On January 3, 2013, the Utah Legislature pre-filed a bill to enact the 2010 Amendments to UCC Article 9. Senate Bill 41 adopts the Alternative B safe harbor for sufficiency of individual names in Section 9-503(a)(4) and provides the uniform effective date of July 1, 2013. The bill does not provide images of the safe harbor forms in Section 9-521. Instead, it incorporates by reference the safe harbor forms set forth in the official text of the 2010 Amendments to Article 9.
There is one significant non-uniform provision. The proposed new Utah Code Ann. Section 70A-9a-516(4) would allow the filing office to reject a UCC record submitted for filing if an individual debtor’s name contains “unusually placed and apparently unnecessary punctuation, symbols, or other non-alphabetic characters,” the record discloses personally identifying information or the record indicates an individual debtor is a transmitting utility. Otherwise, SB 41 follows the uniform text of the 2010 Amendments. The bill has not yet been assigned to a committee. The Utah Legislature does not convene until January 28th.
If you have questions or need more information on Article 9 legislation, please contact Paul Hodnefield, Associate General Counsel, at email@example.com or 800-927-9801, ext. 62375.