In early 2012, Oklahoma was one of the very first states to introduce legislation to enact the 2010 Amendments to UCC Article 9 (the “2010 Amendments”). Ironically, the state was almost the very last to enact the 2010 Amendments. Finally, on June 4, 2015, the governor signed Oklahoma House Bill 1773. The U.S. Virgin Islands is now the last jurisdiction still awaiting enactment of the 2010 Amendments legislation. Oklahoma HB 1773 mostly follows the uniform text of the 2010 Amendments. There are, however, some minor drafting discrepancies and deviations from the official text due to the delayed enactment.
The new law adopts the Alternative A “Only If” option for sufficiency of individual debtor names in Okla. Stat. 12A § 1-9-503(a)(4). The enacted text provides that the only sufficient source of an individual debtor name is the person’s unexpired Oklahoma driver’s license, if the debtor has such a document. If the debtor lacks an unexpired Oklahoma driver’s license, then the secured party must go to the second-tier safe harbor in § 1-9-503(a)(5) and provide either the individual name of the debtor or the surname and first personal name of the debtor.
A minor drafting error in 12A § 1-9-503(g), which governs a situation where a debtor may have multiple qualifying driver’s licenses, mistakenly refers to the “driver’s license or personal identification card.” However, the personal identification card is not a sufficient source of an individual debtor name for purposes of 12A § 1-9-503(a)(4). The transition provisions generally follow the official text from Part 8 of the 2010 Amendments. The exception is that the new law takes effect on November 1, 2015.
Additional resources on the 2010 Amendments to UCC Article 9 are available at the UCC Article 9 and Lien Resource Center, http://csctransactionwatch.com/uccarticle9/. If you have questions or need more information, please contact Paul Hodnefield, Associate General Counsel, at email@example.com or 800-927-9801, ext. 61730.