a-618. Rights and duties of certain secondary obligors
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(1) A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:
Terms Used In Utah Code 70A-9a-618
- 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.
(1)(a) receives an assignment of a secured obligation from the secured party;
(1)(b) receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or
(1)(c) is subrogated to the rights of a secured party with respect to collateral.
(2) An assignment, transfer, or subrogation described in Subsection (1) :
(2)(a) is not a disposition of collateral under Section 70A-9a-610 ; and
(2)(b) relieves the secured party of further duties under this chapter.