(a) A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor: (1) receives an assignment of a secured obligation from the secured party; (2) receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or (3) is subrogated to the rights of a secured party with respect to collateral. (b) An assignment, transfer, or subrogation described in subsection (a): (1) is not a disposition of collateral under Section 36-9-610; and (2) relieves the secured party of further duties under this chapter. HISTORY: 2001 Act No. 67, Section 12.
South Carolina Legal Code