IC 8-1-40.5-14: Transfer of securitization property

Sec. 14. (a) If an agreement by an electric utility or an assignee to transfer securitization property expressly states that the transfer is a sale or is otherwise an absolute transfer:

(1) the resulting transaction:

(A) is a true sale; and

(B) is not a secured transaction; and

(2) title, both legal and equitable, passes to the person to which the securitization property is transferred.

(b) A transaction resulting from an agreement described in subsection (a) is a true sale regardless of:

(1) whether the purchaser has any recourse against the seller; or

(2) any other term of the agreement, including the following:

(A) The seller's retention of an equity interest in the securitization property.

(B) The fact that the electric utility acts as a collector of securitization charges relating to the securitization property.

(C) The treatment of the transfer as a financing for tax, financial reporting, or other purposes.