| | | The definition of "consignment" requires that the goods be | | delivered "to a merchant for the purpose of sale." If the goods | | are delivered for another purpose as well, such as milling or | | processing, the transaction is a consignment nonetheless because | | a purpose of the delivery is "sale." On the other hand, if a | | merchant-processor-bailee will not be selling the goods itself | | but will be delivering to buyers to which the owner-bailor agreed | | to sell the goods, the transaction would not be a consignment. |
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| | | 15. "Accounting." This definition describes the record and | | information that a debtor is entitled to request under Section 9- | | 210 [Maine cite section 9-1210]. |
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| | | 16. "Document." The definition of "document" is unchanged in | | substance from the corresponding definitions in former Section 9- | | 105. See Section 1-201(15) and Comment 15. |
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| | | 17. "Encumbrance"; "Mortgage." The definitions of | | "encumbrance" and "mortgage" are unchanged in substance from the | | corresponding definitions in former Section 9-105 [Maine cite | | section 9-1105]. They are used primarily in the special real- | | property-related priority and other provisions relating to crops, | | fixtures, and accessions. |
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| | | 18. "Fixtures." This definition is unchanged in substance | | from the corresponding definition in former Section 9313. See | | Section 9-334 [Maine cite section 9-1334] (priority of security | | interests in fixtures and crops). |
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| | | 19. "Good Faith." This Article expands the definition of | | "good faith" to include "the observance of reasonable commercial | | standards of fair dealing." The definition in this section | | applies when the term is used in this Article, and the same | | concept applies in the context of this Article for purposes of | | the obligation of good faith imposed by Section 1-203. See | | subsection (c) [Maine cite subsection (3)]. |
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| | | 20. "Lien Creditor" This definition is unchanged in | | substance from the corresponding definition in former Section 9- | | 301. |
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| | | 21. "New Value." This Article deletes former Section 9108. | | Its broad formulation of new value, which embraced the taking of | | after-acquired collateral for a pre-existing claim, was | | unnecessary, counterintuitive, and ineffective for its original | | purpose of sheltering after-acquired collateral from attack as a | | voidable preference in bankruptcy. The new definition derives | | from Bankruptcy Code Section 547(a). The term is used with | | respect to temporary perfection of security interests in | | instruments, certificated securities, or negotiable documents |
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