Wis. Stat. § 409.503

Current through Acts 2023-2024, ch. 272

Section 409.503 - Name of debtor and secured party

(1) SUFFICIENCY OF DEBTOR'S NAME. A financing statement sufficiently provides the name of the debtor:

(a) Except as otherwise provided in par. (c), if the debtor is a registered organization or the collateral is held in a trust that is a registered organization, only if the financing statement provides the name that is stated to be the registered organization's name on the public organic record most recently filed with or issued or enacted by the registered organization's jurisdiction of organization which purports to state, amend, or restate the registered organization's name;

(b) Subject to sub. (6), if the collateral is being administered by the personal representative of a decedent, only if the financing statement provides, as the name of the debtor, the name of the decedent and, in a separate part of the financing statement, indicates that the collateral is being administered by a personal representative;

(c) If the collateral is held in a trust that is not a registered organization, only if the financing statement:

1m. Provides, as the name of the debtor:

a. If the organic record of the trust specifies a name for the trust, the name specified; or

b. If the organic record of the trust does not specify a name for the trust, the name of the settlor or testator; and

2m. In a separate part of the financing statement:

a. If the name is provided in accordance with subd. 1m. a., indicates that the collateral is held in a trust; or

b. If the name is provided in accordance with subd. 1m. b., provides additional information sufficient to distinguish the trust from other trusts having one or more of the same settlors or the same testator and indicates that the collateral is held in a trust, unless the additional information so indicates;

(dm) Subject to sub. (7), if the debtor is an individual to whom this state has issued an operator's license under ch. 343 or identification card under s. 343.50 that has not expired, only if the financing statement provides the name of the individual which is indicated on the operator's license or identification card;

(e) If the debtor is an individual to whom par. (dm) does not apply, only if the financing statement provides the individual name of the debtor or the surname and first personal name of the debtor; and

(f) In other cases:

1. If the debtor has a name, only if the financing statement provides the organizational name of the debtor; and

2. If the debtor does not have a name, only if the financing statement provides the names of the partners, members, associates, or other persons comprising the debtor, in a manner that each name provided would be sufficient if the person named were the debtor.

(2) ADDITIONAL DEBTOR-RELATED INFORMATION. A financing statement that provides the name of the debtor in accordance with sub. (1) is not rendered ineffective by the absence of:

(a) A trade name or other name of the debtor; or

(b) Unless required under sub. (1) (f) 2., names of partners, members, associates, or other persons comprising the debtor.

(3) DEBTOR'S TRADE NAME INSUFFICIENT. A financing statement that provides only the debtor's trade name does not sufficiently provide the name of the debtor.

(4) REPRESENTATIVE CAPACITY. Failure to indicate the representative capacity of a secured party or representative of a secured party does not affect the sufficiency of a financing statement.

(5) MULTIPLE DEBTORS AND SECURED PARTIES. A financing statement may provide the name of more than one debtor and the name of more than one secured party.

(6) NAME OF DECEDENT. The name of the decedent indicated on the order appointing the personal representative of the decedent issued by the court having jurisdiction over the collateral is sufficient as the "name of the decedent" under sub. (1) (b).

(7) MULTIPLE LICENSES OR IDENTIFICATION CARDS. If this state has issued to an individual more than one operator's license under ch. 343 or identification card under s. 343.50 of a kind described in sub. (1) (dm), the one that was issued most recently is the one to which sub. (1) (dm) refers.

(8) DEFINITION. In this section, the "name of the settlor or testator" means:

(a) If the settlor is a registered organization, the name that is stated to be the settlor's name on the public organic record most recently filed with or issued or enacted by the settlor's jurisdiction of organization which purports to state, amend, or restate the settlor's name;

(b) In other cases, the name of the settlor or testator indicated in the trust's organic record.

Wis. Stat. § 409.503

2001 a. 10; 2011 a. 206.

Par. (a) is amended eff. 7-1-13 by 2011 Wis. Act 206 to read:

(a) Except as otherwise provided in par. (c), if the debtor is a registered organization or the collateral is held in a trust that is a registered organization, only if the financing statement provides the name that is stated to be the registered organization's name on the public organic record most recently filed with or issued or enacted by the registered organization's jurisdiction of organization which purports to state, amend, or restate the registered organization's name;

Par. (b) is amended eff. 7-1-13 by 2011 Wis. Act 206 to read:

(b) Subject to sub. (6), if the collateral is being administered by the personal representative of a decedent, only if the financing statement provides, as the name of the debtor, the name of the decedent and, in a separate part of the financing statement, indicates that the collateral is being administered by a personal representative;

Par. (c) is affected eff. 7-1-13 by 2011 Wis. Act 206 to read:

1m. Provides, as the name of the debtor:

a. If the organic record of the trust specifies a name for the trust, the name specified; or

b. If the organic record of the trust does not specify a name for the trust, the name of the settlor or testator; and

2m. In a separate part of the financing statement:

a. If the name is provided in accordance with subd. 1m. a., indicates that the collateral is held in a trust; or

Par. (d) is renumbered par. (f) and amended eff. 7-1-13 by 2011 Wis. Act 206.

Par. (dm) is created eff. 7-1-13 by 2011 Wis. Act 206.

Par. (e) is created eff. 7-1-13 by 2011 Wis. Act 206.

Par. (f) is shown as renumbered from par. (d) and amended eff. 7-1-13 by 2011 Wis. Act 206.

Par. (b) is amended eff. 7-1-13 by 2011 Wis. Act 206 to read:

(b) Unless required under sub. (1) (f) 2., names of partners, members, associates, or other persons comprising the debtor.

Sub. (6) is created eff. 7-1-13 by 2011 Wis. Act 206.

Sub. (7) is created eff. 7-1-13 by 2011 Wis. Act 206.

Sub. (8) is created eff. 7-1-13 by 2011 Wis. Act 206.

The above annotated materials cite to the pre-2001 Wis. Act 10 version of ch. 409.

A creditor's financing statement became "seriously misleading" after the debtors' name change and so was insufficient to perfect a security interest in property acquired more than 4 months after the name change. First Agri Services, Inc. v. Kahl, 129 Wis. 2d 464, 385 N.W.2d 191 (Ct. App. 1986).