A.B. 92

 

Assembly Bill No. 92–Committee on Judiciary

 

February 13, 2003

____________

 

Referred to Committee on Judiciary

 

SUMMARY—Makes various changes to requirements governing filing and form of certain documents. (BDR 8‑271)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to secured transactions; revising provisions of the Uniform Commercial Code governing the filing of certain records; authorizing the Secretary of State to prescribe a form for the filing and recording of certain documents and for giving notice of intent to sell a repossessed vehicle; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1. NRS 104.9516 is hereby amended to read as follows:

1-2  104.9516  1.  Except as otherwise provided in subsection 2,

1-3  communication of a record to a filing office and tender of the filing

1-4  fee or acceptance of the record by the filing office constitutes filing.

1-5  2.  Filing does not occur with respect to a record that a filing

1-6  office refuses to accept because:

1-7  (a) The record is not communicated by a method or medium of

1-8  communication authorized by the filing office;

1-9  (b) An amount equal to or greater than the applicable filing fee is

1-10  not tendered;

1-11      (c) The filing office is unable to index the record because:

1-12          (1) In the case of an initial financing statement, the record does

1-13  not provide a name for the debtor;

1-14          (2) In the case of an amendment or correction statement, the

1-15  record:

1-16             (I) Does not identify the initial financing statement as

1-17  required by NRS 104.9512 or 104.9518, as applicable; or

2-1           (II) Identifies an initial financing statement whose

2-2  effectiveness has lapsed under NRS 104.9515;

2-3       (3) In the case of an initial financing statement that provides

2-4  the name of a debtor identified as a natural person or an amendment

2-5  that provides a name of a debtor identified as a natural person which

2-6  was not previously provided in the financing statement to which the

2-7  record relates, the record does not identify the debtor’s last name; or

2-8       (4) In the case of a record filed or recorded in the filing office

2-9  described in paragraph (a) of subsection 1 of NRS 104.9501, the

2-10  record does not provide a sufficient description of the real property to

2-11  which it relates;

2-12      (d) In the case of an initial financing statement or an amendment

2-13  that adds a secured party of record, the record does not provide a name

2-14  and mailing address for the secured party of record;

2-15      (e) In the case of an initial financing statement or an amendment

2-16  that provides a name of a debtor which was not previously provided in

2-17  the financing statement to which the amendment relates, the record

2-18  does not:

2-19          (1) Provide a mailing address for the debtor;

2-20          (2) Indicate whether the debtor is a natural person or an

2-21  organization; or

2-22          (3) If the financing statement indicates that the debtor is an

2-23  organization, provide:

2-24             (I) A type of organization for the debtor;

2-25             (II) A jurisdiction of organization for the debtor; or

2-26             (III) An organizational identification number for the debtor

2-27  or indicate that the debtor has none;

2-28      (f) In the case of an assignment reflected in an initial financing

2-29  statement under subsection 1 of NRS 104.9514 or an amendment filed

2-30  under subsection 2 of that section, the record does not provide a name

2-31  and mailing address for the assignee; or

2-32      (g) In the case of a continuation statement, the record is not filed

2-33  within the 6-month period prescribed by subsection 4 of

2-34  NRS 104.9515.

2-35      (h) The record lists a public official of a governmental unit as a

2-36  debtor and the public official has not authorized the filing of such

2-37  information in an authenticated record as required pursuant to

2-38  NRS 104.9509.

2-39      3.  For purposes of subsection 2:

2-40      (a) A record does not provide information if the filing office is

2-41  unable to read or decipher the information; and

2-42      (b) A record that does not indicate that it is an amendment or

2-43  identify an initial financing statement to which it relates, as required

2-44  by NRS 104.9512, 104.9514 or 104.9518, is an initial financing

2-45  statement.

2-46      4.  A record that is communicated to the filing office with tender

2-47  of the filing fee, but which the filing office refuses to accept for a


3-1  reason other than one set forth in subsection 2, is effective as a filed

3-2  record except as against a purchaser of the collateral which gives

3-3  value in reasonable reliance upon the absence of the record from the

3-4  files.

