Asked by Thais De Charentenay on May 17, 2024

verifed

Verified

Perfection by public filing of a financing statement in the appropriate public office serves as ________ notice to the world.

A) express
B) implied
C) constructive
D) public

Public Filing

The process of submitting financial documents and other important corporate information to a regulatory authority for public disclosure.

Financing Statement

A document filed to give public notice of a secured transaction, typically in relation to personal property, establishing a priority interest in the property for the creditor.

Constructive Notice

Notice presumed by law that an individual should have known, often through the public recording of documents, even if they were unaware.

  • Gain an understanding of how a financing statement contributes to the perfection process and the obligation for public disclosure.
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Verified Answer

JM
Julia MastersMay 22, 2024
Final Answer :
C
Explanation :
The most common way of perfecting a security interest is to file a financing statement in the appropriate public office.The financing statement serves as constructive notice to the world that the creditor claims an interest in collateral that belongs to a certain named debtor.