Analysis

Synopsis:

 House Bill 66 (HB 66) relates to secured transactions by amending provisions of the Uniform Commercial Code to conform to the official text. It also repeals Section 55-1-110 NMSA 1978 (being laws 2015, Chapter 54, Section 8).

Analysis:

 House Bill 66 (HB 66) relates to secured transactions by amending provisions of the Uniform Commercial Code to conform to the official text. It also repeals Section 55-1-110 NMSA 1978 (being laws 2015, Chapter 54, Section 8).

SECTION 1. Amends the Uniform Commercial Code Section 55-9-102 NMSA 1978 (being Laws 2001, Chapter 139, Section 2, as amended) to revise definitions as follows:

"55-9-102. DEFINITIONS AND INDEX OF DEFINITIONS.—
In Chapter 55, Article 9 NMSA 1978:
Item(43) deletes the word reserved and inserts the definition of “good faith”. The revised text reads as follows:

(43) "good faith" means honesty in fact and the observance of reasonable commercial standards of fair dealing;

Item (67) a definition of a”public finance transaction” is inserted and the section is renumbered. The definition follows:

(67) "public-finance transaction" means a secured transaction in connection with which: (A) debt securities are issued; (B) all or a portion of the securities issued have an initial stated maturity of at least twenty years; and (C) the debtor, obligor, secured party, account debtor or other person obligated on collateral, assignor or assignee of a secured obligation or assignor or assignee of a security interest is a state or a governmental unit of a state;

Item (81) (changed from 80 when renumbered)(D)(c) includes the removal of reference to Chapter 12, Article 2A and corrected the verb tense. 
80 (81) "transmitting utility" means an organization primarily engaged in the business of:
(D) transmitting or producing and transmitting electricity, steam, gas or water.
(c) [Chapter 12, Article 2A and] Chapter 55, Article 1 NMSA 1978 [contain] contains general definitions and principles of construction and interpretation applicable throughout Chapter 55, Article 9 NMSA 1978.

SECTION 2. Amends the Uniform Commercial Code Section 55-9-109 NMSA 1978 (being Laws 2001, Chapter 139, Section 9) addressing scope. The amendment inserts “public-finance transaction or other” in (c)(14).

SECTION 3. Amends the Uniform Commercial Code Section 55-9-620 NMSA 1978 (being Laws 2001, Chapter 139, Section 117) to add “if” in (a)(3) when referring to consumer goods collateral

SECTION 4. Repeals the Uniform Commercial Code Section 55-1-110 NMSA 1978 (being Laws 2015, Chapter 54, Section 8).

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