LegalFix
Sign In

NRS 104.9617 - Effect of disposition of collateral by secured party after default; rights of transferee regarding collateral.

NV Rev Stat § 104.9617 (2019) (N/A)
Copy with citation
Copy as parenthetical citation

1. A secured party’s disposition of collateral after default:

(a) Transfers to a transferee for value all of the debtor’s rights in the collateral;

(b) Discharges the security interest under which the disposition is made; and

(c) Discharges any subordinate security interest or other subordinate lien.

2. A transferee that acts in good faith takes free of the rights and interests described in subsection 1, even if the secured party fails to comply with this article or the requirements of any judicial proceeding.

3. If a transferee does not take free of the rights and interests described in subsection 1, the transferee takes the collateral subject to:

(a) The debtor’s rights in the collateral;

(b) The security interest or agricultural lien under which the disposition is made; and

(c) Any other security interest or other lien.

(Added to NRS by 1999, 355)

Previous Section
NRS 104.9616 - Explanation of calculation of surplus or deficiency.
Next Section
NRS 104.9618 - Rights and duties of certain secondary obligors.