Page:United States Statutes at Large Volume 77.djvu/782

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[77 STAT. 750]
[77 STAT. 750]
PUBLIC LAW 88-000—MMMM. DD, 1963


PUBLIC LAW 88-243-DEC. 30, 1963

[77 STAT.

§28:9—106. Definitions: "account"; "contract right"; "general intangibles" "Account*' means any right to payment for goods sold or leased or for services rendered which is not evidenced by an instrument or chattel paper. "Contract right" means any right to payment under a contract not yet earned by performance and not evidenced by an instrument or chattel paper, "General intangibles" means any personal property (including things in action) other than goods, accounts, contract rights, chattel paper, documents and insti'uments. § 28:9—107. Definitions: "purchase money security interest" A security interest is a "purchase money secuiity interest" to the extent that it is (a) taken or retained by the seller of the collateral to secure all or part of its price; or (b) taken by a person who by making advances or incurring an obligation gives value to enable the debtor to acquire rights in or the use of collateral if such value is in fact so used. §28:9—108. When after-acquired collateral not security for antecedent debt AVhere a secured party makes an advance, incurs an obligation, releases a perfected security interest, or otherwise gives new value which is to be secured in whole or in part by after-acquired property his security interest in the after-acquired collateral shall be deemed to be taken for new value and not as security for an antecedent debt if the debtor acquires his rights in such collateral either in the ordinary course of his business or under a contract of purchase made pursuant to the security agreement within a reasonable time after new value is given. §28:9—109. Classification of goods; "consumer goods"; "equipment"; "farm products"; "inventory" Goods are (1) "consumer goods" if they are used or bought for use primarily for personal, family or household purposes; (2) "equipment" if they are used or bought for use primarily in business (including farming or a profession) or by a debtor who is a non-profit organization or a governmental subdivision or agency or if the goods are not included in the definitions of inventory, farm products or consumer goods; (3) "farm products" if they are crops or livestock or supplies used or produced in farming operations or if they are products of crops or livestock in their unmanufactured states (such as ginned cotton, woolclip, maple syrup, milk and eggs), and if they are in the possession of a debtor engaged in raising, fattening, grazing or other farming operations. If goods are farm products they are neither equipment nor inventory; (4) "inventory" if they are held by a person who holds them for sale or lease or to be furnished under contracts of service or if he has so furnished them, or if they are raw materials, work in process or materials used or consumed in a business. Inventory of a person is not to be classified as his equipment. § 28:9—110. Sufficiency of description For the purposes of this article any description of pereonal property or real estate is sufficient whether or not it is specific if it reasonably identifies what is described. §28:9—111. Applicability of bulk transfer laws The creation of a security interest is not a bulk transfer under article 6 (see section 28:6—103).