A Quick Look At Continuation Statements And The "Retroactive Lapse" Principle
LexisNexis (August 1, 2017, 1:35 PM EDT) -- The law governing UCC continuation statements is pretty straight-forward. Let's take a quick look at the rules governing continuation statements. This is an area that has generated little litigation. The biggest issue involves "retroactive lapse" if the secured lender fails to comply with the Article 9 rules after the debtor has taken bankruptcy.
Continuation statements in a nutshell. In order to continue the effectiveness of a financing statement, a continuation statement must be filed within five years after the filing of the initial financing statement. ...