Bill Text: IA HF2321 | 2011-2012 | 84th General Assembly | Enrolled

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Bill Title: A bill for an act amending provisions in the uniform commercial code relating to secured transactions, and including effective date provisions. Effective 7-1-13.

Sponsorship: Committee Bill

Status: (Passed) 2012-04-04 - Signed by Governor. H.J. 755. [HF2321 Detail]

Download: Iowa-2011-HF2321-Enrolled.html

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House File 2321
AN ACT
AMENDING PROVISIONS IN THE UNIFORM COMMERCIAL CODE RELATING
TO SECURED TRANSACTIONS, AND INCLUDING EFFECTIVE DATE
PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 554.9102, subsection 1, paragraph g,
subparagraph (2), Code 2011, is amended to read as follows:
(2) to execute or otherwise adopt a symbol, or encrypt
or similarly process a record in whole or in part, with the
present intent of the authenticating person to identify the
person and adopt or accept a record to adopt or accept a
record, to attach to or logically associate with the record an
electronic sound, symbol, or process .
Sec. 2. Section 554.9102, subsection 1, paragraphs j, ax,
and br, Code 2011, are amended to read as follows:
j. “Certificate of title” means a certificate of title
with respect to which a statute provides for the security
interest in question to be indicated on the certificate as
a condition or result of the security interest’s obtaining
priority over the rights of a lien creditor with respect to the
collateral. The term includes another record maintained as
an alternative to a certificate of title by the governmental
unit that issues certificates of title if a statute permits the
security interest in question to be indicated on the record
as a condition or result of the security interest’s obtaining
priority over the rights of a lien creditor with respect to the
collateral.
ax. “Jurisdiction of organization” , with respect to a
registered organization, means the jurisdiction under whose law
the organization is formed or organized.

House File 2321, p. 2
br. “Registered organization” means an organization formed
or organized solely under the law of a single state or the
United States and as to which the state or the United States
must maintain a public record showing the organization to have
been organized by the filing of a public organic record with,
the issuance of a public organic record by, or the enactment
of legislation by the state or the United States. The term
includes a business trust that is formed under the law of a
single state if a statute of the state governing business
trusts requires that the business trust’s organic record be
filed with the state .
Sec. 3. Section 554.9102, subsection 1, Code 2011, is
amended by adding the following new paragraph:
NEW PARAGRAPH . 0bp. “Public organic record” means a record
that is available to the public for inspection and is:
(1) a record consisting of the record initially filed with
or issued by a state or the United States to form or organize
an organization and any record filed with or issued by the
state or the United States which amends or restates the initial
record;
(2) an organic record of a business trust consisting of
the record initially filed with a state and any record filed
with the state which amends or restates the initial record, if
a statute of the state governing business trusts requires that
the record be filed with the state; or
(3) a record consisting of legislation enacted by the
legislature of a state or the Congress of the United States
which forms or organizes an organization, any record amending
the legislation, and any record filed with or issued by the
state or the United States which amends or restates the name of
the organization.
Sec. 4. Section 554.9105, Code 2011, is amended to read as
follows:
554.9105 Control of electronic chattel paper.
1. General rule: control of electronic chattel paper. A
secured party has control of electronic chattel paper if a
system employed for evidencing the transfer of interests in the
chattel paper reliably establishes the secured party as the
person to which the chattel paper was assigned.
2. Specific facts giving control. A system satisfies
subsection 1 if the record or records comprising the chattel
paper are created, stored, and assigned in such a manner that:
1. a. a single authoritative copy of the record or records

