SB203: Bill Text

SB203, s. 6 Section 6. 409.103 (1) (a) of the statutes is amended to read:

SB203,23,2 409.103 (1) (a) This subsection applies to documents and, instruments, rights to proceeds of written letters of credit, and to goods other than those covered by a certificate of title described in sub. (2), mobile goods described in sub. (3), and minerals described in sub. (5).

SB203, s. 7 Section 7. 409.104 (13) of the statutes is amended to read:

SB203,23,6 409.104 (13) To a transfer of an interest in any deposit account as defined in s. 409.105 (1), except as provided with respect to proceeds under s. 409.306 and priorities in proceeds under s. 409.312.; or

SB203, s. 8 Section 8. 409.104 (14) of the statutes is created to read:

SB203,23,9 409.104 (14) To a transfer of an interest in a letter of credit other than the rights to proceeds of a written letter of credit.

SB203, s. 9 Section 9. 409.105 (3) (cm) of the statutes is created to read:

SB203,23,11 409.105 (3) (cm) "Letter of credit" — s. 405.102 (1) (j).

SB203, s. 10 Section 10. 409.105 (3) (dm) of the statutes is created to read:

SB203,23,13 409.105 (3) (dm) "Proceeds of a letter of credit" — s. 405.114 (1).

SB203, s. 11 Section 11. 409.106 of the statutes is amended to read:

SB203,23,22 409.106 Definitions: "account"; "general intangibles". "Account" means any right to payment for goods sold or leased or for services rendered which is not evidenced by an instrument or chattel paper, whether or not it has been earned by performance. "General intangibles" means any personal property (including things in action) other than goods, accounts, chattel paper, documents, instruments, investment property, rights to proceeds of written letters of credit, and money. All rights to payment earned or unearned under a charter or other contract involving the use or hire of a vessel and all rights incident to the charter or contract are accounts.

SB203, s. 12 Section 12. 409.304 (title) of the statutes is amended to read:

SB203,24,2 409.304 (title) Perfection of security interest in instruments, documents, proceeds of a written letter of credit, and goods covered by documents; perfection by permissive filing; temporary perfection without filing or transfer of possession.

SB203, s. 13 Section 13. 409.304 (1) of the statutes is amended to read:

SB203,24,10 409.304 (1) A security interest in chattel paper or negotiable documents may be perfected by filing. A security interest in the rights to proceeds of a written letter of credit may be perfected only by the secured party's taking possession of the letter of credit. A security interest in money or instruments, other than instruments which constitute part of chattel paper, can be perfected only by the secured party's taking possession, except as provided in subs. (4) and (5) and s. 409.306 (2) and (3) on proceeds.

SB203, s. 14 Section 14. 409.305 of the statutes is amended to read:

SB203,24,24 409.305 When possession by secured party perfects security interest without filing. A security interest in letters of credit and advices of credit (s. 405.116 (2) (a)), goods, instruments, money, negotiable documents or chattel paper may be perfected by the secured party's taking possession of the collateral. A security interest in the right to proceeds of a written letter of credit may be perfected by the secured party's taking possession of the letter of credit. If such collateral other than goods covered by a negotiable document is held by a bailee, the secured party is deemed to have possession from the time the bailee receives notification of the secured party's interest. A security interest is perfected by possession from the time possession is taken without relation back and continues only so long as possession is retained, unless otherwise specified in this chapter. The security interest may be otherwise perfected as provided in this chapter before or after the period of possession by the secured party.

SB203, s. 15 Section 15. 440.92 (3) (c) 3. of the statutes is amended to read:

SB203,25,5 440.92 (3) (c) 3. The preneed seller files with the department a bond furnished by a surety company authorized to do business in this state or files with the department and maintains an irrevocable letter of credit from a financial institution and the amount of the bond or letter of credit is sufficient to secure the cost to the cemetery authority of constructing the mausoleum.

SB203, s. 16 Section 16. 565.25 (5) (b) 3. of the statutes is amended to read:

SB203,25,9 565.25 (5) (b) 3. The filing with the department and maintenance of an irrevocable letter of credit payable to and for the benefit of the department, in an amount required by the department.

SB203, s. 17 Section 17. 707.49 (4) of the statutes is amended to read:

SB203,25,19 707.49 (4) Surety bond and other options. Instead of placing deposits in an escrow account, a developer may obtain a surety bond issued by a company authorized to do business in this state, or obtain and maintain an irrevocable letter of credit or a similar arrangement, in an amount which at all times is not less than the amount of the deposits otherwise subject to the escrow requirements of this section. The bond, letter of credit or similar arrangement shall be filed with the department of agriculture, trade and consumer protection and made payable to the department of agriculture, trade and consumer protection for the benefit of aggrieved parties.

SB203, s. 18 Section 18. Initial applicability.

SB203,25,22 (1) This act first applies to a letter of credit that is issued on the effective date of this subsection.

SB203,25,25 (2) This act first applies to a transaction arising out of or associated with a letter of credit that was issued on the effective date of this subsection and to the rights, obligations, and interests flowing from such a transaction.

SB203, s. 19 Section 19. Effective date.

SB203,26,2 (1) This act takes effect on the first day of the 3rd month following publication.

SB203,26,3 (End)