Section 9-1323 - [Effective 7/1/2025] Future advances(1). Except as otherwise provided in subsection (3), for purposes of determining the priority of a perfected security interest under section 9-1322, subsection (1), paragraph (a), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that: (a). Is made while the security interest is perfected only:(i) Under section 9-1309 when it attaches; or(ii) Temporarily under section 9-1312, subsection (5), (6) or (7); and [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).](b). Is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under section 9-1309 or section 9-1312, subsection (5), (6) or (7). [RR 2021, c. 2, Pt. A, §18(COR).] [RR 2021, c. 2, Pt. A, §18(COR).]
(2). Except as otherwise provided in subsection (3), a security interest is subordinate to the rights of a person that becomes a lien creditor only to the extent that the security interest secures an advance made more than 45 days after the person becomes a lien creditor unless the advance is made:(a). Without knowledge of the lien; or [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).](b). Pursuant to a commitment entered into without knowledge of the lien. [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).] [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).]
(3). Subsections (1) and (2) do not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles or promissory notes or a consignor. [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).]
(4). Except as otherwise provided in subsection (5), a buyer of goods takes free of a security interest to the extent that it secures advances made after the earlier of: (a). The time the secured party acquires knowledge of the buyer's purchase; or(b). Forty-five days after the purchase.(5). Subsection (4) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer's purchase and before the expiration of the 45-day period. [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).]
(6). Except as otherwise provided in subsection (7), a lessee of goods takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of: (a). The time the secured party acquires knowledge of the lease; or(b). Forty-five days after the lease contract becomes enforceable.(7). Subsection (6) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the 45-day period. [1999, c. 699, Pt. A, §2(NEW); 1999, c. 699, Pt. A, §4(AFF).]
Amended by 2024, c. 669,§ A-121, eff. 7/1/2025.Amended by 2024, c. 669,§ A-120, eff. 7/1/2025.1999, c. 699, §A2 (NEW) . 1999, c. 699, §A4 (AFF) .This section is set out more than once due to postponed, multiple, or conflicting amendments.