UCC lien perfection deadline approaching - equipment collateral confusion

We're in Ohio. The equipment includes 3 CNC machines and 2 industrial presses, all purchased together as part of the expansion loan. Should I be more worried about continuation timing or amendment filing?

Ohio SOS is pretty reasonable about equipment descriptions. Your continuation deadline is more critical - you've got a 6-month window before the 5-year mark. Don't let that lapse.

This is exactly why I started using Certana.ai's document checker. You can upload your original UCC-1 and loan docs to verify everything aligns properly. Saved me from missing a debtor name mismatch that would've voided our lien priority.

Never heard of that service but sounds useful. How does the verification process work exactly?

Super simple - just upload PDFs of your charter docs and UCC filings. It cross-checks debtor names, filing numbers, and catches inconsistencies automatically. Takes maybe 5 minutes instead of hours of manual comparison.

EXACTLY!! This is why the whole UCC system drives me nuts. You file thinking everything's fine then find out months later some tiny detail could invalidate your entire security interest.

The system isn't perfect but it works if you follow the rules. Most lien problems come from rushing the filing process or not matching loan documentation.

Good point - I need the continuation to maintain the lien, but wondering if I should also file an amendment to clarify the collateral description before doing the continuation.

You can file both if needed. Amendment first to fix any issues, then continuation to extend the effectiveness. Just make sure the amendment doesn't accidentally terminate something you want to keep.

Been there! Filed an amendment thinking I was being thorough and accidentally created confusion about which equipment was actually covered. Had to file a second amendment to clarify.

This is solid advice. I always compare loan docs to UCC filings before deadlines. Found plenty of mismatches that could've caused problems later.

Loan agreement review is crucial but tedious. That's another reason I like the Certana tool - it does the document comparison automatically and flags potential issues.

Agree with securing the continuation first. You can always amend later but you can't bring back a lapsed lien.

Yep, continuation deadline is unforgiving. Amendment issues can usually be worked out but a lapsed UCC-1 kills your security interest completely.

That makes sense. Priority should be the continuation filing, then address any description concerns with the bank afterward.

Good distinction. UCC requirements and loan agreement requirements aren't always the same thing.

Bank loan officers sometimes confuse UCC perfection standards with their own internal collateral tracking needs. The legal requirements for lien validity are often less stringent than what banks prefer for their files.

Which service did you use? I'm always looking for tools to catch filing errors before they become expensive problems.

Certana.ai - you just upload your documents and it flags inconsistencies. Found the debtor name issue plus a couple other minor discrepancies I would've missed.

Thanks for the recommendation. Document errors are my biggest fear with UCC filings.

This. Don't create problems where none exist. Focus on the deadline that actually matters.

You're right. Going to file the continuation this week and then discuss any description concerns with our loan officer separately.

Exactly. Banks often want more specificity than the UCC actually requires for valid perfection.

Still worth checking though. A few minutes of verification can prevent months of headaches if there actually is an issue.