8.9A-104 - A-104. Control of deposit account. - Virginia Statutes

§ 8.9A-104. Control of deposit account.

(a) Requirements for control. A secured party has control of a depositaccount if:

(1) the secured party is the bank with which the deposit account ismaintained;

(2) the debtor, secured party, and bank have agreed in an authenticatedrecord that the bank will comply with instructions originated by the securedparty directing disposition of the funds in the deposit account withoutfurther consent by the debtor; or

(3) the secured party becomes the bank's customer with respect to the depositaccount.

(b) Debtor's right to direct disposition. A secured party that has satisfiedsubsection (a) has control, even if the debtor retains the right to directthe disposition of funds from the deposit account.

(2000, c. 1007.)