Asked by

Dwayne Teamer
on Nov 28, 2024

verifed

Verified

Mobile Talk LLC sells phones. The phones are the collateral for a loan from Noble Bank to the seller. The parties agree to extend the UCC's automatic-perfection period for proceeds. In regard to the bank's interest in the proceeds, this agreement

A) permits the interest to remain perfected.
B) extinguishes the interest after the automatic-perfection period.
C) effectively relinquishes the bank's interest.
D) has no effect on the bank's interest.

Automatic-Perfection Period

A specified timeframe following the attachment of a security interest during which the interest is considered perfected without filing.

Perfected

In legal and financial contexts, refers to having completed all necessary legal steps to enforce rights regarding a security interest against third parties.

Proceeds

The total amount of money or assets derived from a transaction, such as the sale of goods, property, or a business activity.

  • Acquire a thorough understanding of the notion of proceeds within the framework of secured transactions and their management.
verifed

Verified Answer

FJ
Fabian JensenNov 30, 2024
Final Answer:
Get Full Answer