Sec. 409.
Any pledge made by a corporation or a subsidiary corporation to secure corporation obligations shall be valid and binding from the time the pledge is made. The money or property so pledged and thereafter received by the corporation or subsidiary corporation shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act. The lien of the pledge shall be valid and binding against all parties having claims of any kind in tort, contract, or otherwise against the corporation or the subsidiary corporation, without regard to whether such parties have notice thereof. Neither the resolution nor any instrument by which a pledge is made need be recorded.
History: 1987, Act 230, Eff. Feb. 27, 1988
Structure Michigan Compiled Laws
Act 230 of 1987 - Municipal Health Facilities Corporations Act (331.1101 - 331.1507)
230-1987-4 - Chapter 4 (331.1401...331.1415)
Section 331.1402 - Corporation or Subsidiary Corporation; Additional Powers; Prohibited Conduct.
Section 331.1406 - Corporation Obligations Generally.
Section 331.1407 - Refunding Corporation Obligations.
Section 331.1409 - Lien of Pledge.
Section 331.1410 - Personal Liability on Notes or Corporation Obligations.
Section 331.1411 - Pledge and Agreement of State.
Section 331.1413 - Corporation Obligations as Negotiable Instruments Under Uniform Commercial Code.
Section 331.1414 - Notes and Corporation Obligations as Investment Securities.