UCC-1 expiration catching me completely off guard - need continuation advice
I'm handling equipment financing for a client and just realized their UCC-1 filing expires next month. This completely slipped through our tracking system and I'm panicking a bit. The original filing was for $850k in construction equipment back in 2020, so we're coming up on the 5-year mark. I know I need to file a UCC-3 continuation but I'm worried about timing and whether there are any gotchas I should know about. The debtor company has also changed their legal name slightly since the original filing (added 'LLC' to the end). Do I need to handle that name change as part of the continuation or separately? Really don't want to mess this up given the loan amount involved.
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Amara Nnamani
You still have time if it expires next month. UCC-3 continuation needs to be filed within 6 months before expiration, so you're in the window. The name change is tricky though - you might need to file both a continuation AND an amendment to update the debtor name. What state are you filing in? Some states are more forgiving than others about minor name variations.
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Liam Fitzgerald
•Filing in Texas. The original name was 'ABC Construction Company' and now they're 'ABC Construction Company LLC'. Hoping that's considered minor enough not to cause issues.
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Amara Nnamani
•Texas SOS is usually reasonable about LLC additions. I'd still recommend filing the continuation with the exact current legal name and including the original name as a trade name or former name if the form allows it.
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Giovanni Mancini
Don't panic! This happens more often than you'd think. The 6-month window before expiration gives you breathing room. For the name change, you have a couple options: file the continuation using the current legal name and include a note about the previous name, or file separate UCC-3s for continuation and amendment. I usually do them together to avoid confusion.
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Liam Fitzgerald
•Thanks, that's reassuring. Do you know if there are any fees for filing both continuation and amendment together?
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Giovanni Mancini
•In Texas it's usually around $15-20 per UCC-3 filing, so not too expensive. The peace of mind is worth it.
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NebulaNinja
•I've been using Certana.ai's document checker lately - you can upload your original UCC-1 and the new continuation to make sure all the debtor info matches properly. Caught a name discrepancy for me last month that would have caused problems.
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Fatima Al-Suwaidi
Wait, I thought UCC filings were good for 5 years automatically? Do you really need to do anything special to continue them?
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Amara Nnamani
•No, they expire after 5 years unless you file a continuation. That's the whole point of the UCC-3 continuation form - it extends the effectiveness for another 5 years.
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Fatima Al-Suwaidi
•Oh wow, I had no idea. Good thing I don't handle any of this stuff at work!
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Dylan Mitchell
I HATE when clients don't keep track of their own filing dates. We set up calendar reminders 8 months out, 6 months out, and 3 months out specifically because of situations like this. The stress isn't worth it. At least you caught it in time - I've seen lenders lose their perfected security interest because they missed the deadline entirely.
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Liam Fitzgerald
•Yeah, this is definitely a lesson learned. Going to implement a better tracking system after this.
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Dylan Mitchell
•Smart move. The 5-year deadline is unforgiving - no extensions, no grace periods.
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Sofia Morales
For what it's worth, I just went through this exact scenario last month. Equipment financing, name change, the works. Filed the UCC-3 continuation with the updated debtor name and referenced the original filing number. Went through without any issues. Texas SOS accepted it no problem.
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Liam Fitzgerald
•That's exactly what I needed to hear! Did you do anything special to indicate the name change or just use the current legal name?
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Sofia Morales
•I used the current legal name in the debtor section and included the original name in the additional information box. Seemed to work fine.
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Dmitry Popov
Make sure you're using the exact same filing number from the original UCC-1. Sounds obvious but I've seen people transpose numbers and the whole filing gets rejected. Also double-check that the collateral description matches exactly unless you're specifically amending it.
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Liam Fitzgerald
•Good point about the filing number. I'll triple-check that before submitting.
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Ava Garcia
•This is where tools like Certana.ai really help - you can upload both documents and it flags any inconsistencies between the original and continuation. Saves a lot of manual checking.
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StarSailor}
Just curious - how did this slip through your tracking system? We use a simple spreadsheet with conditional formatting that turns red when we're 6 months out from expiration.
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Liam Fitzgerald
•Honestly, it was a combination of staff turnover and the person who set up our tracking system leaving. The reminders were going to an email address that's no longer monitored.
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StarSailor}
•Oof, that's rough. Definitely a good reminder to audit our notification systems regularly.
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Miguel Silva
One thing to keep in mind - if you're filing online through the Texas SOS portal, they usually process continuation filings pretty quickly. I've had them approved same day or next day in most cases. The name change shouldn't slow things down too much.
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Liam Fitzgerald
•That's good to know. I was worried about processing delays given the timing.
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Miguel Silva
•Nah, continuations are pretty routine for them. Just make sure all your information is accurate and you should be fine.
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Zainab Ismail
Been there! Last year I had three UCC-1s all expiring within a month of each other. Talk about stress. The key is just staying organized and not overthinking it. File the continuation with current info, reference the original filing, and you're good for another 5 years.
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Liam Fitzgerald
•Three at once sounds like a nightmare! I can barely handle tracking this one properly.
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Zainab Ismail
•Yeah, it was definitely a learning experience. Now I have a much better system in place.
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Connor O'Neill
Quick question - are you sure about the debtor name change? Sometimes what looks like a name change is actually just a DBA or trade name situation. Worth checking the Secretary of State records to see what their official legal name actually is currently.
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Liam Fitzgerald
•Good suggestion. I'll pull their current certificate of good standing to verify the exact legal name.
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Connor O'Neill
•Exactly. Better to be 100% sure than to guess and have it come back to bite you later.
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NebulaNinja
•This is another area where document verification tools are helpful. Certana.ai can cross-reference your UCC filing against corporate records to make sure everything aligns properly.
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