Okla. Stat. tit. 12A § 1-9-332

Current through Laws 2024, c. 453.

Section 1-9-332 - [Effective 11/1/2024] Transfer of money; transfer of funds from deposit account

(a) A transferee of money takes the money free of a security interest if the transferee receives possession of the money without acting in collusion with the debtor in violating the rights of the secured party.

(b) A transferee of funds from a deposit account takes the funds free of a security interest in the deposit account if the transferee receives the funds without acting in collusion with the debtor in violating the rights of the secured party.

Okla. Stat. tit. 12A, § 1-9-332

Amended by Laws 2024 , c. 13, s. 70, eff. 11/1/2024.

Added by Laws 2000 , SB 1519, c. 371, § 59, eff. 7/1/2001.

Oklahoma Code Comment

Section 9-332 provides priority for transferees of money or funds from a deposit account, absent collusion.

Section 9-332(a) states that transferees of money take free of a competing security interest unless the transferee acted in "collusion" with the debtor. This recognizes the inherent negotiability of money. Section 9-332(b) similarly states that a transferee of funds from a deposit account takes free of a security interest in the funds unless the transferee acted in "collusion" with the debtor. Article 8 similarly uses the "collusion" concept and refers to the Restatement (Second) of Torts section 876 for the meaning of "collusion."

This section is set out more than once due to postponed, multiple, or conflicting amendments.