Asked by Linda Rydberg on Jun 08, 2024

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Verified

A buyer in the ordinary course of business:

A) is subject to the security interest created by his seller.
B) takes free from the security interest created by the secured party.
C) takes free from the security interest created by his seller.
D) is subject to the security interest created by the secured party.

Buyer

A buyer is a person or entity that purchases goods or services from a seller in exchange for money or other consideration.

Ordinary Course

Activities that are considered normal, customary, or usual for a business under certain conditions.

Security Interest

A legal right or security interest on assets that have been offered as a guarantee, typically for the purpose of ensuring the repayment of borrowed money.

  • Describe the rights of a buyer in the ordinary course of business under the UCC.
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Verified Answer

YC
Yusmichel CanteroJun 09, 2024
Final Answer :
C
Explanation :
A buyer in the ordinary course of business (other than a person buying farm products from a person engaged in farming operations)takes free from a security interest created by his seller even though the security interest is perfected and even though the buyer knows of its existence [UCC 9-320(a)].