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Note: Commerce is now known as Economic Development Law

RETRIEVE BILL
 
  Section 9--109. Scope.
    (a) General   scope  of  article.  Except  as  otherwise  provided  in
  subsections (c) and (d), this article applies to:
         (1) a  transaction,  regardless  of  its  form,  that  creates  a
             security   interest  in  personal  property  or  fixtures  by
             contract;
         (2) an agricultural lien;
         (3) a sale of accounts, chattel paper,  payment  intangibles,  or
             promissory notes;
         (4) a consignment;
         (5) a  security  interest  arising  under Section 2--401, 2--505,
             2--711(3), or 2-A-508(5), as provided in Section 9--110;
         (6) a security interest arising under Section 4--210  or  5--118;
             and
         (7) a security interest in a cooperative interest.
    (b) Security  interest  in secured obligation. The application of this
  article to a security interest in a secured obligation is  not  affected
  by  the  fact  that the obligation is itself secured by a transaction or
  interest to which this article does not apply.
    (c) Extent to which article does not  apply.  This  article  does  not
  apply to the extent that:
         (1) a  statute,  regulation,  or  treaty  of  the  United  States
             preempts this article;
         (2) another statute of this State expressly governs the creation,
             perfection, priority, or enforcement of a  security  interest
             created by this state or a governmental unit of this state;
         (3) a   statute  of  another  state,  a  foreign  country,  or  a
             governmental unit of another  state  or  a  foreign  country,
             other   than  a  statute  generally  applicable  to  security
             interests, expressly governs creation, perfection,  priority,
             or  enforcement  of a security interest created by the state,
             country, or governmental unit; or
         (4) the rights of a transferee beneficiary  or  nominated  person
             under  a  letter of credit are independent and superior under
             Section 5--114.
    (d) Inapplicability of article. This article does not apply to:
         (1) a landlord's lien, other than  an  agricultural  lien,  or  a
             security interest in a cooperative interest;
         (2) a  lien, other than an agricultural lien, given by statute or
             other rule of law for  services  or  materials,  but  Section
             9--333 applies with respect to priority of the lien;
         (3) an  assignment  of  a  claim  for  wages,  salary,  or  other
             compensation of an employee;
         (4) a sale of accounts, chattel paper,  payment  intangibles,  or
             promissory  notes  as  part  of a sale of the business out of
             which they arose;
         (5) an   assignment   of   accounts,   chattel   paper,   payment
             intangibles,  or promissory notes which is for the purpose of
             collection only;
         (6) an assignment of a right to payment under a  contract  to  an
             assignee   that  is  also  obligated  to  perform  under  the
             contract;
         (7) an assignment of a single  account,  payment  intangible,  or
             promissory   note   to   an   assignee  in  full  or  partial
             satisfaction of a preexisting indebtedness;
         (8) a transfer of an interest in or  an  assignment  of  a  claim
             under  a  policy  of  insurance  or  contract  for an annuity
             including a variable annuity other than an assignment  by  or

             to   a   health-care   provider  of  a  health-care-insurance
             receivable and any subsequent  assignment  of  the  right  to
             payment, but Sections 9--315 and 9--322 apply with respect to
             proceeds and priorities in proceeds;
         (9) an  assignment  of  a  right represented by a judgment, other
             than a  judgment  taken  on  a  right  to  payment  that  was
             collateral;
         (10) a right of recoupment or set-off, but:
             (A) Section  9--340 applies with respect to the effectiveness
                 of  rights  of  recoupment  or  set-off  against  deposit
                 accounts; and
             (B) Section 9--404 applies with respect to defenses or claims
                 of an account debtor;
         (11) the  creation  or transfer of an interest in or lien on real
              property, including a lease or rents thereunder,  except  to
              the extent that provision is made for:
             (A) liens on real property in Section 9--203 and 9--308;
             (B) fixtures in Section 9--334;
             (C) fixture  filings  in  Sections  9--501,  9--502,  9--512,
                 9--516, and 9--519;
             (D) security agreements covering personal and  real  property
                 in Section 9--604; and
             (E) security interests in cooperative interests;
         (12) an  assignment  of  a  claim  arising  in tort, other than a
              commercial tort claim, but Sections 9--315 and 9--322  apply
              with respect to proceeds and priorities in proceeds; or
         (13) an   assignment   of   a   deposit  account  in  a  consumer
              transaction, but  Sections  9--315  and  9--322  apply  with
              respect to proceeds and priorities in proceeds.

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