House File 2321, p. 3
exists which is unique, identifiable and, except as otherwise
provided in subsections 4, 5, and 6 paragraphs “d” , “e” , and
“f” , unalterable;
2. b. the authoritative copy identifies the secured party
as the assignee of the record or records;
3. c. the authoritative copy is communicated to and
maintained by the secured party or its designated custodian;
4. d. copies or revisions amendments that add or change an
identified assignee of the authoritative copy can be made only
with the participation consent of the secured party;
5. e. each copy of the authoritative copy and any copy
of a copy is readily identifiable as a copy that is not the
authoritative copy; and
6. f. any revision amendment of the authoritative copy is
readily identifiable as an authorized or unauthorized revision.
Sec. 5. Section 554.9307, subsection 6, paragraph b, Code
2011, is amended to read as follows:
b. in the state that the registered organization, branch, or
agency designates, if the law of the United States authorizes
the registered organization, branch, or agency to designate its
state of location , including by designating its main office,
home office, or other comparable office ; or
Sec. 6. Section 554.9311, subsection 1, paragraphs b and c,
Code 2011, are amended to read as follows:
b. any certificate-of-title statute, including as provided
in chapter 321 , covering automobiles, trailers, mobile homes,
boats, farm tractors, or the like, which provides for a
security interest to be indicated on the a certificate of title
as a condition or result of perfection; or
c. a certificate-of-title statute of another jurisdiction
which provides for a security interest to be indicated on
the a certificate of title as a condition or result of the
security interest’s obtaining priority over the rights of a
lien creditor with respect to the property.
Sec. 7. Section 554.9316, Code 2011, is amended by adding
the following new subsections:
NEW SUBSECTION . 8. Effect on filed financing statement
of change in governing law. The following rules apply to
collateral to which a security interest attaches within
four months after the debtor changes its location to another
jurisdiction:
a. A financing statement filed before the change pursuant
to the law of the jurisdiction designated in section 554.9301,

House File 2321, p. 4
subsection 1, or section 554.9305, subsection 3, is effective
to perfect a security interest in the collateral if the
financing statement would have been effective to perfect a
security interest in the collateral had the debtor not changed
its location.
b. If a security interest perfected by a financing statement
that is effective under paragraph “a” becomes perfected under
the law of the other jurisdiction before the earlier of the
time the financing statement would have become ineffective
under the law of the jurisdiction designated in section
554.9301, subsection 1, or section 554.9305, subsection 3, or
the expiration of the four-month period, it remains perfected
thereafter. If the security interest does not become perfected
under the law of the other jurisdiction before the earlier time
or event, it becomes unperfected and is deemed never to have
been perfected as against a purchaser of the collateral for
value.
NEW SUBSECTION . 9. Effect of change in governing law
on financing statement filed against original debtor. If a
financing statement naming an original debtor is filed pursuant
to the law of the jurisdiction designated in section 554.9301,
subsection 1, or section 554.9305, subsection 3, and the new
debtor is located in another jurisdiction, the following rules
apply:
a. The financing statement is effective to perfect a
security interest in collateral acquired by the new debtor
before, and within four months after, the new debtor becomes
bound under section 554.9203, subsection 4, if the financing
statement would have been effective to perfect a security
interest in the collateral had the collateral been acquired by
the original debtor.
b. A security interest perfected by the financing statement
and which becomes perfected under the law of the other
jurisdiction before the earlier of the time the financing
statement would have become ineffective under the law of
the jurisdiction designated in section 554.9301, subsection
1, or section 554.9305, subsection 3, or the expiration
of the four-month period remains perfected thereafter. A
security interest that is perfected by the financing statement
but which does not become perfected under the law of the
other jurisdiction before the earlier time or event becomes
unperfected and is deemed never to have been perfected as
against a purchaser of the collateral for value.

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Sec. 8. Section 554.9317, subsections 2 and 4, Code 2011,
are amended to read as follows:
2. Buyers that receive delivery. Except as otherwise
provided in subsection 5 , a buyer, other than a secured
party, of tangible chattel paper, tangible documents, goods,
instruments, or a security certificate certificated security
takes free of a security interest or agricultural lien if the
buyer gives value and receives delivery of the collateral
without knowledge of the security interest or agricultural lien
and before it is perfected.
4. Licensees and buyers of certain collateral. A licensee of
a general intangible or a buyer, other than a secured party,
of accounts, electronic chattel paper, electronic documents,
general intangibles, or investment property collateral other
than tangible chattel paper, tangible documents, goods,
instruments, or a certificated security takes free of a
security interest if the licensee or buyer gives value without
knowledge of the security interest and before it is perfected.
Sec. 9. Section 554.9326, Code 2011, is amended to read as
follows:
554.9326 Priority of security interests created by new
debtor.
1. Subordination of security interest created by new
debtor. Subject to subsection 2 , a security interest that
is created by a new debtor which is in collateral in which
the new debtor has or acquires rights and is perfected solely
by a filed financing statement that is effective solely
under section 554.9508 in collateral in which a new debtor
has or acquires rights would be ineffective to perfect the
security interest but for the application of section 554.9316,
subsection 9, paragraph “a” , or section 554.9508 is subordinate
to a security interest in the same collateral which is
perfected other than by such a filed financing statement that
is effective solely under section 554.9508 .
2. Priority under other provisions —— multiple original
debtors. The other provisions of this part determine the
priority among conflicting security interests in the same
collateral perfected by filed financing statements that are
effective solely under section 554.9508 described in subsection
1 . However, if the security agreements to which a new debtor
became bound as debtor were not entered into by the same
original debtor, the conflicting security interests rank
according to priority in time of the new debtor’s having become

