Asked by Jillian Peace on Jul 26, 2024

verifed

Verified

According to the Uniform Commercial Code,a secured party need not give value in order to create a security interest.

Security Interest

A legal claim or lien on collateral that secures the repayment of a debt or obligation, giving the lender rights in the collateral.

Secured Party

The party that holds the interest in a secured property.

Uniform Commercial Code

A comprehensive set of laws governing all commercial transactions in the United States, intended to harmonize the law of sales and other commercial transactions across American jurisdictions.

  • Pinpoint the requisites for initiating and improving a security interest.
verifed

Verified Answer

ZK
Zybrea KnightAug 02, 2024
Final Answer :
False
Explanation :
According to the Uniform Commercial Code,in order to create a security interest,the secured party must give value.Value is consideration.