Missouri Revised Statutes













Chapter 400

Uniform Commercial Code

←400.09-304

Section 400.9-305.1

400.09-306→

August 28, 2015

Law governing perfection and priority of security interests in investment property.

400.9-305. (a) Except as otherwise provided in subsection (c), the

following rules apply:



(1) While a security certificate is located in a jurisdiction, the local

law of that jurisdiction governs perfection, the effect of perfection or

nonperfection, and the priority of a security interest in the certificated

security represented thereby;



(2) The local law of the issuer's jurisdiction as specified in section

400.8-110(d) governs perfection, the effect of perfection or nonperfection,

and the priority of a security interest in an uncertificated security;



(3) The local law of the securities intermediary's jurisdiction as

specified in section 400.8-110(e) governs perfection, the effect of

perfection or nonperfection, and the priority of a security interest in a

security entitlement or securities account;



(4) The local law of the commodity intermediary's jurisdiction governs

perfection, the effect of perfection or nonperfection, and the priority of a

security interest in a commodity contract or commodity account.



(b) The following rules determine a commodity intermediary's

jurisdiction for purposes of this part:



(1) If an agreement between the commodity intermediary and commodity

customer governing the commodity account expressly provides that a particular

jurisdiction is the commodity intermediary's jurisdiction for purposes of this

part, this article, or this chapter, that jurisdiction is the commodity

intermediary's jurisdiction;



(2) If paragraph (1) does not apply and an agreement between the

commodity intermediary and commodity customer governing the commodity account

expressly provides that the agreement is governed by the law of a particular

jurisdiction, that jurisdiction is the commodity intermediary's jurisdiction;



(3) If neither paragraph (1) nor paragraph (2) applies and an agreement

between the commodity intermediary and commodity customer governing the

commodity account expressly provides that the commodity account is maintained

at an office in a particular jurisdiction, that jurisdiction is the commodity

intermediary's jurisdiction;



(4) If none of the preceding paragraphs applies, the commodity

intermediary's jurisdiction is the jurisdiction in which the office

identified in an account statement as the office serving the commodity

customer's account is located;



(5) If none of the preceding paragraphs applies, the commodity

intermediary's jurisdiction is the jurisdiction in which the chief executive

office of the commodity intermediary is located.



(c) The local law of the jurisdiction in which the debtor is located

governs:



(1) Perfection of a security interest in investment property by filing;



(2) Automatic perfection of a security interest in investment property

created by a broker or securities intermediary; and



(3) Automatic perfection of a security interest in a commodity contract

or commodity account created by a commodity intermediary.



(L. 1963 p. 503 § 9-305, A.L. 1988 S.B. 583, A.L. 1992 S.B. 448,

A.L. 1997 S.B. 6, A.L. 2001 S.B. 288)



Effective 7-01-01





1997



1997



400.009.305. A security interest in letters of credit and advices of

credit (subsection (2)(a) of section 400.5-116), goods, instruments, money,

negotiable documents, or chattel paper may be perfected by the secured

party's taking possession of the collateral. A security interest in the

right to proceeds of a written letter of credit may be perfected by the

secured party's taking possession of the letter of credit. If such

collateral other than goods covered by a negotiable document is held by a

bailee, the secured party is deemed to have possession from the time the

bailee receives notification of the secured party's interest. A security

interest is perfected by possession from the time possession is taken

without relation back and continues only so long as possession is retained,

unless otherwise specified in this article. The security interest may be

otherwise perfected as provided in this article before or after the period

of possession by the secured party.



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