§ 9–323
Statutes in effect as of October 1, 2026.
Md. Code Ann., Com. Law § 9-323 (2026)
Title 9. Secured Transactions
Subtitle 3. Perfection and Priority
§ 9–323LinkCopy Citation
(a)
Except as otherwise provided in subsection (b), for purposes of determining the priority of a perfected security interest under § 9-322(a)(1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:
(1)
Is made while the security interest is perfected only:
(A)
Under § 9-309 when it attaches; or
(B)
Temporarily under § 9-312(e), (f), or (g); and
(2)
Is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under § 9-309 or § 9-312(e), (f), or (g).
(b)
Subsection (a) does not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor.
(c)
Except as otherwise provided in subsection (d), a buyer of goods other than a buyer in ordinary course of business takes free of a security interest to the extent that it secures advances made after the earlier of:
(1)
The time the secured party acquires knowledge of the buyer’s purchase; or
(2)
45 days after the purchase.
(d)
Subsection (c) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer’s purchase and before the expiration of the 45-day period.
(e)
Except as otherwise provided in subsection (f), a lessee of goods, other than a lessee in ordinary course of business, takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:
(1)
The time the secured party acquires knowledge of the lease; or
(2)
45 days after the lease contract becomes enforceable.
(f)
Subsection (e) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the 45-day period.