679.622 Effect of acceptance of collateral. - Florida Statutes

679.622 Effect of acceptance of collateral.

   (1) A secured party’s acceptance of collateral in full or partial satisfaction of the obligation it secures:

   (a) Discharges the obligation to the extent consented to by the debtor;

   (b) Transfers to the secured party all of a debtor’s rights in the collateral;

   (c) Discharges the security interest or agricultural lien that is the subject of the debtor’s consent and any subordinate security interest or other subordinate lien; and

   (d) Terminates any other subordinate interest.

   (2) A subordinate interest is discharged or terminated under subsection (1), even if the secured party fails to comply with this chapter.

History. s. 7, ch. 2001-198.