Chapter 55, Article 9 NMSA 1978 does not preclude subordination by agreement by a person entitled to priority.
History: 1978 Comp., § 55-9-339, enacted by Laws 2001, ch. 139, § 59.
OFFICIAL COMMENTS
UCC Official Comments by ALI & the NCCUSL. Reproduced with permission of the PEB for the UCC. All rights reserved.
1. Source. Former section 9-316.
2. Subordination by Agreement. The preceding sections deal elaborately with questions of priority. This section makes it entirely clear that a person entitled to priority may effectively agree to subordinate its claim. Only the person entitled to priority may make such an agreement: A person's rights cannot be adversely affected by an agreement to which the person is not a party.
Effective dates. — Laws 2001, ch. 139, § 155 makes the act effective July 1, 2001.
Decisions under former 55-9-316 NMSA 1978. — In light of the similarity of this section and former Section 55-9-316 NMSA 1978, annotations decided under former 55-9-316 NMSA 1978 have been included in the annotations in this section.
A subordination agreement by implication is not recognized; it must be expressed. Western Bank v. Matherly, 1987-NMSC-052, 106 N.M. 31, 738 P.2d 903 (decided under former law).
Structure New Mexico Statutes
Chapter 55 - Uniform Commercial Code
Article 9 - Secured Transactions
Part 3 - PERFECTION AND PRIORITY
Section 55-9-319 - Rights and title of consignee with respect to creditors and purchasers.
Section 55-9-320 - Buyer of goods.
Section 55-9-323 - Future advances.
Section 55-9-324 - Priority of purchase-money security interests.
Section 55-9-325 - Priority of security interests in transferred collateral.
Section 55-9-326 - Priority of security interests created by new debtor.
Section 55-9-327 - Priority of security interests in deposit account.
Section 55-9-328 - Priority of security interests in investment property.
Section 55-9-329 - Priority of security interests in letter-of-credit right.
Section 55-9-330 - Priority of purchaser of chattel paper or instrument.
Section 55-9-332 - Transfer of money; transfer of funds from deposit account.
Section 55-9-333 - Priority of certain liens arising by operation of law.
Section 55-9-334 - Priority of security interests in fixtures.
Section 55-9-335 - Accessions.
Section 55-9-336 - Commingled goods.
Section 55-9-337 - Priority of security interests in goods covered by certificate of title.