3-5  Sec. 2.  NRS 104.9521 is hereby amended to read as follows:

3-6  104.9521  1.  A filing office that accepts written records may not

3-7  refuse to accept a written initial financing statement [in the following]

3-8  submitted on a form prescribed and made available by the Secretary

3-9  of State, except for a reason set forth in subsection 2 of NRS 104.9516

3-10  . [:

 

4-1  UCC FINANCING STATEMENT

4-2  FOLLOW INSTRUCTIONS (front and back) CAREFULLY

5-1  A.  NAME & PHONE OF CONTACT AT FILER [optional]

 

 

5-2  B.  SEND ACKNOWLEDGMENT TO: (Name and Address)

 

 

 

 

5-3 

 

 

 

 

 

5-4  THE ABOVE SPACE IS FOR

5-5  FILING OFFICE USE ONLY

6-1  1.  DEBTOR’S EXACT FULL LEGAL NAME - insert only one debtor name (1a or 1b) - do not abbreviate or combine names

 

6-2  OR

6-3  1a. ORGANIZATION’S NAME

 

6-4  1b. INDIVIDUAL’S LAST NAME

6-5  FIRST NAME

6-6  MIDDLE NAME

6-7  SUFFIX

 

 

 

 

6-8  1c. MAILING ADDRESS

6-9  CITY

6-10  STATE

6-11  POSTAL CODE

6-12  COUNTRY

 

6-13  1d. TAX ID #:
SSN OR EIN

6-14  ADD’L INFO RE-

6-15  ORGANIZATION

6-16  DEBTOR

6-17  1e. TYPE OF ORGANIZATION

6-18  1f. JURISDICTION OF ORGANIZATION

6-19  1g. ORGANIZATIONAL ID #, if any

 

6-20  oNone

6-21  2.  ADDITIONAL DEBTOR’S EXACT FULL LEGAL NAME - insert only one debtor name (2a or 2b) - do not abbreviate

6-22   or combine names

 

6-23  OR

6-24  2a. ORGANIZATION’S NAME

 

6-25  2b. INDIVIDUAL’S LAST NAME

6-26   FIRST NAME

6-27  MIDDLE NAME

6-28  SUFFIX

 

6-29  2c. MAILING ADDRESS

6-30  CITY

6-31  STATE

6-32  POSTAL CODE

6-33  COUNTRY

 

6-34  2d. TAX ID #:
SSN OR EIN

6-35  ADD’L INFO RE-

6-36  ORGANIZATION

6-37  DEBTOR

6-38  2e. TYPE OF ORGANIZATION

6-39  2f. JURISDICTION OF ORGANIZATION

6-40  2g. ORGANIZATIONAL ID #, if any

 

6-41  oNone

6-42  3.  SECURED PARTY’S NAME (or NAME of TOTAL ASSIGNEE of ASSIGNOR S/P) - insert only one secured party name (3a or 3b)

 

6-43  OR

6-44  3a. ORGANIZATION’S NAME

 

6-45  3b. INDIVIDUAL’S LAST NAME

6-46  FIRST NAME

6-47  MIDDLE NAME

6-48  SUFFIX

 

 

 

 

6-49  3c. MAILING ADDRESS

6-50  CITY

6-51  STATE

6-52  POSTAL CODE

6-53  COUNTRY

 

6-54  4.  This FINANCING STATEMENT covers the following collateral:

 

 

 

 

 

 

7-1  5.  ALTERNATIVE DESIGNATION [if applicable]: o LESSEE/LESSOR o CONSIGNEE/CONSIGNOR o BAILEE/BAILOR

7-2  o SELLER/BUYER o AG. LIEN o NON-UCC FILING

7-3  6.  o This FINANCING STATEMENT is to be filed [for record] (or recorded) in the REAL ESTATE RECORDS.

7-4     Attach Addendum [if applicable]

7-5  7.  Check to REQUEST SEARCH REPORT(S) on Debtor(s)     o All Debtors o Debtor 1  o Debtor 2

7-6  [ADDITIONAL FEE]    [optional]

7-7  8.  OPTIONAL FILER REFERENCE DATA

 

7-8  NATIONAL UCC FINANCING STATEMENT (FORM UCC1) (REV. 07/29/98)

 

 

8-1  UCC FINANCING STATEMENT ADDENDUM

8-2  FOLLOW INSTRUCTIONS (front and back) CAREFULLY

8-3  9.  NAME OF FIRST DEBTOR (1a or 1b) ON RELATED FINANCING STATEMENT

 

8-4  OR

8-5  9a. ORGANIZATION’S NAME

 

8-6  9b. INDIVIDUAL’S LAST NAME

8-7  FIRST NAME

8-8  MIDDLE NAME, SUFFIX

 

8-9  10.  MISCELLANEOUS:

