UCC Document Community

One more tip - if you're doing a lot of NC filings, consider bookmarking their business entity search page. I probably use it 3-4 times a week to verify debtor names before filing UCC documents.

This is such a common issue! I've been handling UCC filings for several years and NC really is one of the strictest states when it comes to exact name matching. What I always tell new paralegals is to never trust the loan documents for debtor names - always go straight to the Secretary of State database first. It's saved me countless rejections and the embarrassment of explaining to partners why a filing got bounced back. The temporary perfection clock is stressful enough without having to deal with name matching issues on top of it.

For future reference, always run your loan documents through a verification process before funding. Whether that's internal legal review or a service like Certana.ai, you need to catch these gaps early. The distinction between promissory notes and security agreements trips up even experienced lenders sometimes.

This is a really common issue that catches a lot of lenders off guard. Based on what you've described, it sounds like you may have an attachment problem (the security agreement part) but definitely have a perfection problem (no UCC-1 filing). The other creditor likely has priority if they properly perfected first, regardless of when your note was signed. I'd strongly recommend getting an emergency consultation with a UCC attorney ASAP - don't wait until Monday. Some states allow for late filings that can still protect you against future creditors, and there might be other legal strategies available depending on the specific language in your documents and the other creditor's filing. Time is critical here, especially with equipment that could be repossessed.

Good luck with your filing! NY UCC amendments are pretty straightforward once you know the process. Just take your time with the details and you should be fine.

Just to add one more perspective - I handle UCC filings regularly for our firm and NY is actually one of the more forgiving states once you get the process down. The key things everyone mentioned are spot on: exact debtor name matching, original filing number reference, and using current forms. I'd also suggest keeping a copy of your original UCC-1 handy when filling out the amendment so you can reference it field by field. The electronic system will catch obvious errors before you submit, which helps avoid some of the common mistakes. Take your time with it and you'll be fine!

Update us when you get this resolved! I'm curious how long it takes them to fix their mistake once you contact them about the missing termination.

This is frustrating but unfortunately pretty common. Banks often have separate departments handling settlements vs UCC filings and they don't always communicate. The good news is you have clear grounds to demand they fix this - your settlement agreement should have language about releasing all security interests. I'd suggest calling them Monday with your settlement paperwork in hand and asking to speak with someone who can handle UCC-3 terminations immediately. Don't let them transfer you around - stay on the line until you get someone who can commit to filing the termination within 30 days max. Also, get their name and direct contact info so you can follow up. The fact that you're trying to get new financing makes this urgent since that UCC-1 is blocking your ability to use that equipment as collateral elsewhere.

We ended up having to get our assignment documentation notarized after the first rejection, even though Article 9 doesn't specifically require notarization. Some SOS offices seem to prefer extra authentication on assignment papers.

I went through something similar with a rejected assignment filing last year. The frustrating thing is that Article 9's written assignment requirements seem straightforward in theory, but the practical implementation can be tricky. What really helped us was creating a standardized assignment template that includes all the required elements: clear identification of the original security agreement, specific collateral description, assignor's signature with date, and most importantly, explicit language stating the assignor's intent to transfer their security interest. We also learned to always reference the original UCC-1 filing number prominently in the assignment document. Since implementing this approach, we haven't had any more rejections. For your $340k collateral situation, I'd definitely recommend getting the documentation perfect before refiling - the priority risk isn't worth cutting corners.