UCC Document Community

Update us when you get it resolved! This is exactly the kind of situation that helps other people know what to expect. UCC termination problems are way more common than they should be.

This thread is incredibly helpful - I'm dealing with something similar right now. My lender filed the UCC-3 termination but used a slightly different collateral description than the original UCC-1, so now I have both filings showing up in searches. The new lender's underwriter is flagging it as a potential issue. Has anyone successfully gotten a lender to file a corrected termination statement? I'm wondering if I should push them to withdraw the partial one and file a complete termination, or if there's another way to clean this up.

Great thread everyone! As someone new to commercial real estate financing, this discussion really helped clarify the relationship between mortgages and UCC filings. I was under the impression that a mortgage covered everything related to the property, but now I understand that equipment and fixtures might need separate UCC protection. The point about filing in the correct state is particularly important - I can see how easy it would be to make that mistake. For deals involving significant equipment value like the OP's situation, it sounds like the dual filing approach (mortgage + UCC fixture filing) is the safest route to ensure complete lender protection.

This is exactly the kind of detailed explanation I needed when I was starting out! One thing I'd add from my recent experience - don't forget to consider the timing of your UCC filings relative to your closing. Some lenders want the UCC-1 filed before funding, while others are okay with simultaneous filing. Also, if you're dealing with a purchase money security interest (PMSI), there are specific timing requirements to maintain priority over other creditors. Make sure your attorney coordinates the filing timeline with your closing schedule to avoid any last-minute complications. The 20-day PMSI grace period can be crucial in some situations.

As someone completely new to UCC work who just started my first paralegal position last week, this discussion has been absolutely eye-opening! I've been feeling overwhelmed trying to understand how all the different UCC sections connect to the actual filing work I'm being trained on. The house foundation analogy that everyone keeps referencing is brilliant - it finally helps me grasp why UCC 1-103 and 1-308 keep appearing in the legal materials I'm studying but don't seem directly relevant to filling out UCC-1 forms. Understanding that these are interpretive principles that courts use when specific provisions don't provide clear answers, rather than direct filing requirements, is such a relief. I was worried I was missing something fundamental about how to prepare filings! It's encouraging to see that even experienced practitioners recommend focusing on mastering the practical mechanics first - getting debtor names right, writing accurate collateral descriptions, understanding proper procedures - while building theoretical knowledge gradually. The examples about unusual collateral situations were particularly helpful for understanding when these foundational concepts might actually become relevant in my work. Thank you all for creating such a supportive community where newcomers can learn from your expertise without feeling intimidated!

As someone who just joined this community and is completely new to UCC work, this discussion has been incredibly enlightening! I'm starting my first role in secured transactions next week and have been trying to wrap my head around all the UCC sections I keep seeing referenced in my preparation materials. The house foundation analogy that everyone has been using throughout this thread is absolutely perfect - it finally makes sense why UCC 1-103 and 1-308 seem both fundamentally important and somewhat removed from the actual UCC-1 filing mechanics I've been studying. Understanding that these are interpretive principles that provide the underlying legal framework, rather than direct requirements that change how I prepare forms, is such a relief. I was starting to worry that I was missing some crucial connection between these sections and the practical filing procedures. It's reassuring to see the consensus that newcomers should focus on mastering the fundamentals first - accurate debtor names, proper collateral descriptions, correct filing procedures - while gradually building theoretical understanding. The examples about intellectual property and unusual collateral situations really helped me visualize when these foundational principles might actually come into play in practice. Thank you all for creating such a welcoming and educational environment where newcomers can learn from your collective expertise without feeling intimidated by complex legal concepts!

Update for anyone following this thread - our new lender finally filed the UCC-3 assignment yesterday! Took them 4 weeks total which was longer than I hoped but it's done now. The filing shows up online already and lists them as the new secured party. Thanks everyone for the advice about pushing them to get it filed properly.

Marcus, definitely go with the UCC-3 assignment filing - your attorney is mistaken on this one. Just recording the assignment agreement doesn't update the public UCC records, which means future lenders or creditors searching the records would still see the old lender as the secured party. This could create real problems down the line. With $850K in equipment at stake, you want that chain of title crystal clear. The new lender should handle filing the UCC-3 since they need to be shown as the current secured party, and it's a pretty standard process for them. Just make sure they use the exact debtor name and details from your original 2022 UCC-1 filing to avoid any rejections.

This thread has been incredibly helpful! As someone new to UCC filings, I'm wondering about the timing logistics - when you file the UCC-3 amendment to change the secured party creditor name, do you need to wait for the filing office to send back confirmation before proceeding with the continuation filing? Or can you track the amendment status online and file the continuation as soon as you see it's been accepted electronically?

As someone who's dealt with multiple secured party creditor transitions due to bank consolidations in our industry, I'd strongly recommend creating a detailed tracking spreadsheet for all your affected UCC filings before you start the amendment process. Include columns for original filing numbers, current secured party names, new secured party names, amendment filing dates, amendment acceptance dates, and continuation due dates. This becomes invaluable when you're managing multiple filings and helps ensure you don't miss any deadlines or mix up filing details. Also, since you mentioned substantial manufacturing equipment as collateral, consider whether any of your equipment has been moved between states since the original filings - you might need to handle some fixture filing issues alongside the secured party changes depending on your jurisdiction requirements.