409.622 Effect of acceptance of collateral. - Wisconsin Statutes

409.622

409.622 Effect of acceptance of collateral.

409.622(1)

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

409.622(1)(a)

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

409.622(1)(b)

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

409.622(1)(c)

(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

409.622(1)(d)

(d) Terminates any other subordinate interest.

409.622(2)

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

409.622 - ANNOT.

History: 2001 a. 10.