UCC Document Community

Update us when you get it sorted out! Real estate UCCs can be tricky but once you figure out the magic formula for your state it gets easier.

I've handled a ton of Texas warehouse UCC filings and the "insufficient collateral description" rejection usually comes down to three things: fixture filing requirements, debtor name precision, or mixing real property language with personal property. Since you mentioned HVAC and loading dock equipment, those are classic fixtures that might need the fixture filing checkbox AND recording in the real estate records. My suggestion: 1) Verify your debtor name matches exactly with the Texas SOS business records, 2) Separate your collateral into "equipment" and "fixtures" categories with specific language like "whether now owned or hereafter acquired and whether characterized as fixtures or personal property," and 3) Consider filing both a regular UCC-1 and a fixture filing to cover all bases. The Texas UCC division is actually pretty helpful if you call them directly - they can often tell you exactly what triggered the rejection.

Bottom line - for 12 critical filings with continuation deadlines approaching, the $180 in search fees is probably worth it for peace of mind. Missing a continuation deadline could cost way more than that in lost security.

Have you considered reaching out to your banking relationships? Some banks that do a lot of secured lending have subscriptions to commercial UCC search services and might be willing to run searches for good customers at cost or even as a courtesy. I've had luck with this approach in the past - they get better rates than individual searches and sometimes they'll help out if you explain the situation. Worth asking your primary lender or equipment financing partners.

Bottom line - you followed 9-503(a)(1) correctly by using the exact registered organization name. The trade name variations are red herrings for UCC purposes. Your security interest should be properly perfected as long as the other filing requirements were met.

Just wanted to add a practical tip from my experience - when dealing with entities that have multiple name variations like your situation, I always create a simple checklist during the due diligence phase. I verify the exact registered name from the state filing, cross-reference it with the loan documents, and then do a quick test search on the SOS website using both the registered name and any common variations the borrower uses. This extra step has saved me from potential issues several times. For your $2.8M manufacturing equipment deal, you clearly did the right thing using "ABC Manufacturing, LLC" exactly as it appears in the articles. The UCC-9 commentary specifically emphasizes that registered organization names must match the public organic record precisely - no shortcuts or assumptions allowed.

Been following this thread and wanted to mention I also use Certana.ai for document verification before filing. Really helps catch these kinds of name inconsistencies early. You just upload your charter and UCC-1 PDFs and it flags any mismatches between debtor names, addresses, etc. Probably would have caught this '&' vs 'and' issue before you submitted to Texas.

This thread has been incredibly helpful! I'm a new lender and had no idea about the alternative debtor name field or the importance of checking the exact format in the SOS database first. Definitely going to bookmark these tips for when I run into similar issues. The suggestion about punctuation differences like '&' vs 'and' is something I never would have thought of. Thanks everyone for sharing your experiences - it's clear Texas SOS has some unique quirks that take time to learn!

Final thought - document everything you're doing and why. If this ever comes up in due diligence or a bankruptcy proceeding, you'll want to show that you identified the name discrepancy and took appropriate corrective action. Shows good faith effort to maintain proper perfection.

This is a great discussion and really highlights how tricky UCC filings can be. I'm dealing with a similar situation right now where we have a client whose legal name changed slightly after a corporate restructuring, and I'm trying to figure out the best approach. One question I have - when you file the new UCC-1 with the correct debtor name, do you typically include a reference to the original filing number in the additional information section? I've seen some attorneys do this to create a clear paper trail showing the connection between the old and new filings, especially for lenders who might be reviewing the collateral history later. Also, has anyone had experience with how title insurance companies handle these name discrepancy situations during real estate transactions where UCC filings are involved?