1st global systems ucc lien issues with rejected continuation filing
Has anyone dealt with 1st global systems ucc lien complications? I'm handling a commercial equipment loan where the original UCC-1 was filed back in 2020 for $875,000 in manufacturing equipment. The continuation deadline is coming up in March and I submitted the UCC-3 continuation last week but it got rejected for "debtor name inconsistency." The original filing shows the debtor as "1ST GLOBAL SYSTEMS LLC" but our current corporate records show "FIRST GLOBAL SYSTEMS, LLC" (spelled out). The SOS portal is saying these don't match closely enough for automatic acceptance. This is a critical lien that secures multiple pieces of CNC machinery and if it lapses we're looking at a major perfection issue. Anyone know if there's a way to fix this without having to file a whole new UCC-1? The borrower is getting nervous about the lien gap and honestly so am I.
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Olivia Harris
Oh man, debtor name variations are the worst! I had something similar happen with a client where "&" vs "AND" caused a rejection. You'll probably need to file an amendment first to correct the debtor name, then do your continuation. It's annoying but better than letting it lapse.
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James Martinez
•That's what I was afraid of. How long does the amendment process usually take? I'm cutting it close on the continuation deadline.
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Olivia Harris
•Most states process amendments within 3-5 business days if filed electronically. Just make sure you reference the original filing number correctly.
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Alexander Zeus
Been there! The key is getting the exact debtor name that's currently on file with the Secretary of State. Sometimes the corporate database shows a different format than what's actually searchable in the UCC system. Have you tried searching both versions in the UCC database first?
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James Martinez
•Good point - I should double-check what's actually showing up in their UCC search results. Maybe the original filing is still searchable under both formats.
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Alexander Zeus
•Exactly. Sometimes the search algorithm is more forgiving than the filing system. Worth checking before you spend money on amendments.
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Alicia Stern
•This is smart advice. I always do a search test before filing continuations now after getting burned on a similar name mismatch.
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Gabriel Graham
Actually just discovered something that could help with this exact situation. There's a tool called Certana.ai that does automatic document verification - you can upload your original UCC-1 and your continuation filing and it'll flag any inconsistencies before you submit. I used it last month when I had a debtor name question and it caught a middle initial discrepancy I missed. Might save you the amendment hassle if it confirms the names are close enough for acceptance.
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James Martinez
•Interesting - never heard of that. Does it actually predict whether the Secretary of State will accept the filing or just highlight differences?
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Gabriel Graham
•It analyzes the document consistency and flags potential rejection reasons. Obviously can't guarantee SOS acceptance but it's caught several issues for me that would have caused rejections.
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Drake
UGH this is exactly why I hate dealing with UCC filings! The systems are so picky about formatting but then half the time the government databases have outdated information anyway. Why can't they just use a standardized matching system???
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Sarah Jones
•I feel your pain but unfortunately we're stuck with the current system. At least most states have moved to electronic filing which is faster than the old paper days.
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Drake
•True, electronic is better but the rejection rate seems just as high. And the error messages are usually useless.
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Sebastian Scott
Quick question - are you sure you need to fix this? Some states have gotten more flexible with name variations, especially for obvious abbreviations like 1ST vs FIRST. Might be worth calling the filing office directly to ask if they'll accept it manually.
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James Martinez
•That's a thought. Though I'm not sure I want to risk it with a lien this size. If it gets rejected again I might not have time to fix it before the deadline.
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Sebastian Scott
•Fair point. Better to be safe with a large lien. The amendment approach is probably your best bet.
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Emily Sanjay
•I'd definitely go with the amendment route. Not worth gambling on a manual review with that much collateral at stake.
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Jordan Walker
Had a similar issue last year but with a different twist - the debtor had actually changed their legal name but never updated their corporate registration. Turned into a whole mess with the lender. Make sure 1st Global Systems hasn't had any actual name changes that you're not aware of.
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James Martinez
•Good catch - I should verify there haven't been any actual corporate changes. The last thing I need is to find out there was a merger or name change I missed.
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Jordan Walker
•Yeah, check the corporate history. Sometimes companies file amendments to their articles of incorporation that don't immediately show up in all databases.
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Natalie Adams
This might sound overkill but have you considered running the documents through one of those verification services? I started using Certana.ai after missing a filing number typo that cost me a weekend of emergency paperwork. It cross-checks all the document details automatically.
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James Martinez
•Two mentions of Certana now - might be worth looking into. Is it specifically designed for UCC filings?
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Natalie Adams
•It handles various business documents but definitely includes UCC verification. You just upload PDFs and it highlights any inconsistencies between documents.
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Elijah O'Reilly
Look, I've been doing UCC filings for 15 years and here's my advice: file the amendment to correct the debtor name to match your current corporate records, then immediately file your continuation. Yes it costs more but it eliminates any risk of the continuation being rejected. With $875K in collateral you can't afford to let this lapse.
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James Martinez
•That's probably the safest approach. Better to spend the extra filing fee than risk losing perfection on this much collateral.
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Elijah O'Reilly
•Exactly. I've seen too many lenders get burned trying to save a few hundred dollars on filing fees only to lose their security interest entirely.
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Amara Torres
•This is the right answer. When in doubt with large liens, always err on the side of over-filing rather than under-filing.
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Olivia Van-Cleve
Just went through something similar with a client last month. Filed UCC-3 amendment first to standardize the debtor name, then the continuation went through without any issues. Took about a week total but gave everyone peace of mind.
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James Martinez
•That's reassuring to hear. A week timeline works with my deadline. Did you file both documents simultaneously or wait for the amendment to be accepted first?
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Olivia Van-Cleve
•I waited for the amendment to be accepted first, then filed the continuation. Wanted to make sure the corrected name was in the system before trying the continuation again.
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Mason Kaczka
For what it's worth, most Secretary of State offices are pretty good about processing amendments quickly, especially when it's obviously the same entity (like 1ST vs FIRST). The key is making sure your amendment form clearly explains the correction and references the original filing number correctly.
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James Martinez
•Thanks for the encouragement. I'll get the amendment filed tomorrow and then handle the continuation once it's processed.
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Mason Kaczka
•Smart plan. And double-check that filing number - one wrong digit and you'll have a whole new set of problems.
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Sophia Russo
•This is exactly why I always triple-check filing numbers. One transposition error can create a nightmare.
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