LD 2245
pg. 58
Page 57 of 493 An Act to Adopt the Model Revised Article 9 Secured Transactions Page 59 of 493
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LR 1087
Item 1

 
(1)__As used in this section, unless the context otherwise
indicates, the following terms have the following meanings.

 
(a)__"Purchase-money collateral" means goods or software
that secures a purchase-money obligation incurred with
respect to that collateral; and

 
(b)__"Purchase-money obligation" means an obligation of an
obligor incurred as all or part of the price of the
collateral or for value given to enable the debtor to
acquire rights in or the use of the collateral if the value
is in fact so used.

 
(2)__A security interest in goods is a purchase-money security
interest:

 
(a)__To the extent that the goods are purchase-money
collateral with respect to that security interest;

 
(b)__If the security interest is in inventory that is or was
purchase-money collateral, also to the extent that the
security interest secures a purchase-money obligation
incurred with respect to other inventory in which the
secured party holds or held a purchase-money security
interest; and

 
(c)__Also to the extent that the security interest secures a
purchase-money obligation incurred with respect to software
in which the secured party holds or held a purchase-money
security interest.

 
(3)__A security interest in software is a purchase-money
security interest to the extent that the security interest also
secures a purchase-money obligation incurred with respect to
goods in which the secured party holds or held a purchase-money
security interest if:

 
(a)__The debtor acquired its interest in the software in an
integrated transaction in which it acquired an interest in
the goods; and

 
(b)__The debtor acquired its interest in the software for
the principal purpose of using the software in the goods.

 
(4)__The security interest of a consignor in goods that are
the subject of a consignment is a purchase-money security
interest in inventory.

 
(5)__In a transaction other than a consumer-goods transaction,
if the extent to which a security interest is a


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