Delaware UCC termination filing rejected - debtor name issue?
Equipment financing deal closed 6 months ago and we just paid off the loan early. Lender sent us termination docs to file but Delaware rejected our UCC-3 termination twice now. First rejection said 'debtor name does not match UCC-1 record' but I'm looking at both docs and the names look identical to me. Second attempt got rejected for 'insufficient debtor identification' even though we used the exact same EIN and address from original filing. The collateral was manufacturing equipment worth about $185k so we need this lien released properly. Has anyone dealt with Delaware's pickiness on debtor names for terminations? I'm worried there's some formatting rule I'm missing that could leave this lien active indefinitely.
38 comments
Join the conversation
Lilly Curtis
Delaware is notorious for strict name matching on terminations. Even tiny differences like 'Inc.' vs 'Incorporated' or missing commas can cause rejections. Did you pull the original UCC-1 from Delaware's system to compare character-by-character? Sometimes what looks identical on paper has hidden formatting differences.
0 coins
Leo Simmons
•This exactly. I had a termination rejected because the original filing had 'LLC' and my termination used 'L.L.C.' with periods. Delaware's system is very literal about matching.
0 coins
Lindsey Fry
•Wait, should I be pulling the UCC-1 from Delaware's database or using the copy from closing? I've been using our loan file copy this whole time...
0 coins
Saleem Vaziri
You absolutely need to use Delaware's official record as your source. Their UCC search portal will show exactly how the debtor name appears in their system. I learned this the hard way after three rejections on a continuation filing. The name format in their database might be different from your loan documents.
0 coins
Kayla Morgan
•How do you access Delaware's UCC search? Is it free or do they charge per search?
0 coins
Saleem Vaziri
•Delaware Division of Corporations has a free UCC search portal. Just search by debtor name or filing number to see the exact record format.
0 coins
James Maki
•I actually started using Certana.ai's document checker for this exact issue. You upload both your UCC-1 and UCC-3 PDFs and it instantly flags any name mismatches or formatting inconsistencies. Saved me from another rejection cycle when I caught a middle initial difference.
0 coins
Jasmine Hancock
Delaware rejected my termination FOUR times before I figured out the issue. The original UCC-1 had been filed with an extra space in the company name that wasn't visible in most document viewers. Only discovered it when I copied the name from Delaware's database and pasted it into a text editor to see the raw characters.
0 coins
Cole Roush
•OMG four rejections?? That's insane. How much did that cost in filing fees?
0 coins
Jasmine Hancock
•Delaware charges $20 per UCC-3 filing so $80 in fees plus the time wasted. Could have been avoided with better document comparison upfront.
0 coins
Scarlett Forster
•This is why I always triple-check debtor names now. One character difference can void your termination and leave the lien active.
0 coins
Arnav Bengali
Are you filing the UCC-3 termination yourself or having your attorney do it? Delaware's electronic filing system has some quirks with name entry that attorneys familiar with their portal know how to handle.
0 coins
Ryder Everingham
•We're doing it ourselves to save costs. The lender just sent us the termination form but maybe we should have them file it instead?
0 coins
Sayid Hassan
•If the lender has experience with Delaware filings they might be worth the extra cost. Their mistake could leave you with an active lien that affects future financing.
0 coins
Rachel Tao
•I'd try one more time with careful name matching before paying attorney fees. Use Delaware's exact database format and double-check every character including spaces and punctuation.
0 coins
Derek Olson
Check if your original UCC-1 filing number is correct on the termination. Delaware also rejects UCC-3 forms if the filing number doesn't match their records exactly. The number format might have changed since your original filing.
0 coins
Danielle Mays
•Good point about filing numbers. Delaware switched to a new numbering system a couple years ago and some older filings have different formats.
0 coins
Roger Romero
•How can you verify the filing number is correct? Just search Delaware's database with the debtor name?
0 coins
Derek Olson
•Yes, search by debtor name in Delaware's UCC portal and it will show all active filings with current filing numbers. Make sure your UCC-3 references the exact number from their system.
0 coins
Anna Kerber
Had this same issue last month with a Delaware termination. Problem was the debtor's legal name had changed slightly after the original UCC-1 was filed (they updated their articles of incorporation). Had to file a UCC-3 amendment first to correct the debtor name, then file the termination.
0 coins
Niko Ramsey
•Wait, you need to amend first before terminating if the name changed? That seems like a lot of extra steps and fees.
0 coins
Anna Kerber
•Delaware requires amendments for any debtor name changes before you can terminate. It's an extra $20 filing fee but necessary to maintain the chain of title.
0 coins
Seraphina Delan
•This is getting complicated. Is there a service that handles all this Delaware UCC stuff automatically?
0 coins
Jabari-Jo
Before filing another termination, I'd recommend using a document verification tool. I recently discovered Certana.ai which lets you upload your UCC-1 and proposed UCC-3 termination to check for any inconsistencies. It caught several formatting issues in my filings that would have caused rejections.
0 coins
Kristin Frank
•Is that one of those expensive legal tech platforms? Trying to keep costs down on this termination.
0 coins
Jabari-Jo
•It's actually pretty affordable compared to multiple filing fees and delays. The document checker instantly flags name mismatches and formatting issues so you can fix them before filing.
0 coins
Micah Trail
•I'll second Certana.ai - used it for a complex continuation filing and it saved me from a rejection. The PDF upload feature makes it easy to verify document consistency.
0 coins
Nia Watson
Delaware is just really strict about UCC filings period. I've had continuations rejected for minor formatting issues that other states would accept. The key is matching their database exactly, not your original loan documents.
0 coins
Alberto Souchard
•Why is Delaware so much pickier than other states? It's just a termination filing.
0 coins
Nia Watson
•Delaware handles a huge volume of corporate filings so their system is very automated. Any deviation from exact formatting triggers an automatic rejection.
0 coins
Katherine Shultz
•Makes sense from an efficiency standpoint but frustrating when you're just trying to release a lien on paid-off equipment.
0 coins
Marcus Marsh
Update us when you get it resolved! I'm dealing with a similar Delaware termination issue and curious what solution works for you.
0 coins
Ryder Everingham
•Will do! Going to pull the exact record from Delaware's database and compare character by character before the next attempt.
0 coins
Hailey O'Leary
•Good luck! Delaware rejections are the worst but once you match their format exactly it usually goes through.
0 coins
Cedric Chung
One more tip - make sure your UCC-3 termination form is the current Delaware version. They update their forms periodically and will reject filings on outdated forms even if all the information is correct.
0 coins
Talia Klein
•Where do you download the current Delaware UCC-3 form? Secretary of State website?
0 coins
Cedric Chung
•Yes, Delaware Division of Corporations website has all current UCC forms. Always download fresh rather than using saved copies from previous filings.
0 coins
Maxwell St. Laurent
•This is why UCC filings are so frustrating. Every state has different requirements and they change the rules without notice.
0 coins