355.9 -507 Effect of certain events on effectiveness of financing statement. (1) A filed financing statement remains effective with respect to collateral that is sold, exchanged, leased, licensed, or otherwise disposed of and in which a security interest or agricultural lien continues, even if the secured party knows of or consents to the disposition. (2) Except as otherwise provided in subsection (3) of this section and KRS 355.9 -508, a financing statement is not rendered ineffective if, after the financing statement is filed, the information provided in the financing statement becomes seriously misleading under KRS 355.9 -506. (3) If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under KRS 355.9 -503(1) so that the financing statement becomes seriously misleading under KRS 3 55.9-506: (a) The financing statement is effective to perfect a security interest in collateral acquired by the debtor before, or within four (4) months after, the filed financing statement becomes seriously misleading; and (b) The financing statement is n ot effective to perfect a security interest in collateral acquired by the debtor more 4) months after, the filed financing statement becomes seriously misleading; and (b) The financing statement is n ot effective to perfect a security interest in collateral acquired by the debtor more than four (4) months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statemen t not seriously misleading is filed within four (4) months after the filed financing statement becomes seriously misleading. Effective: July 1, 2013 History: Amended 2012 Ky. Acts ch. 132, sec. 80, effective July 1, 2013. -- Amended 2001 Ky. Acts ch. 65, s ec. 2, effective July 1, 2001. -- Repealed and reenacted 2000 Ky. Acts ch. 408, sec. 98, effective July 1, 2001. -- Created 1958 Ky. Acts ch. 77, sec. 9 -507, effective July 1, 1960. Legislative Research Commission Note (3/14/2013). 2013 Ky. Acts ch. 10, se cs. 2 and 3 provide that the statutes in Article 9 of the Uniform Commercial Code that were amended or created in 2012 Ky. Acts ch. 132, secs. 60 to 99, are effective July 1, 2013. This statute was one of those sections. hat the statutes in Article 9 of the Uniform Commercial Code that were amended or created in 2012 Ky. Acts ch. 132, secs. 60 to 99, are effective July 1, 2013. This statute was one of those sections. Since only the effective date of a prior Act was altered, and not the text of the affected statutes, reference to 2013 Ky. Acts ch. 10 does not appear in the history for this statute. Legislative Research Commission Note (7/12/2012). In 2010, the National Conference of Commissioners on Unif orm State Laws and the American Law Institute proposed a Uniform Act for adoption by the states that contained revisions to Article 9 of the Uniform Commercial Code. The effective date for all proposed Article 9 revisions was to be July 1, 2013. Those revi sions were enacted in 2012 Ky. Acts Chapter 132, Sections 60 to 99. Sections 60 to 90 contained the substantive Article 9 revisions, and Sections 91 to 99 contained the transitional Article 9 revisions created to handle secured transactions made prior to J uly 1, 2013. Section 91 of that Act (codified as KRS 355.9 -801) and Section 102 of that Act (a noncodified effective date provision) both stated, 'Sections 91 to 99 of this Act take effect rior to J uly 1, 2013. Section 91 of that Act (codified as KRS 355.9 -801) and Section 102 of that Act (a noncodified effective date provision) both stated, 'Sections 91 to 99 of this Act take effect July 1, 2013.' The normal effective date for legislation enacted at the 2012 Regular Session of the General Assembly is July 12, 2012. In Opinion of the Attorney General 12 -010, issued July 3, 2012, Section 91 (codified as KRS 355.9 -801) was determined to have contained a manifest clerical error, and should have instead r ead, 'Sections 60 to 90 of this Act take effect July 1, 2013,' thereby making the substantive Article 9 revisions effective on the same date as the transitional Article 9 provisions in conformity with the 2010 Uniform Act proposal and 2012 Ky. Acts Chapter 132, Section 102. This statute was one of the substantive provisions of Article 9 contained in 2012 Ky. Acts Chapter 132, Sections 60 to 90.
Kentucky Legal Code