3. Multiple Production-Money Security Interests. In the case of multiple production-money security interests that qualify for priority under subsection (a) [Maine cite subsection (1)], the first to file has priority. See subsection (c) [Maine cite subsection (3)]. Note that only a security interest perfected by filing is entitled to production-money priority. See subsection (b)(1) [Maine cite subsection (2), paragraph (a)]. Consequently, subsection (c) [Maine cite subsection (3)]does not adopt the first-to-file-or-perfect formulation.

4. Holder of Agricultural Lien and Production-Money Security Interest. Subsection (e) [Maine cite subsection (5)] deals with a creditor who holds both an agricultural lien and an Article 9 [Maine cite Article 9-A] production-money security interest in the same collateral. In these cases, the priority rules applicable to agricultural liens govern. The creditor can avoid this result by waiving its agricultural lien.

§9-1325.__Priority of security interests in transferred collateral

(1)__Except as otherwise provided in subsection (2), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:

(a)__The debtor acquired the collateral subject to the security interest created by the other person;

(b)__The security interest created by the other person was perfected when the debtor acquired the collateral; and

(c)__There is no period thereafter when the security interest is unperfected.

(2)__Subsection (1) subordinates a security interest only if the security interest:

(a)__Otherwise would have priority solely under section 9- 1322, subsection (1) or section 9-1324; or

(b) Arose solely under section 2-711, subsection (3) or 2- 1508(5), subsection (5).

Official Comment