 

 

 

 

 

 

 

8-10 

 

 

 

 

 

 

 

 

 

 

 

 

8-11  THE ABOVE SPACE IS FOR

8-12   FILING OFFICE USE ONLY

9-1  11.  ADDITIONAL DEBTOR’S EXACT FULL LEGAL NAME – insert only one name (11a or 11b) - do not abbreviate or combine names

 

9-2  OR

9-3  11a. ORGANIZATION’S NAME

 

9-4  11b. INDIVIDUAL’S LAST NAME

9-5  FIRST NAME

9-6  MIDDLE NAME

9-7  SUFFIX

 

9-8  11c. MAILING ADDRESS

9-9  CITY

9-10  STATE

9-11  POSTAL CODE

9-12  COUNTRY

9-13  11d. TAX ID #:

9-14  SSN OR EIN

9-15  ADD’L INFO RE- ORGANIZATION DEBTOR

9-16  11e. TYPE OF ORGANIZATION

9-17  11f. JURISDICTION OF ORGANIZATION

9-18  11g.ORGANIZATIONAL ID #, if any

 

9-19  oNone

9-20  12.  o ADDITIONAL SECURED PARTY’S or o ASSIGNOR S/P’S NAME – insert only one name (12a or 12b)

 

9-21  OR

9-22  12a. ORGANIZATION’S NAME

 

9-23  12b. INDIVIDUAL’S LAST NAME

 

9-24  FIRST NAME

9-25  MIDDLE NAME

9-26  SUFFIX

9-27  12c. MAILING ADDRESS

9-28  CITY

9-29  STATE

9-30  POSTAL CODE

9-31  COUNTRY

 

9-32  13.  This FINANCING STATEMENT covers o timber to be cut or

9-33        o as-extracted collateral, or is filed as a o fixture filing.

9-34  14.  Description of real estate:

 

 

 

 

 

 

 

 

 

9-35  15.  Name and address of a RECORD OWNER of above-described real

9-36        estate (if Debtor does not have a record interest):

 

9-37  16.  Additional collateral description:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

10-1  17.  Check only if applicable and check only one box:

10-2        Debtor is a o Trust or

10-3       o Trustee acting with respect to property held in trust or

10-4       o Decedent’s Estate

 

10-5  18.  Check only if applicable and check only one box:

10-6       o Debtor is a TRANSMITTING UTILITY

10-7       o Filed in connection with a Manufactured-Home Transaction   – effective 30 years

10-8       o Filed in connection with a Public-Finance Transaction –
      effective 30 years

10-9  NATIONAL UCC FINANCING STATEMENT (FORM UCC1Ad) (REV. 07/29/98)]

 

11-1      2.  A filing office that accepts written records may not refuse to

11-2  accept a written record [in the following] submitted on a form

11-3  prescribed and made available by the Secretary of State, except for a

11-4  reason set forth in subsection 2 of NRS 104.9516 . [:

 

12-1  UCC FINANCING STATEMENT AMENDMENT

12-2  FOLLOW INSTRUCTIONS (front and back) CAREFULLY

13-1  A.  NAME & PHONE OF CONTACT AT FILER [optional]

 

 

13-2  B.  SEND ACKNOWLEDGMENT TO: (Name and Address)

 

 

 

 

13-3 

 

 

 

 

13-4  THE ABOVE SPACE IS FOR

13-5  FILING OFFICE USE ONLY

14-1  1a.  INITIAL FINANCING STATEMENT FILE #

14-2  1b. This FINANCING STATEMENT AMENDMENT is to be filed [for
     record] (or recorded) in the o REAL ESTATE RECORDS.

14-3  2.  o TERMINATION: Effectiveness of the Financing Statement identified above is terminated with respect to security interest(s) of the

14-4  Secured Party authorizing this Termination Statement.

14-5  3.  o CONTINUATION: Effectiveness of the Financing Statement identified above with respect to security interest(s) of the Secured Party authorizing this Continuation Statement is continued for the additional period provided by applicable law.

14-6  4.  o ASSIGNMENT (full or partial): Give name of assignee in item 7a or 7b and address of assignee in item 7c; and also give name of assignor in item 9.

14-7  5.  o AMENDMENT (PARTY INFORMATION): This Amendment affects o Debtor or o Secured Party of record.

14-8     Check only one of these two boxes.

14-9     Also check one of the following three boxes and provide appropriate information in items 6 and/or 7.

