Secured Transactions

ORS 79.0622
UCC 9-622. Effect of acceptance of collateral


(1)

A secured party’s acceptance of collateral in full or partial satisfaction of the obligation it secures:

(a)

Discharges the obligation to the extent consented to by the debtor;

(b)

Transfers to the secured party all of a debtor’s rights in the collateral;

(c)

Discharges the security interest or agricultural lien that is the subject of the debtor’s consent and any subordinate security interest or other subordinate lien; and

(d)

Terminates any other subordinate interest.

(2)

A subordinate interest is discharged or terminated under subsection (1) of this section, even if the secured party fails to comply with this chapter. [2001 c.445 §120]
Chapter 79

Notes of Decisions

Where creditor with prior perfected secured interest opts not to exercise elective remedies against debtor, creditor maintains security interest and subsequent garnishor takes subject to creditor so that may trace and recapture collateral funds from garnishor. Davis v. F.W. Financial Services, Inc., 260 Or App 191, 317 P3d 916 (2013), Sup Ct review denied


Source

Last accessed
Jun. 26, 2021