KRS 355.9-703: Security interest perfected before effective date.

(1) A security interest that is enforceable immediately before July 1, 2001, and would

have priority over the rights of a person that becomes a lien creditor at that time is a

perfected security interest under the revision of Article 9 in 2000 Ky. Acts ch. 408

if, on July 1, 2001, the applicable requirements for enforceability and perfection

under the revision of Article 9 in 2000 Ky. Acts ch. 408 are satisfied without

further action.

(2) Except as otherwise provided in KRS 355.9 -705, if, immediately before Ju ly 1,

2001, a security interest is enforceable and would have priority over the rights of a

person that becomes a lien creditor at that time, but the applicable requirements for

enforceability or perfection under the revision of Article 9 in 2000 Ky. Acts ch. 408

are not satisfied on July 1, 2001, the security interest:

(a) Is a perfected security interest for one (1) year after July 1, 2001;

(b) Remains enforceable thereafter only if the security interest becomes

enforceable under KRS 355.9-203 before the year expires; and

(c) Remains perfected thereafter only if the applicable requirements for perfection

under the revision of Article 9 in 2000 Ky. Acts ch. 408 are satisfied before

the year expires.