{"data":{"id":"us-ky/krs-278.690","jurisdiction":"us-ky","citation":"KRS 278.690","heading":"Priority of transfer not impaired by modification -- Priority of conflicting","body":"interests.\n(1) The priority of transfer perfected under KRS 278.686, 278.688, 278.690, and\n278.692 shall not be impaired by any later modification of the financing o rder or\nsecuritized property or by the commingling of funds arising from securitized\nproperty with other funds. Any other security interest that may apply to those funds,\nother than a security interest perfected under KRS 278.686 and 278.688 and this\nsection is terminated when those funds are transferred to a segregated account for\nthe assignee or a financing party. If securitized property has been transferred to an\nassignee or financing party, any proceeds of that property shall be held in trust for\nthe assignee or financing party.\n(2) The priority of the conflicting interest of assignees in the same interest or rights in\nany securitized property shall be determined as follows:\n(a) Conflicting perfected interests or rights of assignees rank according to priority\nin time of perfection. Priority dates from the time of filing covering the\ntransfer shall be made in accordance with KRS 278.692;\n(b) A perfected interest or right of an assignee has priority over a conflicting\nunperfected interest or right of an assignee; and\n(c) A perfected interest or right of an assignee has priority over a person who\nbecomes a lien creditor after the perfection of the assignee's interest or right.\n(3) The description of securitized property being transferred to an assignee in any  sale\nagreement, purchase agreement, or other transfer agreement, granted or pledged to a\npledgee in any security agreement, pledge agreement, or other security document,\nor indicated in any financing statement shall be sufficient only if the description o r\nindication:\n(a) Refers to the financing order that created the securitized property; and\n(b) States that the agreement or financing statement covers all or part of the\nproperty described in the financing order.\n(4) KRS 278.670 to 278.696 and 65.114 shall apply to all purported transfers of, and all\npurported grants, liens, or security interests in, securitized property, regardless of\nwhether the related sale agreement, purchase agreement, or transfer agreement,\nsecurity agreement, pledge agreement, or oth er security document was entered into,\nor any financing statement was filed.","path":["KRS Chapter 278"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=53810","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:31Z","sha256":"909ee9ec2a2c2c138ab15f02ca0a19f457aa09028fbb79fdde1c10b03d0859da","source_id":"us-ky","stale":false,"prev":"us-ky/krs-278.688","next":"us-ky/krs-278.692"},"notice":"GroundRules: Original legal text. Not legal advice."}