Texas Business & Commerce Code

§ 9.618 — RIGHTS AND DUTIES OF CERTAIN SECONDARY OBLIGORS

BC § 9.618Title 1. UNIFORM COMMERCIAL CODE · Ch. 9. SECURED TRANSACTIONS · Art. F. DEFAULT

(a)A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:

(1)receives an assignment of a secured obligation from the secured party;

(2)receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or

(3)is subrogated to the rights of a secured party with respect to collateral.

(b)An assignment, transfer, or subrogation described in Subsection (a):

(1)is not a disposition of collateral under Section 9.610; and

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Legislative history

Added by Acts 1999, 76th Leg., ch. 414, Sec. 1.01, eff. July 1, 2001.