What is UCC filing in Michigan?
UCC Overview Uniform Commercial Code law governs commercial transactions. Article 9 of the Uniform Commercial Code designates the office of the Secretary of State for the filing and searching of secured transaction documents.
Does Michigan use the UCC?
The UCC has been adopted in one form or another by all fifty states. The Michigan Uniform Commercial Code was first adopted in 1962, and has been amended at various times throughout the years since. Michigan ‘s UCC is divided into nine separate Articles.
What is the purpose of the UCC-1 form?
A UCC financing statement — also called a UCC-1 financing statement or a UCC-1 filing — is a legal form that allows a lender to announce a lien on an asset to secure a loan. By filing the UCC financing statement, the lender is giving notice that it has an interest in the property listed in the filing.
What does filing a UCC mean?
A UCC-Uniform Commercial Code-1 statement is a legal notice filed by creditors as a way to publicly declare their rights to potentially obtain the personal properties of debtors who default on business loans they extend.
How do I remove a UCC filing in Michigan?
Terminate the financing statement in the office that received the original filing, either the Michigan Department of State UCC Office or the County Register of Deeds.
What happens when you file a UCC-1?
A UCC-1 filing is a legal form that a creditor files to secure its interest in a borrower’s property or assets used as collateral for a loan. The filing serves as a public notice that the creditor has the right to take possession of the assets as repayment on the underlying debt.
What are the benefits after filing a UCC-1?
What are the benefits after filing a UCC-1. A state or county UCC section allows you to give public notice that you, as a creditor or secured party, have entered into a security agreement with a debtor, along with a description of the collateral involved.
What is UCC filing fee?
A UCC filing fee is the fee incurred when a party files Form UCC-1. The fee will vary by state. For example, a starting fee of $10 applies to California filers, while a starting fee of $20 applies to New York filers.