{"data":{"id":"us-nj/n.j.-stat.-12a-9-323","jurisdiction":"us-nj","citation":"N.J. Stat. § 12A:9-323","heading":"Future advances.","body":"Future Advances.\n(a)\tWhen priority based on time of advance.  Except as otherwise provided in subsection  (c), for purposes of determining the priority of a perfected security interest under 12A:9-322  (a) (1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:\n(1)\tis made while the security interest is perfected only:\n(A)\tunder 12A:9-309 when it attaches; or\n(B)\ttemporarily under 12A:9-312 (e), (f) or (g); and\n(2)\tis not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under 12A:9-309 or 12A:9-312 (e), (f) or (g).\n(b)\tLien creditor.  Except as otherwise provided in subsection (c), a security interest is subordinate to the rights of a person that becomes a lien creditor to the extent that the security interest secures an advance made more than 45 days after the person becomes a lien creditor unless the advance is made:\n(1)\twithout knowledge of the lien; or\n(2)\tpursuant to a commitment entered into without knowledge of the lien.\n(c)\tBuyer of receivables.  Subsections (a) and (b) do not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes, or a consignor.\n(d)\tBuyer of goods.  Except as otherwise provided in subsection (e), a buyer of goods other than a buyer in ordinary course of business takes free of a security interest to the extent that it secures advances made after the earlier of:\n(1)\tthe time the secured party acquires knowledge of the buyer's purchase; or\n(2)\t45 days after the purchase.\n(e)\tAdvances made pursuant to commitment:  priority of buyer of goods.  Subsection (d) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer's purchase and before the expiration of the 45-day period.\n(f)\tLessee of goods.  Except as otherwise provided in subsection (g), a lessee of goods, other than a lessee in ordinary course of business, takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:\n(1)\tthe time the secured party acquires knowledge of the lease; or\n(2)\t45 days after the lease contract becomes enforceable.\n(g)\tAdvances made pursuant to commitment:  priority of lessee of goods.  Subsection (f) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the 45-day period.\nL.2001, c.117, s.1; amended 2001, c.386, s.39.","path":["TITLE 12A COMMERCIAL TRANSACTIONS"],"source_url":"https://pub.njleg.state.nj.us/statutes/STATUTES-TEXT.zip","current_through":"P.L.2025, c.405, and J.R.22","vintage":"","retrieved_at":"2026-08-27T17:54:13Z","sha256":"fc3ddfd883b46933bc314381f8f62ef86cb5d8c4de2cfb365fc207ebb39bc892","source_id":"us-nj","stale":true,"prev":"us-nj/n.j.-stat.-12a-9-322","next":"us-nj/n.j.-stat.-12a-9-324"},"notice":"GroundRules: Original legal text. Not legal advice."}