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bound.
Sec. 10. Section 554.9406, subsection 5, Code 2011, is
amended to read as follows:
5. Inapplicability of subsection 4 to certain sales.
Subsection 4 does not apply to the sale of a payment intangible
or promissory note , other than a sale pursuant to a disposition
under section 554.9610 or an acceptance of collateral under
section 554.9620 .
Sec. 11. Section 554.9408, subsection 2, Code 2011, is
amended to read as follows:
2. Applicability of subsection 1 to sales of certain rights
to payment. Subsection 1 applies to a security interest in
a payment intangible or promissory note only if the security
interest arises out of a sale of the payment intangible or
promissory note , other than a sale pursuant to a disposition
under section 554.9610 or an acceptance of collateral under
section 554.9620 .
Sec. 12. Section 554.9502, subsection 3, paragraph c, Code
2011, is amended to read as follows:
c. the record satisfies the requirements for a financing
statement in this section , other than an indication but:
(1) the record need not indicate that it is to be filed in
the real property records; and
(2) the record sufficiently provides the name of a debtor
who is an individual if it provides the individual name of the
debtor or the surname and first personal name of the debtor,
even if the debtor is an individual to whom section 554.9503,
subsection 1, paragraph “d” applies; and
Sec. 13. Section 554.9503, subsection 1, paragraphs a
through d, Code 2011, are amended to read as follows:
a. except as otherwise provided in paragraph “c” , if the
debtor is a registered organization or if the collateral is
held in a trust that is a registered organization , only if the
financing statement provides the name of the debtor indicated
that is stated to be the registered organization’s name on
the public organic record of most recently filed with or
issued or enacted by the debtor’s registered organization’s
jurisdiction of organization which shows the debtor to have
been organized purports to state, amend, or restate the
registered organization’s name ;
b. subject to subsection 6, if the debtor is a decedent’s
estate collateral is being administered by the personal
representative of a decedent , only if the financing statement

House File 2321, p. 7
provides , as the name of the debtor, the name of the decedent
and , in a separate part of the financing statement, indicates
that the debtor is an estate collateral is being administered
by a personal representative ;
c. if the debtor is a trust or a trustee acting with respect
to property held in trust, only if the financing statement
collateral is held in a trust that is not a registered
organization, only if the financing statement :
(1) provides as the name specified for the trust in its
organic documents or, if no name is specified, provides the
name of the settlor and additional information sufficient to
distinguish the debtor from other trusts having one or more of
the same settlors; and of the debtor:
(a) if the organic record of the trust specifies a name for
the trust, the name specified; or
(b) if the organic record of the trust does not specify a
name for the trust, the name of the settlor or testator; and
(2) indicates, in the debtor’s name or otherwise, that
the debtor is a trust or is a trustee acting with respect to
property held in trust; and in a separate part of the financing
statement:
(a) if the name is provided in accordance with subparagraph
(1), subparagraph division (a), indicates that the collateral
is held in a trust; or
(b) if the name is provided in accordance with subparagraph
(1), subparagraph division (b), provides additional information
sufficient to distinguish the trust from other trusts having
one or more of the same settlors or the same testator and
indicates that the collateral is held in a trust, unless the
additional information so indicates;
d. subject to subsection 7, if the debtor is an individual
to whom this state has issued a driver’s license under chapter
321 that has not expired, only if the financing statement
provides the name of the individual which is indicated on the
driver’s license;
e. if the debtor is an individual to whom paragraph “d”
does not apply, only if the financing statement provides the
individual name of the debtor or the surname and first personal
name of the debtor; and
f. in other cases:
(1) if the debtor has a name, only if it the financing
statement provides the individual or organizational name of the
debtor; and

