LD 2245
pg. 257
Page 256 of 493 An Act to Adopt the Model Revised Article 9 Secured Transactions Page 258 of 493
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LR 1087
Item 1

 
(3)__In cases not governed by subsections (4) to (8), a
security interest in fixtures is subordinate to a conflicting
interest of an encumbrancer or owner of the related real property
other than the debtor.

 
(4)__Except as otherwise provided in subsection (8), a
perfected security interest in fixtures has priority over a
conflicting interest of an encumbrancer or owner of the real
property if the debtor has an interest of record in or is in
possession of the real property and:

 
(a)__The security interest is a purchase-money security
interest;

 
(b)__The interest of the encumbrancer or owner arises before
the goods become fixtures; and

 
(c)__The security interest is perfected by a fixture filing
before the goods become fixtures or within 20 days
thereafter.

 
(5)__A perfected security interest in fixtures has priority
over a conflicting interest of an encumbrancer or owner of the
real property if:

 
(a)__The debtor has an interest of record in the real
property or is in possession of the real property and the
security interest:

 
(i)__Is perfected by a fixture filing before the
interest of the encumbrancer or owner is of record; and

 
(ii)__Has priority over any conflicting interest of a
predecessor in title of the encumbrancer or owner;

 
(b)__Before the goods become fixtures, the security interest
is perfected by any method permitted by this Article and the
fixtures are readily removable:

 
(i)__Factory or office machines;

 
(ii)__Equipment that is not primarily used or leased
for use in the operation of the real property; or

 
(iii)__Replacements of domestic appliances that are
consumer goods;

 
(c)__The conflicting interest is a lien on the real property
obtained by legal or equitable proceedings after the


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