Rutgers Law

New Jersey Statutes, Title: 12A, COMMERCIAL TRANSACTIONS

    Chapter 9:

      Section: 12A:9-105: Control of electronic chattel paper.

          
12A:9-105. Control of Electronic Chattel Paper.

(a) A secured party has control of electronic chattel paper if a system employed for evidencing the transfer of interests in the chattel paper reliably establishes the secured party as the person to which the chattel paper was assigned.

(b) A system satisfies subsection (a) if the record or records comprising the chattel paper are created, stored, and assigned in such a manner that:

(1) a single authoritative copy of the record or records exists which is unique, identifiable and, except as otherwise provided in paragraphs (4), (5), and (6), unalterable;

(2) the authoritative copy identifies the secured party as the assignee of the record or records;

(3) the authoritative copy is communicated to and maintained by the secured party or its designated custodian;

(4) copies or amendments that add or change an identified assignee of the authoritative copy can be made only with the consent of the secured party;

(5) each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and

(6) any amendment of the authoritative copy is readily identifiable as authorized or unauthorized.

L.2001, c.117, s.1; amended 2001, c.386, s.4; 2013, c.65, s.4.

This section added to the Rutgers Database: 2013-07-23 11:49:20.

Older versions of 12a:9-105 (if available):

Court decisions that cite this statute: CLICK HERE.