{"data":{"id":"us-ok/okla.-stat.-tit.-12a-12a-1-9-608","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 12A, § 12A-1-9-608","heading":"Application of proceeds of collection or enforcement;","body":"liability for deficiency and right to surplus.\n\nAPPLICATION OF PROCEEDS OF COLLECTION OR ENFORCEMENT;\n\nLIABILITY FOR DEFICIENCY AND RIGHT TO SURPLUS\n\n(a) If a security interest or agricultural lien secures payment\n\nor performance of an obligation, the following rules apply:\n\n(1) A secured party shall apply or pay over for application the\n\ncash proceeds of collection or enforcement under this section in the\n\nfollowing order to:\n\n(A) the reasonable expenses of collection and enforcement\n\nand, to the extent provided for by agreement and not\n\nprohibited by law, reasonable attorney fees and legal\n\nexpenses incurred by the secured party;\n\n(B) the satisfaction of obligations secured by the\n\nsecurity interest or agricultural lien under which the\n\ncollection or enforcement is made; and\n\n(C) the satisfaction of obligations secured by any\n\nsubordinate security interest in or other lien on the\n\ncollateral subject to the security interest or\n\nagricultural lien under which the collection or\n\nenforcement is made if the secured party receives a\n\nsigned demand for proceeds before distribution of the\n\nproceeds is completed.\n\n(2) If requested by a secured party, a holder of a subordinate\n\nsecurity interest or other lien shall furnish reasonable proof of\n\nthe interest or lien within a reasonable time. Unless the holder\n\ncomplies, the secured party need not comply with the holder's demand\n\nunder subparagraph (C) of paragraph (1) of this subsection.\n\n(3) A secured party need not apply or pay over for application\n\nnoncash proceeds of collection and enforcement under this section\n\nunless the failure to do so would be commercially unreasonable. A\n\nsecured party that applies or pays over for application noncash\n\nproceeds shall do so in a commercially reasonable manner.\n\n(4) A secured party shall account to and pay a debtor for any\n\nsurplus, and the obligor is liable for any deficiency.\n\n(b) If the underlying transaction is a sale of accounts,\n\nchattel paper, payment intangibles, or promissory notes, the debtor\n\nis not entitled to any surplus, and the obligor is not liable for\n\nany deficiency.","path":["OK Code","Title 12A"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os12A.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"55b00105c152eb02e778472fb8a9bcc15aad1e723e87e7c4478ac312da120b90","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-12a-12a-1-9-607","next":"us-ok/okla.-stat.-tit.-12a-12a-1-9-609"},"notice":"GroundRules: Original legal text. Not legal advice."}