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<section article="gcl" article_name="Commercial Law" number="9-328" title_number="9" title_name="Secured Transactions" subtitle_number="3" subtitle_name="Perfection and Priority">
  <text>The following rules govern priority among conflicting security interests in the same investment property:</text>
  <level label="1">
    <text>A security interest held by a secured party having control of investment property under § 9-106 has priority over a security interest held by a secured party that does not have control of the investment property.</text>
  </level>
  <level label="2">
    <text>Except as otherwise provided in paragraphs (3) and (4), conflicting security interests held by secured parties each of which has control under § 9-106 rank according to priority in time of:</text>
    <level label="A">
      <text>If the collateral is a security, obtaining control;</text>
    </level>
    <level label="B">
      <text>If the collateral is a security entitlement carried in a securities account and:</text>
      <level label="i">
        <text>If the secured party obtained control under § 8-106(d)(1) of this article, the secured party’s becoming the person for which the securities account is maintained;</text>
      </level>
      <level label="ii">
        <text>If the secured party obtained control under § 8-106(d)(2) of this article, the securities intermediary’s agreement to comply with the secured party’s entitlement orders with respect to security entitlements carried or to be carried in the securities account; or</text>
      </level>
      <level label="iii">
        <text>If the secured party obtained control through another person under § 8-106(d)(3) of this article, the time on which priority would be based under this paragraph if the other person were the secured party; or</text>
      </level>
    </level>
    <level label="C">
      <text>If the collateral is a commodity contract carried with a commodity intermediary, the satisfaction of the requirement for control specified in § 9-106(b)(2) with respect to commodity contracts carried or to be carried with the commodity intermediary.</text>
    </level>
  </level>
  <level label="3">
    <text>A security interest held by a securities intermediary in a security entitlement or a securities account maintained with the securities intermediary has priority over a conflicting security interest held by another secured party.</text>
  </level>
  <level label="4">
    <text>A security interest held by a commodity intermediary in a commodity contract or a commodity account maintained with the commodity intermediary has priority over a conflicting security interest held by another secured party.</text>
  </level>
  <level label="5">
    <text>A security interest in a certificated security in registered form which is perfected by taking delivery under § 9-313(a) and not by control under § 9-314 has priority over a conflicting security interest perfected by a method other than control.</text>
  </level>
  <level label="6">
    <text>Conflicting security interests created by a broker, securities intermediary, or commodity intermediary which are perfected without control under § 9-106 rank equally.</text>
  </level>
  <level label="7">
    <text>In all other cases, priority among conflicting security interests in investment property is governed by §§ 9-322 and 9-323.</text>
  </level>
</section>
