UCC Document Community

This thread has been super helpful. I was making this way more complicated than it needed to be. Sounds like I should just proceed with filing our UCC-1 normally and treat the subordination as a separate contract negotiation with the other lender. Thanks everyone for clarifying the distinction between UCC filings and subordination agreements.

Just went through this exact scenario three weeks ago on a construction equipment deal. The key insight everyone's sharing about subordination being contractual rather than a UCC filing is spot-on. One additional tip from my experience: make sure the subordination agreement includes a clause about what happens if the senior debt gets paid off or modified. We had a situation where the senior lender refinanced their loan but the subordination agreement didn't clearly address whether our junior position automatically moved up or stayed subordinated to the new debt. Ended up requiring an amendment to clarify. Also, definitely verify the senior lender's UCC filing is clean before you agree to anything - we caught an error in their debtor name that would have made their lien unenforceable, which completely changed our negotiating position on the subordination terms.

Final thought - if you're still having issues, call Maryland directly. Their UCC office staff can sometimes do searches over the phone or give you specific guidance on search terms for your situation. Not fast, but potentially more accurate than wrestling with the portal.

Maryland's UCC search portal has been problematic for years. One thing that's helped me is clearing browser cache and cookies before searching - sounds basic but their system seems to have session issues that affect search consistency. Also, try searching during off-peak hours (early morning or late evening) when server load is lower. I've noticed more reliable results outside normal business hours. For a $450K deal, you might also want to run searches from multiple devices/browsers to cross-verify your results before finalizing your due diligence.

Bottom line - yes they're public, no you can't avoid it if you want a perfected security interest, and yes it might create some business relationship discussions for your borrower. But the actual financial details remain private and most sophisticated businesses understand that secured lending is normal. Just make sure your filing is accurate because a rejected UCC-1 gives you zero protection.

Just wanted to add my perspective as someone who's dealt with this exact concern many times. The privacy issue is real but manageable - I always recommend being upfront with borrowers about the public nature of UCC filings during the initial loan discussion, not after they've already committed to the deal. That said, I've found that most privacy concerns disappear once borrowers understand that loan amounts, interest rates, and payment terms don't appear in the public record. The filing typically just shows "equipment" or "inventory" as collateral without dollar values or specific details. In my experience, the businesses that worry most about UCC privacy are often the ones that would benefit most from educating their vendors and customers about their growth financing strategy rather than trying to hide it.

Bookmarking this thread for the Louisiana filing tips. The late night approach and early filing strategy are both really helpful.

Wow, what a roller coaster! I've been following this thread and I'm so glad you got it sorted out in the end. As someone who's been burned by last-minute filing issues before, this is a great reminder that state UCC systems can be unpredictable. The late night filing strategy is brilliant - I never would have thought to try that. I'm definitely going to start filing my continuations months in advance rather than waiting until the last week. Also really interested in the Certana.ai tool that was mentioned - seems like it could save a lot of headaches by catching those tiny formatting issues that cause rejections. Thanks to everyone who shared their experiences and tips!

Bottom line on UCC signature definition: authorization matters more than signatures. If your security agreement authorizes UCC filings and your debtor names match, you're probably in good shape. The SOS accepting the filing is also a good sign - they typically catch obvious problems.

As someone who's dealt with similar authorization questions, I'd recommend documenting everything clearly for your file. Even though the consensus here is right - authorization through your security agreement should suffice - it's worth creating a memo explaining why your filing is valid. Include references to the specific authorization language in your loan docs and cite UCC 9-502. This way if anyone questions it later (auditors, regulators, or even internal compliance), you have a clear paper trail showing you did your due diligence. For a $240K loan, that extra documentation step is definitely worth the peace of mind.