UCC Document Community

For what it's worth, I think you're overthinking this. Mobile construction equipment is pretty straightforward UCC-1 territory unless there are titles involved. File the UCC-1 with a good collateral description and you should be fine. The non UCC filings are for different types of property altogether.

One thing I haven't seen mentioned yet is timing - UCC filings are generally effective immediately upon filing, but some non-UCC filings have different effective dates or require additional steps. For your construction equipment deal, once you file the UCC-1 it should show up in searches within a day or two (depending on your Secretary of State's processing time). That might help answer your client's question about when the lien will be visible. Also, make sure you're prepared for continuation filings down the road - UCC-1s need to be continued every 5 years or they lapse.

Update - we refiled using 'all inventory, including raw materials, work-in-process, finished goods, and goods held for sale' and it was accepted! Thanks everyone for the help. The UCC definition was never the issue, just needed more descriptive language for the filing office. Credit line approved and we're back in business.

Great to see this resolved! This is exactly why I always recommend being more descriptive with collateral descriptions from the start. The UCC definition of inventory under 9-102 is clear - it includes goods held for sale or lease, raw materials, work in process, and materials consumed in business. Your wholesale distribution business obviously falls under this definition. But filing offices often want that extra clarity in the language. I typically use something like "all inventory of every kind and description, now owned or hereafter acquired, including without limitation raw materials, work-in-process, finished goods, and goods held for sale or lease" - it's comprehensive and covers all the bases while hitting the magic phrases that make filing officers happy.

As a newcomer to this community, I've been thoroughly impressed by the quality of discussion and practical guidance being shared in this thread. @d2bef0c1d010, your situation perfectly illustrates the complexity that arises when UCC liens, foreclosure, and bankruptcy intersect - but the collective wisdom here shows there's definitely a path forward. What strikes me most is how the initial panic about losing your security interest has evolved into a much more optimistic picture through community input. The consensus seems clear that your UCC lien likely survived the foreclosure since your equipment appears to be genuine personal property rather than fixtures, and the bankruptcy automatic stay, while frustrating, may actually work in your favor given the lack of equity for the estate. The systematic approach recommended by multiple experienced members makes perfect sense: start with comprehensive document verification to catch any technical issues (those examples about comma placement and exact serial number matching really drive home how important precision is), then engage proactively with both the trustee and new property owner. @b6ca316eeb5f's real-world experience with a 45-day abandonment timeline and smooth property owner cooperation shows this can resolve much more quickly and amicably than expected. This thread demonstrates exactly why community knowledge is so valuable - transforming what seemed like an impossible situation into a manageable process with clear next steps.

As someone new to this community, I've been following this fascinating discussion about UCC liens surviving foreclosure, and I'm really impressed by the depth of practical knowledge being shared here. @d2bef0c1d010, your situation initially sounded quite dire, but the collective expertise from community members has really illuminated a much more hopeful path forward. What I find most reassuring is the consistent consensus from multiple experienced practitioners that your UCC lien likely survived the foreclosure since your equipment appears to be genuine personal property rather than fixtures. The bankruptcy automatic stay, while temporarily frustrating, actually seems to be working in your favor given that your $140k loan balance exceeds the equipment's $120k value - creating no equity for the estate and virtually guaranteeing trustee abandonment. The systematic approach everyone's recommending is brilliant: comprehensive document verification first (those technical details about exact debtor names and serial numbers really can make or break a case), followed by proactive communication with both the trustee and new property owner. @b6ca316eeb5f's real-world example of a 45-day resolution with cooperative property owner relationship shows this process can be much smoother than initially feared. This thread perfectly demonstrates how community knowledge can transform an overwhelming legal crisis into a manageable process with clear, actionable steps. The emphasis on services like Certana.ai for document verification seems particularly valuable for ensuring technical perfection before facing bankruptcy court scrutiny.

This entire discussion has been incredibly enlightening for someone new to equipment financing like myself! I had no idea that UCC lien payoffs through closing proceeds were not only standard practice but essentially how most secured equipment transactions work. The mortgage analogy really made everything click - of course you can sell equipment with liens, just like you can sell real estate with mortgages. What's genuinely troubling is discovering how many attorneys seem unfamiliar with basic UCC Article 9 principles. This thread has taught me that I need to specifically vet legal counsel's secured transaction experience rather than just assuming they understand commercial equipment deals. The practical details everyone shared - payoff letters with per diem calculations, fund distribution instructions, UCC-3 termination timing, proper closing coordination - this is the real-world knowledge you can't get from textbooks. I'm definitely bookmarking this entire thread as my reference guide for future equipment transactions. Thanks to everyone who shared their experiences, especially those who provided updates on successful closings. This community is invaluable for understanding how these deals actually work in practice!

This thread has been absolutely invaluable as someone just entering the equipment financing space! I had no clue that UCC lien payoffs through closing proceeds were standard practice - I always assumed liens had to be cleared before any sale could happen. The mortgage analogy really drove it home for me. What's most eye-opening is seeing how many attorneys apparently don't grasp basic UCC Article 9 concepts. This discussion has definitely taught me to ask very specific questions about secured transaction experience when vetting legal counsel for equipment deals. The step-by-step breakdown of payoff letters, closing coordination, and UCC-3 termination procedures is exactly the kind of practical knowledge you can't find in textbooks. I'm saving this entire thread as my go-to reference guide. Thanks to everyone for sharing their real-world experiences and congratulations to those who successfully closed their deals!

As someone new to this community, I just want to say how valuable this discussion has been! I'm currently managing UCC filings for the first time and was completely unaware of the lapse date implications until reading this thread. The real-world examples and practical tips shared here - like the importance of exact name matching, the 6-month continuation window, and setting up early reminders - are incredibly helpful. I'm particularly concerned about the consequences of missing a lapse date after reading about the priority issues and unperfected security interests. Going to implement the spreadsheet tracking system immediately and start gathering all our filing information. It's reassuring to know I'm not alone in feeling overwhelmed by inherited UCC responsibilities. Thanks to everyone for sharing your expertise and experiences!

Welcome to all the new community members! This thread really highlights how common it is to inherit UCC filing responsibilities without proper training or documentation. I've been managing secured transactions for about 8 years now and still learned a few things from this discussion. One additional tip I'd add - consider creating a simple tracking template that includes not just the basic filing info, but also the loan officer or relationship manager associated with each filing. When questions come up or you need clarification on collateral descriptions, having that contact info readily available can save you hours of detective work. Also, don't be afraid to reach out to the Secretary of State offices directly - most have UCC divisions with staff who can help explain state-specific requirements or walk you through search procedures if you're missing filing information. The learning curve is steep but you'll get the hang of it!