14-10  o CHANGE name and/or address: Give current record name in item 6a or 6b; also give new name (if name change) in item 7a or 7b and/or new address (if address change) in item 7c.

14-11  o DELETE name: give record name to be deleted in item 6a or 6b.

14-12  o ADD name: Complete item 7a or 7b, and
also item 7c; also complete items 7d-7g (if applicable).

 

14-13  6.  CURRENT RECORD INFORMATION:

 

14-14  OR

14-15  6a. ORGANIZATION’S NAME

 

14-16  6b. INDIVIDUAL’S LAST NAME

14-17  FIRST NAME

14-18  MIDDLE NAME

14-19  SUFFIX

 

14-20  7.  CHANGED (NEW) OR ADDED INFORMATION:

 

14-21  OR

14-22  7a. ORGANIZATION’S NAME

 

14-23  7b. INDIVIDUAL’S LAST NAME

 

14-24  FIRST NAME

14-25  MIDDLE NAME

14-26  SUFFIX

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

15-1  7c.  MAILING ADDRESS

15-2  CITY

15-3  STATE

15-4  POSTAL CODE

15-5  COUNTRY

 

 

15-6  7d.  TAX ID #:

15-7  SSN OR EIN

15-8  ADD’L INFO RE- ORGANIZATION DEBTOR

15-9  7e. TYPE OF ORGANIZATION

15-10  7f. JURISDICTION OF ORGANIZATION

15-11  7g.ORGANIZATIONAL ID #, if any

 

15-12  oNone

15-13  8.  o AMENDMENT (COLLATERAL CHANGE): check only one box

15-14       Describe collateral o deleted or o added, or give entire o restated collateral description, or describe collateral o assigned.

 

 

15-15  9.  NAME OF SECURED PARTY OF RECORD AUTHORIZING THIS AMENDMENT (name of assignor, if this is an assignment). If this is an

15-16  Amendment authorized by a Debtor which adds collateral or adds the authorizing Debtor, or if this is a Termination authorized by a Debtor, check here o and enter name of DEBTOR authorizing this Amendment.

 

15-17  OR

15-18  9a. ORGANIZATION’S NAME

 

15-19  9b. INDIVIDUAL’S LAST NAME

15-20  FIRST NAME

15-21  MIDDLE NAME

15-22  SUFFIX

 

15-23  10.  OPTIONAL FILER REFERENCE DATA

 

15-24  NATIONAL UCC FINANCING STATEMENT AMENDMENT (FORM UCC3) (REV. 07/29/98)

 

15-25  UCC FINANCING STATEMENT ADDENDUM

15-26  FOLLOW INSTRUCTIONS (front and back) CAREFULLY

 

15-27  11.  INITIAL FINANCING STATEMENT FILE # (same as item 1a on amendment form)

 

 

15-28  12.  NAME OF PARTY AUTHORIZING THIS AMENDMENT (same as item 9 on Amendment form)

 

 

15-29  OR

15-30  12a. ORGANIZATION’S NAME

 

 

15-31  12b. INDIVIDUAL’S LAST NAME

15-32  FIRST NAME

15-33  MIDDLE NAME, SUFFIX

 

 

15-34  13.  Use this space for additional information

 

 

 

15-35  THE ABOVE SPACE IS FOR FILING OFFICE USE ONLY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

15-36  NATIONAL UCC FINANCING STATEMENT AMENDMENT ADDENDUM

15-37  (FORM UCC3Ad) (REV. 07/29/98)

16-1      3.  A form that a filing office may not refuse to accept under

16-2  subsection 1 or 2 must conform to the format prescribed for the form


17-1  by the National Conference of Commissioners on Uniform State

17-2  Laws.

17-3      4.] 3.  A filing officer may add optional blocks for the address of

17-4  the secured party or the address of the debtor to any form or record.

17-5      Sec. 3.  NRS 108.889 is hereby amended to read as follows:

17-6      108.889  1.  To perfect the lien provided for in NRS 108.887, a

17-7  producer must, not later than 45 days after the date on which the lien

17-8  attaches pursuant to NRS 108.888, file a notice of the lien in the

17-9  Office of the Secretary of State[.] in the manner set forth in NRS

17-10  104.9516 and on a form prescribed and made available by the

17-11  Secretary of State.

