Chapter 7 Trustee Challenges Lender’s Security Interest: Distinguishing “Securities Accounts” From “Deposit Accounts”

LexisNexis (January 18, 2022, 2:46 PM EST) -- In handling a secured transaction under Article 9 of the UCC, the secured lender must make sure that it uses the correct categories of collateral. Different categories often require different methods of perfection. For example, a security interest in a “deposit account” may only be perfected by “control,” while a “securities account” may be perfected by either control or filing a financing statement....