GroundRules
N.C. Gen. Stat. § 25-9-209: Duties of secured party if account debtor has been notified of assignment.
Where this section sits in the code
- Chapter 25. Uniform Commercial Code.
- Article 9. Secured Transactions.
- Part 2. Effectiveness of Security Agreement; Attachment of Security Interest; Rights of Parties to Security Agreement.
(a) Applicability of Section. - Except as otherwise provided in subsection (c) of this section, this section applies if there is no outstanding secured obligation and the secured party is not committed to make advances, incur obligations, or otherwise give value.
(b) Duties of Secured Party After Receiving Demand from Debtor. - Within 10 days after receiving a signed demand by the debtor, a secured party shall send to an account debtor that has received notification under G.S. 25-9-406(a) or G.S. 25-12-106(b) of an assignment to the secured party as assignee a signed record that releases the account debtor from any further obligation to the secured party.
(c) Inapplicability to Sales. - This section does not apply to an assignment constituting the sale of an account, chattel paper, or payment intangible. (2000-169, s. 1; 2025-25, s. 68.)
Collected 2026-08-27T17:58:47Z. Source file · JSON