UCC COURSE QUESTIONS WITH
COMPLETE SOLUTIONS!!
The state because the US
that power to the federal
government.
, Local governments because they The federal government because it
manage community affairs. oversees all interstate commerce.
Don't know?
2 of 145
Definition
Yes, but this is a trick question. I am assuming that despite countries
which have adopted bitcoin as legal tender that it is best classified (I
think) as a general intangible for which perfection can be made by
filing. Wells Fargo's attachment and perfection in the proceeds of
the trade computer is automatic (which answers the call of the
question), with the important caveat that Wells Fargo may have to re-
perfect within 20 days depending on whether the bitcoin and
computer financing statement are filed in the same office.
Wells Fargo can keep its perfection by filing within 20 days. It's
perfection would have been automatically continued after 20 days
for cash proceeds, but a computer is not cash. And its perfection
would automatically continue in the computer if the financing
statements for both bitcoin and the computer were in the same
office, and we don't have enough facts to determine that. If they are
in the same office, and since financing statements are filed by
debtor's name, presumably my prospective creditors would know
enough to inquire about my possible collateral before advancing
credit. If not in the same office, Wells Fargo would have re- perfect.
Give this one a try later!
, Under the modern article 9, could Warren Buffett have borrowed against his
right to subscriber payments for Washington Posts not yet delivered when he
had a paper route in D.C. while his dad was in Congress?
If I buy a new 4Runner on credit from the Toyota dealership and give the
dealership a promissory note and grant it a security interest in my new car, what
would the dealership call the combination of the note and interest if the
dealership wanted to use them to secure a loan from Wells Fargo?
Assume I grant security interest in a bitcoin to Wells Fargo, which perfects
its interests by properly filing it as a general intangible. When I trade my
bitcoin for a new high-end gaming computer, does Wells Fargo have a
perfected security interest in the computer?
If a security interest is acquired for new value given after the signing of the
security agreement describing its collateral which value is used to purchase that
collateral, and it is perfected within 20 days of the debtor receiving possession
of the collateral, precisely how is that not an avoidable preference?
Don't know?
3 of 145
Term
Can a negotiable note be due on my 100th birthday?
Give this one a try later!
In two ways. First, non- consensual agricultural liens are covered by article 9, and
second, article 9 prioritizes claims to property, such as judicial and statutory
liens, which are not created by article 9.
, No, while the UCC grants the parties a great deal of flexibility (but not as much
as the CISG) it still keeps a number of fundamental unwaivable rules, such as
fairness, but there are many others.
Yes, if my birthday appears on the note. But if not, ascertaining my birthday
and thus 100 years hence would require the inspector of the note to go
outside the note to determine when it was due, probably a no-no.
Yes, because priority runs from the first to perfect or file, and it is possible to
perfect by possession before, or instead of, perfection by filing.
Don't know?
4 of 145
Term
Can my hurricane insurance claims be collateral for an article 9
loan?
Give this one a try later!
No
Only if your debtor has consensually granted you a security interest, whether or
not perfected.
Negotiable documents are usually labeled "negotiable," contain bearer or order
language, and are usually more ornate to thwart counterfeiting, befitting their
COMPLETE SOLUTIONS!!
The state because the US
that power to the federal
government.
, Local governments because they The federal government because it
manage community affairs. oversees all interstate commerce.
Don't know?
2 of 145
Definition
Yes, but this is a trick question. I am assuming that despite countries
which have adopted bitcoin as legal tender that it is best classified (I
think) as a general intangible for which perfection can be made by
filing. Wells Fargo's attachment and perfection in the proceeds of
the trade computer is automatic (which answers the call of the
question), with the important caveat that Wells Fargo may have to re-
perfect within 20 days depending on whether the bitcoin and
computer financing statement are filed in the same office.
Wells Fargo can keep its perfection by filing within 20 days. It's
perfection would have been automatically continued after 20 days
for cash proceeds, but a computer is not cash. And its perfection
would automatically continue in the computer if the financing
statements for both bitcoin and the computer were in the same
office, and we don't have enough facts to determine that. If they are
in the same office, and since financing statements are filed by
debtor's name, presumably my prospective creditors would know
enough to inquire about my possible collateral before advancing
credit. If not in the same office, Wells Fargo would have re- perfect.
Give this one a try later!
, Under the modern article 9, could Warren Buffett have borrowed against his
right to subscriber payments for Washington Posts not yet delivered when he
had a paper route in D.C. while his dad was in Congress?
If I buy a new 4Runner on credit from the Toyota dealership and give the
dealership a promissory note and grant it a security interest in my new car, what
would the dealership call the combination of the note and interest if the
dealership wanted to use them to secure a loan from Wells Fargo?
Assume I grant security interest in a bitcoin to Wells Fargo, which perfects
its interests by properly filing it as a general intangible. When I trade my
bitcoin for a new high-end gaming computer, does Wells Fargo have a
perfected security interest in the computer?
If a security interest is acquired for new value given after the signing of the
security agreement describing its collateral which value is used to purchase that
collateral, and it is perfected within 20 days of the debtor receiving possession
of the collateral, precisely how is that not an avoidable preference?
Don't know?
3 of 145
Term
Can a negotiable note be due on my 100th birthday?
Give this one a try later!
In two ways. First, non- consensual agricultural liens are covered by article 9, and
second, article 9 prioritizes claims to property, such as judicial and statutory
liens, which are not created by article 9.
, No, while the UCC grants the parties a great deal of flexibility (but not as much
as the CISG) it still keeps a number of fundamental unwaivable rules, such as
fairness, but there are many others.
Yes, if my birthday appears on the note. But if not, ascertaining my birthday
and thus 100 years hence would require the inspector of the note to go
outside the note to determine when it was due, probably a no-no.
Yes, because priority runs from the first to perfect or file, and it is possible to
perfect by possession before, or instead of, perfection by filing.
Don't know?
4 of 145
Term
Can my hurricane insurance claims be collateral for an article 9
loan?
Give this one a try later!
No
Only if your debtor has consensually granted you a security interest, whether or
not perfected.
Negotiable documents are usually labeled "negotiable," contain bearer or order
language, and are usually more ornate to thwart counterfeiting, befitting their
