Colorado Code
Part 1 - General Provisions
§ 4-9-108. Sufficiency of Description

(1) The collateral by those terms or as investment property; or
(2) The underlying financial asset or commodity contract.

(1) A commercial tort claim;
(2) In a consumer transaction, consumer goods, a security entitlement, a securities account, or a commodity account; or
(3) A deposit account.

Source: L. 2001: Entire article R&RE, p. 1330, § 1, effective July 1.
Editor's note: (1) The provisions of this section are similar to former §§ 4-9-110 and 4- 9-115 (3) as they existed prior to 2001.
(2) Colorado legislative change: Colorado added the phrase "including a category determined by use of a numerical or other code included in forms and formats adopted from time to time by the secretary of state;" in subsection (b)(2), added a new paragraph (3) to subsection (e), and added a new subsection (f).

The purpose of requiring a description of collateral in a security agreement under Section 9-203 is evidentiary. The test of sufficiency of a description under this section, as under former Section 9-110, is that the description do the job assigned to it: make possible the identification of the collateral described. This section rejects any requirement that a description is insufficient unless it is exact and detailed (the so-called "serial number" test).
Under Section 9-204, an after-acquired collateral clause in a security agreement will not reach future commercial tort claims. It follows that when an effective security agreement covering a commercial tort claim is entered into the claim already will exist. Subsection (e) does not require a description to be specific. For example, a description such as "all tort claims arising out of the explosion of debtor's factory" would suffice, even if the exact amount of the claim, the theory on which it may be based, and the identity of the tortfeasor(s) are not described. (Indeed, those facts may not be known at the time.)