Article 9 of the Uniform Commercial Code (UCC)

Article 9 of the Uniform Commercial Code (UCC) deals with secured transactions, which are loans where the borrower gives the lender a security interest in personal property. This means if the borrower fails to repay, the lender can claim the specified property. Article 9 outlines how to create, perfect, and enforce these security interests, ensuring both parties understand their rights. It covers various types of collateral, such as inventory, equipment, and accounts receivable, and establishes a public notice system to inform others about existing claims on the collateral. This framework helps facilitate credit while protecting both lenders and borrowers.