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§ 9-105. Control of electronic chattel paper

MD Comm L Code § 9-105 (2019) (N/A)
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(a)    A secured party has control of electronic chattel paper if a system employed for evidencing the transfer of interests in the chattel paper reliably establishes the secured party as the person to which the chattel paper was assigned.

(b)    A system satisfies subsection (a) if the record or records comprising the chattel paper are created, stored, and assigned in such a manner that:

(1)    A single authoritative copy of the record or records exists which is unique, identifiable and, except as otherwise provided in paragraphs (4), (5), and (6) of this section, unalterable;

(2)    The authoritative copy identifies the secured party as the assignee of the record or records;

(3)    The authoritative copy is communicated to and maintained by the secured party or its designated custodian;

(4)    Copies or amendments that add or change an identified assignee of the authoritative copy can be made only with the consent of the secured party;

(5)    Each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and

(6)    Any amendment of the authoritative copy is readily identifiable as authorized or unauthorized.

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