17-12     2.  A notice of lien that is filed pursuant to subsection 1 must be

17-13  verified by the oath of the producer and must contain:

17-14     (a) The name of the producer;

17-15     (b) The name of the processor;

17-16     (c) A statement of the terms and conditions of the contract

17-17  between the producer and the processor; and

17-18     (d) The total amount owed to the producer by the processor under

17-19  the terms of the contract, after deducting any applicable credits or

17-20  offsets.

17-21     3.  Not later than 24 hours after filing a notice of lien pursuant to

17-22  this section, a producer shall send a copy of the notice of lien to the

17-23  processor by certified mail.

17-24     Sec. 4.  NRS 247.110 is hereby amended to read as follows:

17-25     247.110  1.  When a document authorized by law to be recorded

17-26  is deposited in the county recorder’s office for recording, the county

17-27  recorder shall:

17-28     (a) Endorse upon it the time when it was received, noting:

17-29         (1) The year, month, day, hour and minute of its reception;

17-30         (2) The document number; and

17-31         (3) The amount of fees collected for recording the document.

17-32     (b) Record the document without delay, together with the

17-33  acknowledgments, proofs and certificates, written upon or annexed to

17-34  it, with the plats, surveys, schedules and other papers thereto annexed,

17-35  in the order in which the papers are received for recording.

17-36     (c) Note at the upper right corner of the record and upon the

17-37  document, except a map, so recorded the exact time of its reception,

17-38  and the name of the person at whose request it was recorded.

17-39     (d) Upon request, place a stamp or other notation upon one copy

17-40  of the document presented at the time of recording to reflect the

17-41  information endorsed upon the original pursuant to subparagraphs (1)

17-42  and (2) of paragraph (a) and as evidence that he received the original,

17-43  and return the copy to the person who presented it.

17-44     2.  In addition to the information described in paragraph (a) of

17-45  subsection 1, a county recorder may endorse upon a document the

17-46  book and page where the document is recorded.

18-1      3.  A county recorder shall not refuse to record a document on the

18-2  grounds that the document is not legally effective to accomplish the

18-3  purposes stated therein.

18-4      4.  A document, except a map, that is submitted for recording

18-5  must[:] be on a form prescribed and made available by the Secretary

18-6  of State if required pursuant to chapter 104 of NRS for the type of

18-7  filing or must:

18-8      (a) Be on paper that is 8 1/2 inches by 11 inches in size;

18-9      (b) Have a margin of 1 inch on the left and right sides and at the

18-10  bottom of each page; and

18-11     (c) Have a space of 3 inches by 3 inches at the upper right corner

18-12  of the first page and have a margin of 1 inch at the top of each

18-13  succeeding page.

18-14     Sec. 5.  NRS 482.516 is hereby amended to read as follows:

18-15     482.516  1.  Any provision in any security agreement for the sale

18-16  of a vehicle to the contrary notwithstanding, at least 10 days’ written

18-17  notice of intent to sell a repossessed vehicle must be given to all

18-18  persons liable on the security agreement. The notice must be given in

18-19  person or sent by mail directed to the address of the persons shown on

18-20  the security agreement, unless such persons have notified the holder in

18-21  writing of a different address.

18-22     2.  The notice[:

18-23     (a) Must set forth that there is a right to redeem the vehicle and the

18-24  total amount required as of the date of the notice to redeem;

18-25     (b) May inform such persons of their privilege of reinstatement of

18-26  the security agreement, if the holder extends such a privilege;

18-27     (c) Must give notice of the holder’s intent to resell the vehicle at

18-28  the expiration of 10 days from the date of giving or mailing the notice;

18-29     (d) Must disclose the place at which the vehicle will be returned to

18-30  the buyer upon redemption or reinstatement; and

18-31     (e) Must designate the name and address of the person to whom

18-32  payment must be made.] required by this section must be provided on

18-33  a form prescribed and made available by the Secretary of State.

18-34     3.  During the period provided under the notice, the person or

18-35  persons liable on the security agreement may pay in full the

18-36  indebtedness evidenced by the security agreement. Such persons are

18-37  liable for any deficiency after sale of the repossessed vehicle only if

18-38  the notice [prescribed by this section] is given within 60 days after

18-39  repossession . [and includes an itemization of the balance and of any

18-40  costs or fees for delinquency, collection or repossession. In addition,

18-41  the notice must either set forth the computation or estimate of the

18-42  amount of any credit for unearned finance charges or canceled

18-43  insurance as of the date of the notice or state that such a credit may be

18-44  available against the amount due.]

 

18-45  H