Subsection (g) [Maine cite subsection (7)] prohibits the secured party in consumer transactions from accepting collateral in partial satisfaction of the obligation it secures. If a secured party attempts an acceptance in partial satisfaction in a consumer transaction, the attempted acceptance is void.

§9-1621.__Notification of proposal to accept collateral

(1)__A secured party that desires to accept collateral in full or partial satisfaction of the obligation it secures shall send its proposal to:

(a)__Any person from which the secured party has received, before the debtor consented to the acceptance, an authenticated notification of a claim of an interest in the collateral;

(b)__Any other secured party or lienholder that, 10 days before the debtor consented to the acceptance, held a security interest in or other lien on the collateral perfected by the filing of a financing statement that:

(i)__Identified the collateral;

(ii)__Was indexed under the debtor's name as of that date; and

(iii)__Was filed in the office or offices in which to file a financing statement against the debtor covering the collateral as of that date; and

(c)__Any other secured party that, 10 days before the debtor consented to the acceptance, held a security interest in the collateral perfected by compliance with a statute, regulation or treaty described in section 9-1311, subsection (1).

(2)__A secured party that desires to accept collateral in partial satisfaction of the obligation it secures shall send its proposal to any secondary obligor in addition to the persons described in subsection (1).

Official Comment