9-314 - Perfection by control. - New York Statutes

Section 9--314. Perfection by Control. (a) Perfection by control. A security interest in investment property, deposit accounts, letter-of-credit rights, or electronic chattel paper may be perfected by control of the collateral under Section 9--104, 9--105, 9--106, or 9--107. (b) Specified collateral: time of perfection by control; continuation of perfection. A security interest in deposit accounts, electronic chattel paper, or letter-of-credit rights is perfected by control under Section 9--104, 9--105, or 9--107 when the secured party obtains control and remains perfected by control only while the secured party retains control. (c) Investment property: time of perfection by control; continuation of perfection. A security interest in investment property is perfected by control under Section 9--106 from the time the secured party obtains control and remains perfected by control until: (1) the secured party does not have control; and (2) one of the following occurs: (A) if the collateral is a certificated security, the debtor has or acquires possession of the security certificate; (B) if the collateral is an uncertificated security, the issuer has registered or registers the debtor as the registered owner; or (C) if the collateral is a security entitlement, the debtor is or becomes the entitlement holder. (d) Cooperative interests. Subsections (a) through (c) do not apply to cooperative interests.