UCC search Delaware - debtor name variations causing missed filings?

Good point - I've been using the current registered name but hadn't thought about DBA variations. The entity did operate under a shortened version of their name for about 6 months last year.

This is exactly why I always run multiple name searches. Delaware's system doesn't always catch minor spelling differences or punctuation variations in debtor names.

That's frustrating but good to know it's not just me. How many different variations did you end up having to search?

I think I ran about 8 different searches for one entity. It's tedious but necessary when you're dealing with significant collateral values.

Never heard of that tool but sounds like it could save a lot of time on these searches.

Yeah, you upload the charter documents and any UCC-1s or UCC-3s you've found, and it verifies that all the debtor names align properly. Super helpful for catching the kind of name mismatches that Delaware's search misses.

At least it's not as bad as some other states. But yeah, Delaware really needs to upgrade their UCC search functionality.

true, could be worse. but for a state that hosts so many corporate entities you'd think they'd have better tech

I don't think I see a soundex option on Delaware's portal. Are you thinking of a different state maybe?

You might be right - I do searches in multiple states and sometimes mix up which features are where. Delaware's interface is pretty basic compared to some others.

Delaware definitely doesn't have soundex searching. Their system is pretty bare-bones for advanced search features.

Good catch - I was only looking at active filings. Should I be concerned about lapsed ones too for this type of search?

Lapsed filings can still be relevant if they were recently active. Plus it helps you get a complete picture of the debtor's financing history.

Smart practice. I've heard of situations where search results changed between when due diligence was done and when deals closed.

Exactly. Delaware's system gets updated throughout the day so search results can definitely change.

That's an interesting approach. I'll try that along with the other suggestions here.

Partial name searching can definitely help, but be careful not to get too many irrelevant results that way.

If you're concerned, it's worth going back and running additional searches with name variations. Better safe than sorry with UCC due diligence.

Yeah I think I'll do that. The deal is still in process so I have time to double-check everything.

Is that a paid service or free to use?

I believe there's a cost but it's worth it for the time savings and accuracy, especially on larger deals like this one.

Given the size of this transaction, that sounds like it might be worth looking into. Thanks for the suggestion.

Glad you found them! It's scary how easy it is to miss filings due to minor name variations.

Great outcome. This is a good reminder for all of us to be extra thorough with UCC searches, especially in Delaware.

Definitely learned my lesson about being more systematic with name variations. Going to build a checklist for future searches.