§12A-9-313.

§12A-9-313.
   
   Priority of Security Interests in Fixtures.
   
   (1) In this section and in the provisions of Part 4 of this article
   referring to fixture filing, unless the context otherwise requires:
   
   (a) Goods are "fixtures" when they become so related to particular
   real estate that an interest in them arises under real estate law.
   
   (b) A "fixture filing" is the filing in the office where a mortgage on
   the real estate would be filed or recorded of a financing statement
   covering goods which are or are to become fixtures and conforming to
   the requirements of subsection (5) of Section 9-402, as applicable,
   and Section 9-401A of this title.
   
   (c) A mortgage is a "construction mortgage" to the extent that it
   secures an obligation incurred for the construction of an improvement
   on land including the acquisition cost of the land, if the recorded
   writing so indicates.
   
   (2) A security interest under this article may be created in goods
   which are fixtures or may continue in goods which become fixtures, but
   no security interest exists under this article in ordinary building
   materials incorporated into an improvement on land.
   
   (3) This article does not prevent creation of an encumbrance upon
   fixtures pursuant to real estate law.
   
   (4) A perfected security interest in fixtures has priority over the
   conflicting interest of an encumbrancer or owner of the real estate
   when:
   
   (a) the security interest is a purchase money security interest; the
   interest of the encumbrancer or owner arises before the goods become
   fixtures; the security interest is perfected by a fixture filing
   before the goods become fixtures or within ten (10) days thereafter,
   and the debtor has an interest of record in the real estate or is in
   possession of the real estate; or
   
   (b) the security interest is perfected by a fixture filing before the
   interest of the encumbrancer or owner is of record; the security
   interest has priority over any conflicting interest of a predecessor
   in title of the encumbrancer or owner, and the debtor has an interest
   of record in the real estate or is in possession of the real estate;
   or
   
   (c) the fixtures are readily removable factory or office machines or
   readily removable replacements of domestic appliances which are
   consumer goods, and before the goods become fixtures, the security
   interest is perfected by any method permitted by this article; or
   
   (d) the conflicting interest is a lien on the real estate obtained by
   legal or equitable proceedings after the security interest was
   perfected by any method permitted by this article.
   
   (5) A security interest in fixtures, whether or not perfected, has
   priority over the conflicting interest of an encumbrancer or owner of
   the real estate when:
   
   (a) the encumbrancer or owner has consented in writing to the security
   interest or has disclaimed an interest in the goods as fixtures; or
   
   (b) the debtor has a right to remove the goods as against the
   encumbrancer or owner. If the debtor's right terminates, the priority
   of the security interest continues for a reasonable time.
   
   (6) Notwithstanding paragraph (a) of subsection (4) of this section
   but otherwise subject to subsections (4) and (5) of this section, a
   security interest in fixtures is subordinate to a construction
   mortgage recorded before the goods become fixtures, if the goods
   become fixtures before the completion of the construction. To the
   extent that is given to refinance a construction mortgage, a mortgage
   has this priority to the same extent as the construction mortgage.
   
   (7) In cases not within the preceding subsections, a security interest
   in fixtures is subordinate to the conflicting interest of an
   encumbrancer or owner of the related real estate who is not the
   debtor.
   
   (8) When the secured party has priority over all owners and
   encumbrancers of the real estate, he may, on default, subject to the
   provisions of Part 5, remove his collateral from the real estate, but
   he must reimburse any encumbrancer or owner of the real estate who is
   not the debtor and who has not otherwise agreed for the cost of repair
   of any physical injury, but not for any diminution in value of the
   real estate caused by the absence of the goods removed or by any
   necessity of replacing them. A person entitled to reimbursement may
   refuse permission to remove until the secured party gives adequate
   security for the performance of this obligation.