(a)__The collateral by those terms or as investment property; or

(b)__The underlying financial asset or commodity contract.

(5)__A description only by type of collateral defined in this Title is an insufficient description of:

(a)__A commercial tort claim; or

(b)__In a consumer transaction, consumer goods, a security entitlement, a securities account or a commodity account.

Official Comment

1. Source. Former Sections 9-110, 9-115(3).

2. General Rules. Subsection (a) [Maine cite subsection (1)] retains substantially the same formulation as former Section 9- 110. Subsection (b) [Maine cite subsection (2)] expands upon subsection (a) [Maine cite subsection (1)] by indicating a variety of ways in which a description might reasonably identify collateral. Whereas a provision similar to subsection (b) [Maine cite subsection (2)] was applicable only to investment property under former Section 9-115(3), subsection (b) applies to all types of collateral, subject to the limitation in subsection (d) [Maine cite subsection (4)]. Subsection (b) [Maine cite subsection (2)] is subject to subsection (c) [Maine cite subsection (3)], which follows prevailing case law and adopts the view that an "all assets" or "all personal property" description for purposes of a security agreement is not sufficient. Note, however, that under Section 9-504 [Maine cite section 9-1504], a financing statement sufficiently indicates the collateral if it "covers all assets or all personal property."

The purpose of requiring a description of collateral in a security agreement under Section 9-203 [Maine cite section 9- 1203] is evidentiary. The test of sufficiency of a description under this section, as under former Section 9-110, is that the description do the job assigned to it: make possible the identification of the collateral described. This section rejects any requirement that a description is insufficient unless it is exact and detailed (the socalled "serial number" test).

3. After-Acquired Collateral. Much litigation has arisen over whether a description in a security agreement is sufficient