House File 2321, p. 8
(2) if the debtor does not have a name, only if it provides
the names of the partners, members, associates, or other
persons comprising the debtor , in a manner that each name
provided would be sufficient if the person named were the
debtor .
Sec. 14. Section 554.9503, subsection 2, paragraph b, Code
2011, is amended to read as follows:
b. unless required under subsection 1 , paragraph “d” “f” ,
subparagraph (2), names of partners, members, associates, or
other persons comprising the debtor.
Sec. 15. Section 554.9503, Code 2011, is amended by adding
the following new subsections:
NEW SUBSECTION . 6. Name of decedent. The name of the
decedent indicated on the order appointing the personal
representative of the decedent issued by the court having
jurisdiction over the collateral is sufficient as the “name of
the decedent” under subsection 1, paragraph “b” .
NEW SUBSECTION . 7. Multiple driver’s licenses. If this
state has issued to an individual more than one driver’s
license under chapter 321 of a kind described in subsection 1,
paragraph “d” , the one that was issued most recently is the one
to which subsection 1, paragraph “d” refers.
NEW SUBSECTION . 8. Definition. In this section, the “name
of the settlor or testator” means:
a. if the settlor is a registered organization, the name
that is stated to be the settlor’s name on the public organic
record most recently filed with or issued or enacted by the
settlor’s jurisdiction of organization which purports to state,
amend, or restate the settlor’s name; or
b. in other cases, the name of the settlor or testator
indicated in the trust’s organic record.
Sec. 16. Section 554.9507, subsection 3, Code 2011, is
amended to read as follows:
3. Change in debtor’s name. If a debtor so changes its the
name that a filed financing statement provides for a debtor
becomes insufficient as the name of the debtor under section
554.9503, subsection 1, so that the financing statement becomes
seriously misleading under section 554.9506 :
a. the financing statement is effective to perfect a
security interest in collateral acquired by the debtor before,
or within four months after, the change filed financing
statement becomes seriously misleading ; and
b. the financing statement is not effective to perfect a

House File 2321, p. 9
security interest in collateral acquired by the debtor more
than four months after the change filed financing statement
becomes seriously misleading , unless an amendment to the
financing statement which renders the financing statement not
seriously misleading is filed within four months after the
change the financing statement became seriously misleading .
Sec. 17. Section 554.9515, subsection 6, Code 2011, is
amended to read as follows:
6. Transmitting utility financing statement. If a debtor is
a transmitting utility and a filed initial financing statement
so indicates, the financing statement is effective until a
termination statement is filed.
Sec. 18. Section 554.9516, subsection 2, paragraph c,
subparagraph (2), unnumbered paragraph 1, Code 2011, is amended
to read as follows:
in the case of an amendment or correction information
statement, the record:
Sec. 19. Section 554.9516, subsection 2, paragraph c,
subparagraph (3), Code 2011, is amended to read as follows:
(3) in the case of an initial financing statement that
provides the name of a debtor identified as an individual or
an amendment that provides a name of a debtor identified as an
individual which was not previously provided in the financing
statement to which the record relates, the record does not
identify the debtor’s last name surname ; or
Sec. 20. Section 554.9516, subsection 2, paragraph e, Code
2011, is amended to read as follows:
e. in the case of an initial financing statement or an
amendment that provides a name of a debtor which was not
previously provided in the financing statement to which the
amendment relates, the record does not:
(1) provide a mailing address for the debtor; or
(2) indicate whether the name provided as the name of the
debtor is the name of an individual or an organization; or
(3) if the financing statement indicates that the debtor is
an organization, provide:
(a) a type of organization for the debtor;
(b) a jurisdiction of organization for the debtor; or
(c) an organizational identification number for the debtor
or indicate that the debtor has none;
Sec. 21. Section 554.9518, Code 2011, is amended to read as
follows:
554.9518 Claim concerning inaccurate or wrongfully filed

