Delaware Code
Part 6. Default
§ 9-617. Rights of transferee of collateral.

(a) Effects of disposition. — A secured party's disposition of collateral after default:

(1) transfers to a transferee for value all of the debtor's rights in the collateral;
(2) discharges the security interest under which the disposition is made; and
(3) discharges any subordinate security interest or other subordinate lien.
(b) Rights of good-faith transferee. — A transferee that acts in good faith takes free of the rights and interests described in subsection (a), even if the secured party fails to comply with this Article or the requirements of any judicial proceeding.
(c) Rights of other transferee. — If a transferee does not take free of the rights and interests described in subsection (a), the transferee takes the collateral subject to:

(1) the debtor's rights in the collateral;
(2) the security interest or agricultural lien under which the disposition is made; and
(3) any other security interest or other lien.

Structure Delaware Code

Delaware Code

Title 6 - Commerce and Trade

Article 9. Secured Transactions

Part 6. Default

§ 9-601. Rights after default; judicial enforcement; consignor or buyer of accounts, chattel paper, payment intangibles, or promissory notes.

§ 9-602. Waiver and variance of rights and duties.

§ 9-603. Agreement on standards concerning rights and duties.

§ 9-604. Procedure if security agreement covers real property or fixtures.

§ 9-605. Unknown debtor or secondary obligor.

§ 9-606. Time of default for agricultural lien.

§ 9-607. Collection and enforcement by secured party.

§ 9-608. Application of proceeds of collection or enforcement; liability for deficiency and right to surplus.

§ 9-609. Secured party's right to take possession after default.

§ 9-610. Disposition of collateral after default.

§ 9-611. Notification before disposition of collateral.

§ 9-612. Timeliness of notification before disposition of collateral.

§ 9-613. Contents and form of notification before disposition of collateral: general.

§ 9-614. Contents and form of notification before disposition of collateral: consumer-goods transaction.

§ 9-615. Application of proceeds of disposition; liability for deficiency and right to surplus.

§ 9-616. Explanation of calculation of surplus or deficiency.

§ 9-617. Rights of transferee of collateral.

§ 9-618. Rights and duties of certain secondary obligors.

§ 9-619. Transfer of record or legal title.

§ 9-620. Acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral.

§ 9-621. Notification of proposal to accept collateral.

§ 9-622. Effect of acceptance of collateral.

§ 9-623. Right to redeem collateral.

§ 9-624. Waiver.

§ 9-625. Remedies for secured party's failure to comply with article.

§ 9-626. Action in which deficiency or surplus is in issue.

§ 9-627. Determination of whether conduct was commercially reasonable.

§ 9-628. Nonliability and limitation on liability of secured party; liability of secondary obligor.