§ 9705. Effectiveness of action taken before effective date.
(a) Pre-effective-date action; one-year perfection period unless reperfected.--If action, other than the filing of a financing statement, is taken before Revised Division 9 takes effect and the action would have resulted in priority of a security interest over the rights of a person that becomes a lien creditor had the security interest become enforceable before Revised Division 9 takes effect, the action is effective to perfect a security interest which attaches under Revised Division 9 within one year after Revised Division 9 takes effect. An attached security interest becomes unperfected one year after Revised Division 9 takes effect unless the security interest becomes a perfected security interest under Revised Division 9 before the expiration of that period.
(b) Pre-effective-date filing.--The filing of a financing statement before July 1, 2001, is effective to perfect a security interest to the extent the filing would satisfy the applicable requirements for perfection under Revised Division 9, and the effectiveness of such a financing statement shall not be affected by subsection (c).
(c) Pre-effective-date filing in jurisdiction formerly governing perfection.--Revised Division 9 does not render ineffective an effective financing statement which, before Revised Division 9 takes effect, is filed and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in section 9103 of Former Division 9 (relating to perfection of security interests in multiple state transactions). However, except as otherwise provided in subsections (d) and (e) and section 9706 of Revised Division 9 (relating to when initial financing statement suffices to continue effectiveness of financing statement), the financing statement ceases to be effective at the earlier of:
(1) the time the financing statement would have ceased to be effective under the law of the jurisdiction in which it is filed; or
(2) June 30, 2006.
(d) Continuation statement.--
(1) Except as set forth in paragraph (2), the filing of a continuation statement after Revised Division 9 takes effect does not continue the effectiveness of the financing statement filed before Revised Division 9 takes effect.
(2) Notwithstanding paragraph (1), upon the timely filing of a continuation statement after Revised Division 9 takes effect and in accordance with the law of the jurisdiction governing perfection as provided in Chapter 93 of Revised Division 9 (relating to perfection and priority), the effectiveness of a financing statement filed in the same office in that jurisdiction before Revised Division 9 takes effect continues for the period provided by the law of that jurisdiction. Filing of a continuation statement shall be timely under this paragraph if the filing occurs before the financing statement ceases to be effective but not before the earlier of:
(i) December 30, 2005; or
(ii) six months before the financing statement ceases to be effective.
(e) Application of subsection (c)(2) to transmitting utility financing statement.--Subsection (c)(2) applies to a financing statement which, before Revised Division 9 takes effect, is filed against a transmitting utility and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in section 9103 of Former Division 9 only to the extent that Chapter 93 of Revised Division 9 provides that the law of a jurisdiction other than the jurisdiction in which the financing statement is filed governs perfection of a security interest in collateral covered by the financing statement.
(f) Application of Chapter 95.--A financing statement which includes a financing statement filed before Revised Division 9 takes effect and a continuation statement filed after Revised Division 9 takes effect is effective only to the extent that it satisfies the requirements of Chapter 95 of Revised Division 9 (relating to filing) for an initial financing statement. (June 30, 2006, P.L.290, No.64, eff. imd.)
2006 Amendment. Act 64 amended subsecs. (b) and (d). Section 2 of Act 64 provided that nothing in the amendment of subsecs. (b) or (d) shall render ineffective a continuation statement that was filed prior to the effective date of section 2.
Cross References. Section 9705 is referred to in sections 9702, 9703, 9706, 9707 of this title.
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 97 - Transition Provisions
Section 9703 - Security interest perfected before effective date
Section 9704 - Security interest unperfected before effective date
Section 9705 - Effectiveness of action taken before effective date
Section 9707 - Amendment of pre-effective-date financing statement
Section 9708 - Persons entitled to file initial financing statement or continuation statement
Section 9710 - Operations of prothonotaries' offices after effective date