South Dakota became the latest state to introduce the 2010 Amendments to Article 9 when House Bill 1059 was filed on Friday, January 13, 2012. The bill adopts the Alternative A “Only If” approach for individual debtor name sufficiency in Section 9-503(a)(4). Section 9-521 provides images of the approved forms set forth in the official text of the 2010 Amendments. The bill also follows the uniform effective date of July 1, 2013.
Their bill contains no significant non-uniform departures from the official text of the 2010 Amendments. However, it does retain a significant non-uniform provisionSouth Dakotaadopted as part of Revised Article 9. Under current Section 57A-9-502(a)(1), a financing statement is sufficient only if it provides an individual debtor’s social security number or the IRS tax identification number. As introduced, HB 1059 retains the non-uniform language of Section 57A-9-502(a)(1), leavingSouth Dakotaas the only state that requires UCC records to provide the social security number of an individual debtor.
As with any proposed law, HB 1059 may be amended at any point during the legislative process. CSC will continue to provide updates of any significant developments with all state Article 9 legislation.