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§12A-9-314.
§12A-9-314.
(1) A security interest in goods which attaches before they are
installed in or affixed to other goods takes priority as to the goods
installed or affixed (called in this section "accessions") over the
claims of all persons to the whole except as stated in subsection (3)
and subject to Section 9-315(1).
(2) A security interest which attaches to goods after they become part
of a whole is valid against all persons subsequently acquiring
interests in the whole except as stated in subsection (3) but is
invalid against any person with an interest in the whole at the time
the security interest attaches to the goods who has not in writing
consented to the security interest or disclaimed an interest in the
goods as part of the whole.
(3) The security interests described in subsections (1) and (2) do not
take priority over
(a) a subsequent purchaser for value of any interest in the whole; or
(b) a creditor with a lien on the whole subsequently obtained by
judicial proceedings; or
(c) a creditor with a prior perfected security interest in the whole
to the extent that he makes subsequent advances
if the subsequent purchase is made, the lien by judicial proceedings
obtained or the subsequent advance under the prior perfected security
interest is made or contracted for without knowledge of the security
interest and before it is perfected. A purchaser of the whole at a
foreclosure sale other than the holder of a perfected security
interest purchasing at his own foreclosure sale is a subsequent
purchaser within this section.
(4) When under subsections (1) or (2) and (3) a secured party has an
interest in accessions which has priority over the claims of all
persons who have interests in the whole, he may on default subject to
the provisions of Part 5 remove his collateral from the whole but he
must reimburse any encumbrancer or owner of the whole 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 whole
caused by the absence of the goods removed or by any necessity for
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.
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