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record.
1. Correction statement Statement with respect to record
indexed under person’s name . A person may file in the filing
office a correction an information statement with respect to
a record indexed there under the person’s name if the person
believes that the record is inaccurate or was wrongfully filed.
2. Sufficiency Contents of correction statement under
subsection 1 . A correction An information statement under
subsection 1 must:
a. identify the record to which it relates by:
(1) by the file number assigned to the initial financing
statement to which the record relates; and
(2) if the correction statement relates to a record filed
or recorded in a filing office described in section 554.9501,
subsection 1 , paragraph “a” , the date and time that the initial
financing statement was filed or recorded and the information
specified in section 554.9502, subsection 2 ;
b. indicate that it is a correction an information
statement; and
c. provide the basis for the person’s belief that the record
is inaccurate and indicate the manner in which the person
believes the record should be amended to cure any inaccuracy or
provide the basis for the person’s belief that the record was
wrongfully filed.
3. Statement by secured party of record. A person may file
in the filing office an information statement with respect to a
record filed there if the person is a secured party of record
with respect to the financing statement to which the record
relates and believes that the person that filed the record was
not entitled to do so under section 554.9509, subsection 4.
4. Contents of statement under subsection 3. An information
statement under subsection 3 must:
a. identify the record to which it relates by the file
number assigned to the initial financing statement to which the
record relates;
b. indicate that it is an information statement; and
c. provide the basis for the person’s belief that the person
that filed the record was not entitled to do so under section
554.9509, subsection 4.
3. 5. Record not affected by correction information
statement. The filing of a correction an information statement
does not affect the effectiveness of an initial financing
statement or other filed record.

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Sec. 22. Section 554.9607, subsection 2, paragraph b,
subparagraph (1), Code 2011, is amended to read as follows:
(1) a default has occurred with respect to the obligation
secured by the mortgage ; and
Sec. 23. Section 554.9625, subsection 3, Code 2011, is
amended to read as follows:
3. Persons entitled to recover damages —— statutory
damages in consumer-goods transaction if collateral is consumer
goods . Except as otherwise provided in section 554.9628 :
a. a person that, at the time of the failure, was a debtor,
was an obligor, or held a security interest in or other lien
on the collateral may recover damages under subsection 2 for
its loss; and
b. if the collateral is consumer goods, a person that was
a debtor or a secondary obligor at the time a secured party
failed to comply with this part may recover for that failure
in any event an amount not less than the credit service charge
plus ten percent of the principal amount of the obligation or
the time-price differential plus ten percent of the cash price.
Sec. 24. NEW SECTION . 554.9801 Effective date. The
amendments to this Article, as enacted in this Act, take effect
on July 1, 2013.
Sec. 25. NEW SECTION . 554.9802 Savings clause.
1. Pre-effective-date transactions or liens. Except
as otherwise provided in this part, this Act applies to a
transaction or lien within its scope, even if the transaction
or lien was entered into or created before July 1, 2013.
2. Pre-effective date proceedings. This Act does not affect
an action, case, or proceeding commenced before July 1, 2013.
Sec. 26. NEW SECTION . 554.9803 Security interest perfected
before effective date.
1. Continuing perfection: perfection requirements
satisfied. A security interest that is a perfected security
interest immediately before July 1, 2013, is a perfected
security interest under this Article, as amended by this Act,
if on July 1, 2013, the applicable requirements for attachment
and perfection under this Article, as amended by this Act, are
satisfied without further action.
2. Continuing perfection: perfection requirements not
satisfied. Except as otherwise provided in section 554.9805,
if immediately before July 1, 2013, a security interest is a
perfected security interest, but the applicable requirements
for perfection under this Article, as amended by this Act, are

