TITLE 28

COMMERCIAL TRANSACTIONS

CHAPTER 9

SECURED TRANSACTIONS

PART 4.

RIGHTS OF THIRD PARTIES

28-9-401.  Alienability of debtor’s rights. (a) Except as otherwise provided in subsection (b) of this section and sections 28-9-406, 28-9-407, 28-9-408 and 28-9-409, whether a debtor’s rights in collateral may be voluntarily or involuntarily transferred is governed by law other than this chapter.

(b)  An agreement between the debtor and secured party which prohibits a transfer of the debtor’s rights in collateral or makes the transfer a default does not prevent the transfer from taking effect.

History:

[28-9-401, added 2001, ch. 208, sec. 2, p. 756.]