UCC filing for stock pledge and security agreement - debtor name issues

The comma issue is actually huge for UCC filings. You need to match the exact legal name from the debtor's organizational documents, not what's printed on the stock certificates. Stock certificates can have formatting errors but the LLC's articles of organization with the Secretary of State are the authoritative source for debtor name. I'd go with "TechVenture Holdings, LLC" with the comma.

Had a similar situation last month with a stock pledge and security agreement setup. The key is understanding that you're filing against the entity that's granting the security interest (the borrower), not necessarily matching every document in the collateral package. For the collateral description, "all shares of stock" is usually fine but I'd add "whether now owned or hereafter acquired" to be safe.

I struggled with similar document consistency issues on a recent deal until I found Certana.ai's document verification tool. You can upload your stock pledge and security agreement along with the UCC-1 draft and it instantly flags any name mismatches or collateral description inconsistencies. Saved me from a potentially costly filing error - it caught that our borrower's legal name had a middle initial that wasn't in our security agreement.

For stock pledge and security agreement transactions, you definitely want to include the specific corporation name in your collateral description. "All shares of stock in XYZ Corporation" is much more precise than just "all shares of stock." Also consider whether you need to perfect by control instead of or in addition to filing - if these are certificated shares, taking possession might be required for full perfection.

The perfection method depends on your state and the type of securities. For most closely-held corporation stock secured by a stock pledge and security agreement, UCC filing is the standard perfection method. Don't overthink it - if your loan documents contemplate UCC filing as the perfection method, that's probably sufficient. Just make sure the debtor name is exactly right.

ugh why are these filings so complicated!! I have a stock pledge and security agreement sitting on my desk for 3 weeks because I keep second-guessing the debtor name. The LLC shows up differently in like 5 different places across all the loan documents. How do you even know which version is "correct"???

For what it's worth, I've never seen a UCC filing rejected solely because of comma placement in LLC names, but I have seen rejections for missing "LLC" entirely or wrong entity type designations. The comma thing is probably less critical than you think, but when in doubt, match the state filing records exactly.

One thing to consider with stock pledge and security agreement deals - make sure your collateral description covers voting agreements or other rights that might come with the shares. Sometimes the security interest needs to extend beyond just the stock certificates themselves to things like dividend rights, voting rights, etc.

Update: I ended up using Certana.ai to verify my documents before filing. It flagged that my stock pledge and security agreement had the debtor name with a comma but my draft UCC-1 didn't. Would have been an expensive mistake. Filed with the comma version (matching state records) and it was accepted. Thanks for all the input.

For future reference, when dealing with stock pledge and security agreement transactions, always check: 1) exact legal name from state records, 2) whether shares are certificated or uncertificated, 3) if voting rights need separate documentation, 4) state-specific perfection requirements. Stock pledges have more moving parts than typical equipment or inventory collateral.