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not satisfied on July 1, 2013, the security interest remains
perfected thereafter only if the applicable requirements for
perfection under this Article, as amended by this Act, are
satisfied within one year after July 1, 2013.
Sec. 27. NEW SECTION . 554.9804 Security interest
unperfected before effective date.
A security interest that is an unperfected security interest
immediately before July 1, 2013, becomes a perfected security
interest:
1. without further action, on July 1, 2013, if the
applicable requirements for perfection under this Article, as
amended by this Act, are satisfied before or on July 1, 2013;
or
2. when the applicable requirements for perfection are
satisfied if the requirements are satisfied after July 1, 2013.
Sec. 28. NEW SECTION . 554.9805 Effectiveness of action
taken before effective date.
1. Pre-effective-date filing effective. The filing of
a financing statement before July 1, 2013, is effective to
perfect a security interest to the extent the filing would
satisfy the applicable requirements for perfection under this
Article, as amended by this Act.
2. When pre-effective-date filing becomes ineffective. This
Act does not render ineffective an effective financing
statement that, before July 1, 2013, is filed and satisfies
the applicable requirements for perfection under the law of
the jurisdiction governing perfection as provided in this
Article, as it existed before July 1, 2013. However, except as
otherwise provided in subsections 3 and 4 and section 554.9806,
the financing statement ceases to be effective:
a. if the financing statement is filed in this state, at the
time the financing statement would have ceased to be effective
had this Act not taken effect; or
b. if the financing statement is filed in another
jurisdiction, at the earlier of:
(1) the time the financing statement would have ceased to be
effective under the law of that jurisdiction; or
(2) June 30, 2018.
3. Continuation statement. The filing of a continuation
statement on or after July 1, 2013, does not continue the
effectiveness of a financing statement filed before July 1,
2013. However, upon the timely filing of a continuation
statement on or after July 1, 2013, and in accordance with

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the law of the jurisdiction governing perfection as provided
in this Article, as amended by this Act, the effectiveness
of a financing statement filed in the same office in that
jurisdiction before July 1, 2013, continues for the period
provided by the law of that jurisdiction.
4. Application of subsection 2, paragraph “b”, subparagraph
(2) to transmitting utility financing statement. Subsection
2, paragraph “b” , subparagraph (2) applies to a financing
statement that, before July 1, 2013, is filed against a
transmitting utility and satisfies the applicable requirements
for perfection under the law of the jurisdiction governing
perfection as provided in this Article, as it existed before
July 1, 2013, only to the extent that this Article, as amended
by this Act, provides that the law of a jurisdiction other than
the jurisdiction in which the financing statement is filed
governs perfection of a security interest in collateral covered
by the financing statement.
5. Application of Part 5. A financing statement that
includes a financing statement filed before July 1, 2013,
and a continuation statement filed on or after July 1,
2013, is effective only to the extent that the financing
statement satisfies the requirements of Part 5, as amended by
this Act, for an initial financing statement. A financing
statement that indicates that the debtor is a decedent’s
estate indicates that the collateral is being administered
by a personal representative within the meaning of section
554.9503, subsection 1, paragraph “b” , as amended by this Act.
A financing statement that indicates that the debtor is a trust
or is a trustee acting with respect to property held in trust
indicates that the collateral is held in a trust within the
meaning of section 554.9503, subsection 1, paragraph “c” , as
amended by this Act.
Sec. 29. NEW SECTION . 554.9806 When initial financing
statement suffices to continue effectiveness of financing
statement.
1. Initial financing statement in lieu of continuation
statement. The filing of an initial financing statement
in the office specified in section 554.9501 continues the
effectiveness of a financing statement filed before July 1,
2013, if:
a. the filing of an initial financing statement in that
office would be effective to perfect a security interest under
this Article, as amended by this Act;

