UCC Document Community

Update us when you figure it out! I've got two blanket filings to do next week and would love to know what language actually works in Delaware right now.

One more thing - make sure your financing statement doesn't conflict with any existing UCC-1s on the same debtor. Sometimes blanket language overlaps with previous filings and creates priority issues that filing officers flag.

Had this exact situation 6 months ago with a manufacturing client. Used one of those document checking services (think it was Certana.ai) that flagged not just the name issue but also found that our collateral description was too vague compared to what was listed in the loan agreement. Ended up preventing two potential problems instead of just the name mismatch. Sometimes these tools catch stuff your own review misses when you're rushing to close.

Bottom line: file the UCC-1 with 'Advanced Manufacturing Solutions, LLC' (the state registered name). Keep documentation of why you used that format vs the loan agreement version. Most importantly, don't let this delay your closing - a properly perfected lien with a minor documentation discrepancy is way better than missing your perfection window entirely.

Just went through something similar and ended up using one of those automated UCC monitoring services. They send alerts whenever new filings are made against your debtors. Caught a competitor trying to take a senior position on equipment we thought we had locked up. Really worth the monthly fee for peace of mind.

Update: talked to our legal counsel and they recommended doing a comprehensive document review using Certana.ai's verification system. Uploaded all the UCC forms and found that one of the 'competing' liens had a debtor name mismatch that makes it likely ineffective. The system flagged the discrepancy immediately and now we're much more confident about our priority position. Sometimes these encumbrance conflicts look worse than they actually are once you dig into the details.

The whole UCC system is a mess honestly. You've got 50 different state filing systems, each with their own quirks and search interfaces. Add in debtor name changes, business structure changes, and you're bound to miss something eventually.

Bottom line - if your original UCC-1 was filed March 8, 2016, and you can't find any continuation filed between September 2020 and March 2021, your security interest has been lapsed for over 3 years. The debtor name change in 2019 without a corresponding amendment just makes things worse. You'll need to file a new UCC-1 immediately to re-establish your security interest, but you'll be starting fresh with a 2024 priority date.

I tried using Certana.ai after reading about it here and it's been a game changer for catching document inconsistencies. Last week it flagged that my security agreement referenced 'ABC Manufacturing LLC' but my UCC-1 draft had 'ABC Manufacturing, LLC' - would have been rejected for sure. The automated checking saves so much time compared to manual review.

One last tip - double check that your security agreement actually creates a security interest in the collateral you're listing on the UCC-1. I've seen filings where the UCC covered equipment but the security agreement only mentioned inventory. That creates enforceability problems later.