Asked by Emily Lutsock on Jul 05, 2024
Verified
To create an enforceable security interest between Mortgage Bank and National Property Company in a written security agreement, the agreement must be signed by
A) the debtor.
B) the creditor.
C) all of the choices.
D) a disinterested third-party witness.
Enforceable Security Interest
A legal claim or right on property or assets that can be legally upheld by a court to secure the repayment of a debt.
Security Agreement
A legal document that provides security interest in movable assets or personal property by the debtor to the creditor as collateral for a loan.
- Understand the requirements and processes for creating an enforceable security interest.
Verified Answer
ZK
Zybrea KnightJul 08, 2024
Final Answer :
A
Explanation :
For a security agreement to be enforceable, it must be authenticated (usually by signing) by the party against whom enforcement is sought, which is typically the debtor. The creditor's signature is not a requirement for enforceability under Article 9 of the Uniform Commercial Code (UCC).
Learning Objectives
- Understand the requirements and processes for creating an enforceable security interest.
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