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b. the pre-effective-date financing statement was filed in
an office in another state; and
c. the initial financing statement satisfies subsection 3.
2. Period of continued effectiveness. The filing of an
initial financing statement under subsection 1 continues the
effectiveness of the pre-effective-date financing statement:
a. if the initial financing statement is filed before
July 1, 2013, for the period provided in section 554.9515, as
it existed before July 1, 2013, with respect to an initial
financing statement; and
b. if the initial financing statement is filed on or after
July 1, 2013, for the period provided in section 554.9515,
as amended by this Act, with respect to an initial financing
statement.
3. Requirements for initial financing statement under
subsection 1. To be effective for purposes of subsection 1, an
initial financing statement must:
a. satisfy the requirements of Part 5, as amended by this
Act, for an initial financing statement;
b. identify the pre-effective-date financing statement by
indicating the office in which the financing statement was
filed and providing the dates of filing and file numbers,
if any, of the financing statement and of the most recent
continuation statement filed with respect to the financing
statement; and
c. indicate that the pre-effective-date financing statement
remains effective.
Sec. 30. NEW SECTION . 554.9807 Amendment of
pre-effective-date financing statement.
1. “Pre-effective-date financing statement”. In this
section, “pre-effective-date financing statement” means a
financing statement filed before July 1, 2013.
2. Applicable law. On or after July 1, 2013, a person may
add or delete collateral covered by, continue or terminate the
effectiveness of, or otherwise amend the information provided
in, a pre-effective-date financing statement only in accordance
with the law of the jurisdiction governing perfection as
provided in this Article, as amended by this Act. However,
the effectiveness of a pre-effective-date financing statement
also may be terminated in accordance with the law of the
jurisdiction in which the financing statement is filed.
3. Method of amending: general rule. Except as otherwise
provided in subsection 4, if the law of this state governs

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perfection of a security interest, the information in a
pre-effective-date financing statement may be amended on or
after July 1, 2013, only if:
a. the pre-effective-date financing statement and an
amendment are filed in the office specified in section
554.9501;
b. an amendment is filed in the office specified in section
554.9501 concurrently with, or after the filing in that office
of, an initial financing statement that satisfies section
554.9806, subsection 3; or
c. an initial financing statement that provides the
information as amended and satisfies section 554.9806,
subsection 3, is filed in the office specified in section
554.9501.
4. Method of amending: continuation. If the law of
this state governs perfection of a security interest, the
effectiveness of a pre-effective-date financing statement may
be continued only under section 554.9805, subsections 3 and 5,
or section 554.9806.
5. Method of amending: additional termination rule. Whether
or not the law of this state governs perfection of a security
interest, the effectiveness of a pre-effective-date financing
statement filed in this state may be terminated on or after
July 1, 2013, by filing a termination statement in the office
in which the pre-effective-date financing statement is filed,
unless an initial financing statement that satisfies section
554.9806, subsection 3, has been filed in the office specified
by the law of the jurisdiction governing perfection as provided
in this Article, as amended by this Act, as the office in which
to file a financing statement.
Sec. 31. NEW SECTION . 554.9808 Person entitled to file
initial financing statement or continuation statement.
A person may file an initial financing statement or a
continuation statement under this part if:
1. the secured party of record authorizes the filing; and
2. the filing is necessary under this part:
a. to continue the effectiveness of a financing statement
filed before July 1, 2013; or
b. to perfect or continue the perfection of a security
interest.
Sec. 32. NEW SECTION . 554.9809 Priority.
This Act determines the priority of conflicting claims to
collateral. However, if the relative priorities of the claims

House File 2321, p. 16
were established before July 1, 2013, this Article, as it
existed before July 1, 2013, determines priority.
Sec. 33. CODE EDITOR DIRECTIVE. Section 554.9316, Code
2011, is amended by striking from the headnote the words
“Continued perfection of security interest following change in
governing law.” and inserting in lieu thereof the words “Effect
of change in governing law.”
Sec. 34. REPEAL. Sections 554.9701 through 554.9710, Code
2011, are repealed.
Sec. 35. REPEAL. Sections 554.9801 through 554.9809 are
repealed effective July 1, 2019.
Sec. 36. GENERAL SAVINGS PROVISION. The repeals of sections
554.9701 through 554.9710, and sections 554.9801 through
554.9809 in this Act are subject to the application of section
4.13, relating to general savings provisions.
Sec. 37. EFFECTIVE DATE. This Act takes effect July 1,
2013.
______________________________
KRAIG PAULSEN
Speaker of the House
______________________________
JOHN P. KIBBIE
President of the Senate
I hereby certify that this bill originated in the House and
is known as House File 2321, Eighty-fourth General Assembly.
______________________________
W. CHARLES SMITHSON
Chief Clerk of the House
Approved _______________, 2012
______________________________
TERRY E. BRANSTAD
Governor