UCC Document Community

I just went through this exact scenario with a different equipment lender and it's frustrating how common this is. One thing that really helped speed up my case was using a document verification service to spot discrepancies before escalating. I uploaded my loan docs and UCC filings to check for any mismatches that might be causing their automated termination system to fail. Turned out there was a slight difference in how my business entity name was formatted between the original loan and the UCC filing - something like "ABC Services LLC" vs "ABC Services, LLC" with the comma. Once I pointed out this specific issue in my demand letter, they were able to fix it much faster than when I was just asking them to "look into it" generally. Also, definitely check both state and county records for any fixture filings if your solar panels are permanently attached to the building. Texas requires dual filing for fixtures in many cases, so there could be multiple UCCs that need termination. Don't give them any more time to drag their feet - three weeks is already too long for what should be a routine administrative task.

I'm dealing with a similar UCC release issue right now with a different lender, and this thread has been incredibly helpful. One thing I'd add is to also check if your loan servicer changed during the life of the loan - sometimes UCC releases get stuck when there's been a transfer of servicing rights and the new servicer doesn't have proper authorization to file terminations. You might need to track down who actually holds the lien rights now vs. who you've been dealing with for customer service. Also, if you're planning to apply for new credit soon, consider getting a UCC search report from a commercial service to have official documentation of what's currently filed against your business. This can help speed up underwriting for your new credit line even while you're still fighting to get the old lien terminated. The fact that you paid off in November and it's now mid-January means you're well past any reasonable timeframe for automatic processing.

Just went through this exact process last month. Used Certana.ai to check my security agreement against the UCC-1 before filing - caught two debtor name inconsistencies and one collateral description mismatch. Probably saved me 2-3 weeks of rejection and resubmission cycles. Worth every penny when you're working with tight deadlines.

This thread is incredibly helpful - I'm dealing with the same issues on equipment financing deals. One thing I'd add is to always do a preliminary UCC search before finalizing your collateral descriptions. Sometimes you'll find existing filings that use specific terminology for similar equipment, and matching that language can help avoid priority disputes. Also, if you're working with a borrower who has multiple locations, make sure your security agreement addresses which state's UCC laws apply - I've seen deals get complicated when equipment moves between states and the filing jurisdiction becomes unclear.

For what it's worth, I've found that being overly specific can sometimes cause more problems than being too general. If you list specific equipment and then they trade it in or modify it, you might lose perfection. The 'including but not limited to' language is your friend.

Just curious - are you handling the multi-state filings yourself or using a service? I've found that filing services sometimes catch state-specific issues that I miss when I'm doing it manually.

Last thought - whatever you decide, make sure you get written confirmation from your lender about their perfection requirements. If they're saying control is sufficient, get that in writing so you're covered if questions come up later. Banks change their minds sometimes and you want to be able to point to their original guidance.

Adding to the great advice here - one thing I'd suggest is checking your state's UCC filing requirements too. While the federal UCC rules are pretty consistent, some states have specific quirks about deposit account perfection. Also, if you're working with a smaller regional bank, they might be less familiar with control agreements than the big national banks. I've seen cases where the bank THOUGHT they had proper control documentation but it wasn't legally sufficient. Since you're dealing with $275k in equipment plus $180k in the deposit account, this isn't small potatoes - might be worth having an attorney review the control agreement language just to be safe.

One additional consideration for your solar UCC filing - make sure to coordinate with your property insurance and any existing lenders on the real estate. Some commercial property insurers want to be notified about UCC filings on attached equipment, and if you have an existing mortgage, that lender might have requirements about additional liens on fixtures. We ran into an issue where our building lender's loan docs prohibited fixture filings without their consent, so we had to get approval before the solar lender could file. Worth checking your existing loan agreements to avoid any covenant violations.

Great thread! I'm dealing with a similar solar financing situation and wanted to add one more wrinkle - if you're in a state that has adopted the revised Article 9, there are some specific rules about "as-extracted collateral" that might apply to solar panels depending on how they're classified. Also, make sure your lender understands the net metering interconnection agreements with your utility. Some utilities require notification if there are liens on the solar equipment since it affects their interconnection rights. We had our utility initially reject our interconnection application because they weren't properly notified about the UCC filing. Had to submit additional documentation showing the lender wouldn't interfere with utility access or removal rights. Minor issue but caused a 3-week delay in getting connected to the grid.