(a) A filed financing statement remains effective with respect to collateral that is sold, exchanged, leased, licensed, or otherwise disposed of and in which a security interest or agricultural lien continues, even if the secured party knows of or consents to the disposition.
(b) Except as otherwise provided in subsection (c) and Section 36-9-508, a financing statement is not rendered ineffective if, after the financing statement is filed, the information provided in the financing statement becomes seriously misleading under Section 36-9-506.
(c) If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor pursuant to Section 36-9-503(a) so that the financing statement becomes seriously misleading pursuant to Section 36-9-506:
(1) the financing statement is effective to perfect a security interest in collateral acquired by the debtor before, or within four months after, the filed financing statement becomes seriously misleading; and
(2) the financing statement is not effective to perfect a security interest in collateral acquired by the debtor more than four months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statement not seriously misleading is filed within four months after the financing statement became seriously misleading.
HISTORY: 1962 Code Section 10.9-507; 1966 (54) 2716; 1988 Act No. 494, Section 5; 2001 Act No. 67, Section 12; 2013 Act No. 96, Section 13, eff July 1, 2013.
Effect of Amendment
The 2013 amendment rewrote subsection (c).
Structure South Carolina Code of Laws
Chapter 9 - Commercial Code - Secured Transactions
Section 36-9-101. Short title.
Section 36-9-102. Definitions and index of definitions.
Section 36-9-103. Purchase-money security interest; application of payments; burden of establishing.
Section 36-9-104. Control of deposit account.
Section 36-9-105. Control of electronic chattel paper
Section 36-9-106. Control of investment property.
Section 36-9-107. Control of letter-of-credit right.
Section 36-9-108. Sufficiency of description.
Section 36-9-110. Security interests arising under Chapter 2.
Section 36-9-111. UCC lien satisfaction.
Section 36-9-201. General effectiveness of security agreement.
Section 36-9-202. Title to collateral immaterial.
Section 36-9-204. After-acquired property; future advances.
Section 36-9-205. Use or disposition of collateral permissible.
Section 36-9-206. Security interest arising in purchase or delivery of financial asset.
Section 36-9-207. Rights and duties of secured party having possession or control of collateral.
Section 36-9-208. Additional duties of secured party having control of collateral.
Section 36-9-209. Duties of secured party if account debtor has been notified of assignment.
Section 36-9-301. Law governing perfection and priority of security interests.
Section 36-9-302. Law governing perfection and priority of agricultural liens.
Section 36-9-304. Law governing perfection and priority of security interests in deposit accounts.
Section 36-9-307. Location of debtor
Section 36-9-309. Security interest perfected upon attachment.
Section 36-9-314. Perfection by control.
Section 36-9-315. Secured party ' s rights on disposition of collateral and in proceeds.
Section 36-9-316. Continued perfection of security interest following change in governing law.
Section 36-9-319. Rights and title of consignee with respect to creditors and purchasers.
Section 36-9-320. Buyer of goods.
Section 36-9-321. Licensee of general intangible and lessee of goods in ordinary course of business.
Section 36-9-323. Future advances.
Section 36-9-324. Priority of purchase-money security interests.
Section 36-9-325. Priority of security interests in transferred collateral.
Section 36-9-326. Priority of security interests created by new debtor.
Section 36-9-327. Priority of security interests in deposit account.
Section 36-9-328. Priority of security interests in investment property.
Section 36-9-329. Priority of security interests in letter-of-credit right.
Section 36-9-330. Priority of purchaser of chattel paper or instrument.
Section 36-9-332. Transfer of money; transfer of funds from deposit account.
Section 36-9-333. Priority of certain liens arising by operation of law.
Section 36-9-334. Priority of security interests in fixtures and crops.
Section 36-9-336. Commingled goods.
Section 36-9-337. Priority of security interests in goods covered by certificate of title.
Section 36-9-339. Priority subject to subordination.
Section 36-9-340. Effectiveness of right of recoupment or set-off against deposit account.
Section 36-9-341. Bank's rights and duties with respect to deposit account.
