336.9-105 Control of electronic chattel paper.
A secured party has control of electronic chattel paper if the record or records comprising the chattel paper are created, stored, and assigned in such a manner that:
(1) a single authoritative copy of the record or records exists which is unique, identifiable, and, except as otherwise provided in paragraphs (4), (5), and (6), unalterable;
(2) the authoritative copy identifies the secured party as the assignee of the record or records;
(3) the authoritative copy is communicated to and maintained by the secured party or its designated custodian;
(4) copies or revisions that add or change an identified assignee of the authoritative copy can be made only with the participation of the secured party;
(5) each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and
(6) any revision of the authoritative copy is readily identifiable as an authorized or unauthorized revision.
HIST: 2000 c 399 art 1 s 5
* NOTE: This section, as added by Laws 2000, chapter 399, *article 1, section 5, is effective July 1, 2001. Laws 2000, *chapter 399, article 1, section 130.
* NOTE: Minnesota Statutes 1998, section 336.9-105, which *reads as follows, is repealed July 1, 2001. Laws 2000, chapter *399, article 1, section 130.
* "336.9-105 Definitions and index of definitions.
* (1) In this article unless the context otherwise requires:
* (a) "Account debtor" means the person who is obligated on *an account, chattel paper or general intangible;
* (b) "Chattel paper" means a writing or writings which *evidence both a monetary obligation and a security interest in *or a lease of specific goods, but a charter or other contract *involving the use or hire of a vessel is not chattel paper. *When a transaction is evidenced both by such a security *agreement or a lease and by an instrument or a series of *instruments, the group of writings taken together constitutes *chattel paper;
* (c) "Collateral" means the property subject to a security *interest, and includes accounts and chattel paper which have *been sold;
* (d) "Debtor" means the person who owes payment or other *performance of the obligation secured, whether or not the person *owns or has rights in the collateral, and includes the seller of *accounts or chattel paper. Where the debtor and the owner of *the collateral are not the same person, the term "debtor" means *the owner of the collateral in any provision of the article *dealing with the collateral, the obligor in any provision *dealing with the obligation, and may include both where the *context so requires;
* (e) "Deposit account" means a demand, time, savings, *passbook or like account maintained with a bank, savings *association, credit union or like organization, other than an *account evidenced by a certificate of deposit;
* (g) "Encumbrance" includes real estate mortgages and other *liens on real estate and all other rights in real estate that *are not ownership interests;
* (h) "Goods" includes all things which are movable at the *time the security interest attaches or which are fixtures *(section 336.9-313), but does not include money, documents, *instruments, investment property, accounts, chattel paper, *general intangibles, or minerals or the like (including oil and *gas) before extraction. "Goods" also include standing timber *which is to be cut and removed under a conveyance or contract *for sale, the unborn young of animals and growing crops;
* (i) "Instrument" means a negotiable instrument (defined in *section 336.3-104) or any other writing which evidences a right *to the payment of money and is not itself a security agreement *or lease and is of a type which is in ordinary course of *business transferred by delivery with any necessary endorsement *or assignment. The term does not include investment property;
* (j) "Mortgage" means a consensual interest created by a *real estate mortgage, a trust deed on real estate, or the like;
* (k) An advance is made "pursuant to commitment" if the *secured party has made a binding promise to make it, whether or *not a subsequent event of default or other event not within the *secured party's control has relieved or may relieve the secured *party from the obligation;
* (l) "Security agreement" means an agreement which creates *or provides for a security interest;
* (m) "Secured party" means a lender, seller or other person *in whose favor there is a security interest, including a person *to whom accounts or chattel paper have been sold. When the *holders of obligations issued under an indenture of trust, *equipment trust agreement or the like are represented by a *trustee or other person, the representative is the secured *party; and
* (n) "Transmitting utility" means any person engaged in the *railroad, street railway or trolley bus business, the electric *or electronics communications transmission business, the *transmission of goods by pipeline, or the transmission or the *production and transmission of electricity, steam, gas or water, *or the provision of sewer service. Any person filing a *financing statement under this article and under authority of *the provisions of Minnesota Statutes 1974, Sections 300.111 to *300.115 shall be deemed a "transmitting utility" hereunder.
* (2) Other definitions applying to this article and the *sections in which they appear are:
* "Account," section 336.9-106.
* "Attach," section 336.9-203.
* "Commodity contract," section 336.9-115.
* "Commodity customer," section 336.9-115.
* "Commodity intermediary," section 336.9-115.
* "Construction mortgage," section 336.9-313(1).
* "Consumer goods," section 336.9-109(1).
* "Control," section 336.9-115.
* "Equipment," section 336.9-109(2).
* "Farm products," section 336.9-109(3).
* "Fixture," section 336.9-313.
* "Fixture filing," section 336.9-313.
* "General intangibles," section 336.9-106.
* "Inventory," section 336.9-109(4).
* "Investment property," section 336.9-115.
* "Lien creditor," section 336.9-301(3).
* "Motor vehicle," section 336.9-401(7).
* "Proceeds," section 336.9-306(1).
* "Purchase money security interest," section 336.9-107.
* "United States," section 336.9-103.
* (3) The following definitions in other articles apply to *this article:
* "Broker," section 336.8-102.
* "Certificated security," section 336.8-102.
* "Check," section 336.3-104.
* "Clearing corporation," section 336.8-102.
* "Contract for sale," section 336.2-106.
* "Control," section 336.8-106.
* "Delivery," section 336.8-301.
* "Entitlement holder," section 336.8-102.
* "Financial asset," section 336.8-102.
* "Holder in due course," section 336.3-302.
* "Letter of credit," section 336.5-102.
* "Note," section 336.3-104.
* "Proceeds of a letter of credit," section 336.5-114(a).
* "Sale," section 336.2-106.
* "Securities intermediary," section 336.8-102.
* "Security," section 336.8-102.
* "Security certificate," section 336.8-102.
* "Security entitlement," section 336.8-102.
* "Uncertificated security," section 336.8-102.
* (4) In addition article 1 contains general definitions and *principles of construction and interpretation applicable *throughout this article."