7. Automatic Perfection in Proceeds: Continuation of Perfection in Cash Proceeds. Former Section 9-306(3)(b) provided that if a filed financing statement covered original collateral, a security interest in identifiable cash proceeds of the collateral remained perfected beyond the ten-day period of automatic perfection. Former Section 9-306(3)(c) contained a similar rule with respect to identifiable cash proceeds of investment property. Subsection (d)(2) [Maine cite subsection (4), paragraph (b)] extends the benefits of former Sections 9- 306(3)(b) and (3)(c) to identifiable cash proceeds of all types of original collateral in which a security interest is perfected by any method. Under subsection (d)(2) [Maine cite subsection (4), paragraph (b)], if the security interest in the original collateral was perfected, a security interest in identifiable cash proceeds will remain perfected indefinitely, regardless of whether the security interest in the original collateral remains perfected. In many cases, however, a purchaser or other transferee of the cash proceeds will take free of the perfected security interest. See, e.g., Sections 9-330(d) [Maine cite section 9-1330, subsection (4)] (purchaser of check), 9-331 [Maine cite section 9-1331] (holder in due course of check), 9- 332 [Maine cite section 9-1322] (transferee of money or funds from a deposit account).

8. Insolvency Proceedings; Returned and Repossessed Goods. This Article deletes former Section 9-306(4), which dealt with proceeds in insolvency proceedings. Except as otherwise provided by the Bankruptcy Code, the debtor's entering into bankruptcy does not affect a secured party's right to proceeds.

This Article also deletes former Section 9-306(5), which dealt with returned and repossessed goods. Section 9-330 [Maine cite section 9-1330], Comments 9 to 11 explain and clarify the