Section 36-9-342. Bank's right to refuse to enter into or disclose existence of control agreement.
Section 36-9-401. Alienability of debtor's rights.
Section 36-9-402. Secured party not obligated on contract of debtor or in tort.
Section 36-9-403. Agreement not to assert defenses against assignee.
Section 36-9-404. Rights acquired by assignee; claims and defenses against assignee.
Section 36-9-405. Modification of assigned contract.
Section 36-9-409. Restrictions on assignment of letter-of-credit rights ineffective.
Section 36-9-501. Filing office.
Section 36-9-503. Name of debtor and secured party.
Section 36-9-504. Indication of collateral.
Section 36-9-506. Effect of errors or omissions.
Section 36-9-507. Effect of certain events on effectiveness of financing statement.
Section 36-9-509. Persons entitled to file a record.
Section 36-9-510. Effectiveness of filed record.
Section 36-9-511. Secured party of record.
Section 36-9-512. Amendment of financing statement.
Section 36-9-513. Termination statement.
Section 36-9-514. Assignment of powers of secured party of record.
Section 36-9-516. What constitutes filing; effectiveness of filing.
Section 36-9-517. Effect of indexing errors.
Section 36-9-518. Claim concerning inaccurate or wrongfully filed record.
Section 36-9-520. Acceptance and refusal to accept record.
Section 36-9-521. Uniform form of written financing statement and amendment.
Section 36-9-522. Maintenance and destruction of records.
Section 36-9-523. Information from filing office; sale or license of records.
Section 36-9-524. Delay by filing office.
Section 36-9-526. Filing-office rules.
Section 36-9-602. Waiver and variance of rights and duties.
Section 36-9-603. Agreement on standards concerning rights and duties.
Section 36-9-604. Procedure if security agreement covers real property or fixtures.
Section 36-9-605. Unknown debtor or secondary obligor.
Section 36-9-606. Time of default for agricultural lien.
Section 36-9-607. Collection and enforcement by secured party.
Section 36-9-609. Secured party's right to take possession after default.
Section 36-9-610. Disposition of collateral after default.
Section 36-9-611. Notification before disposition of collateral.
Section 36-9-612. Timeliness of notification before disposition of collateral.
Section 36-9-613. Contents and form of notification before disposition of collateral: general.
Section 36-9-616. Explanation of calculation of surplus or deficiency.
Section 36-9-617. Rights of transferee of collateral.
Section 36-9-618. Rights and duties of certain secondary obligors.
Section 36-9-619. Transfer of record or legal title.
Section 36-9-621. Notification of proposal to accept collateral.
Section 36-9-622. Effect of acceptance of collateral.
Section 36-9-623. Right to redeem collateral.
Section 36-9-625. Remedies for secured party's failure to comply with chapter.
Section 36-9-626. Action in which deficiency or surplus is in issue.
Section 36-9-627. Determination of whether conduct was commercially reasonable.
Section 36-9-629. Disposition of collateral by public sale.
Section 36-9-630. Contents of notice of sale.
Section 36-9-631. Posting and mailing notice of sale.
Section 36-9-632. Exception as to perishable property.
Section 36-9-633. Postponement of public sale.
Section 36-9-634. Procedure upon dissolution of order restraining or enjoining sale.
Section 36-9-635. Disposition of proceeds of sale.
Section 36-9-702. Savings clause.
Section 36-9-703. Security interest perfected before effective date.
Section 36-9-704. Security interest unperfected before effective date.
Section 36-9-705. Effectiveness of action taken before effective date.
Section 36-9-707. Pre-effective-date financing statement.
Section 36-9-708. Persons entitled to file initial financing statement or continuation statement.
Section 36-9-802. Application and effect.
Section 36-9-803. Effect on previously perfected security interests.
Section 36-9-804. Timing of perfection of preexisting security interests.
Section 36-9-805. Effect of previous filing of financing statement.
Section 36-9-806. Filing of initial financing statement; requirements.
Section 36-9-808. Filing of initial financing statement or continuation statement.