Except in a consumer-goods transaction, the following rules apply:
(1) The contents of a notification of disposition are sufficient if the notification:
(A) Describes the debtor and the secured party;
(B) Describes the collateral that is the subject of the intended disposition;
(C) States the method of intended disposition;
(D) States that the debtor is entitled to an accounting of the unpaid indebtedness and states the charge, if any, for an accounting; and
(E) States the time and place of a public disposition or the time after which any other disposition is to be made.
(2) Whether the contents of a notification that lacks any of the information specified in paragraph (1) are nevertheless sufficient is a question of fact.
(3) The contents of a notification providing substantially the information specified in paragraph (1) are sufficient, even if the notification includes:
(A) Information not specified by that paragraph; or
(B) Minor errors that are not seriously misleading.
(4) A particular phrasing of the notification is not required.
(5) The following form of notification and the form appearing in § 28:9-614(3), when completed, each provides sufficient information:
“To: [Name of debtor, obligor, or other person to which the notification is sent]
“From: [Name, address, and telephone number of secured party]
“Name of Debtor(s): [Include only if debtor(s) are not an addressee]
“[For a public disposition:]
“We will sell [or lease or license, as applicable] the [describe collateral] [to the highest qualified bidder] in public as follows:
“Day and Date: ...............
“Time: ...............
“Place: ...............
“Time: ...............
“[For a private disposition:]
“We will sell [or lease or license, as applicable] the [describe collateral] privately sometime after [day and date].
“You are entitled to an accounting of the unpaid indebtedness secured by the property that we intend to sell [or lease or license, as applicable] [for a charge of $..........]. You may request an accounting by calling us at [telephone number]
(Oct. 26, 2000, D.C. Law 13-201, § 101, 47 DCR 7576.)
This section is referenced in § 28:9-602 and § 28:9-614.
1. Source. New.
2. Contents of Notification. To comply with the “reasonable authenticated notification” requirement of Section 9-611(b), the contents of a notification must be reasonable. Except in a consumer-goods transaction, the contents of a notification that includes the information set forth in paragraph (1) are sufficient as a matter of law, unless the parties agree otherwise. (The reference to “time” of disposition means here, as it did in former Section 9-504(3), not only the hour of the day but also the date.) Although a secured party may choose to include additional information concerning the transaction or the debtor’s rights and obligations, no additional information is required unless the parties agree otherwise. A notification that lacks some of the information set forth in paragraph (1) nevertheless may be sufficient if found to be reasonable by the trier of fact, under paragraph (2). A properly completed sample form of notification in paragraph (5) or in Section 9-614(a)(3) is an example of a notification that would contain the information set forth in paragraph (1). Under paragraph (4), however, no particular phrasing of the notification is required.
Structure District of Columbia Code
Title 28 - Commercial Instruments and Transactions. [Enacted title]
Subtitle I - Uniform Commercial Code
Article 9 - Secured Transactions
Subpart 1 - Default and Enforcement of Security Interest
§ 28:9–602. Waiver and variance of rights and duties
§ 28:9–603. Agreement on standards concerning rights and duties
§ 28:9–604. Procedure if security agreement covers real property or fixtures
§ 28:9–605. Unknown debtor or secondary obligor
§ 28:9–606. Time of default for agricultural lien
§ 28:9–607. Collection and enforcement by secured party
§ 28:9–609. Secured party’s right to take possession after default
§ 28:9–610. Disposition of collateral after default
§ 28:9–611. Notification before disposition of collateral
§ 28:9–612. Timeliness of notification before disposition of collateral
§ 28:9–613. Contents and form of notification before disposition of collateral: general
§ 28:9–615. Application of proceeds of disposition; liability for deficiency and right to surplus
§ 28:9–616. Explanation of calculation of surplus or deficiency
§ 28:9–617. Rights of transferee of collateral
§ 28:9–618. Rights and duties of certain secondary obligors
§ 28:9–619. Transfer of record or legal title
§ 28:9–621. Notification of proposal to accept collateral
§ 28:9–622. Effect of acceptance of collateral