AB549: Bill Text

AB549, s. 21 Section 21. 409.503 (1) (c) 1. and 2. of the statutes are repealed.

AB549, s. 22 Section 22. 409.503 (1) (c) 1m. and 2m. of the statutes are created to read:

AB549,11,18 409.503 (1) (c) 1m. Provides, as the name of the debtor:

AB549,11,20 a. If the organic record of the trust specifies a name for the trust, the name specified; or

AB549,11,22 b. If the organic record of the trust does not specify a name for the trust, the name of the settlor or testator; and

AB549,11,23 2m. In a separate part of the financing statement:

AB549,11,25 a. If the name is provided in accordance with subd. 1m. a., indicates that the collateral is held in a trust; or

AB549,12,4 b. If the name is provided in accordance with subd. 1m. b., provides additional information sufficient to distinguish the trust from other trusts having one or more of the same settlors or the same testator and indicates that the collateral is held in a trust, unless the additional information so indicates;

AB549, s. 23 Section 23. 409.503 (1) (d) of the statutes is renumbered 409.503 (1) (f), and 409.503 (1) (f) 1. and 2., as renumbered, are amended to read:

AB549,12,8 409.503 (1) (f) 1. If the debtor has a name, only if it the financing statement provides the individual or organizational name of the debtor; and

AB549,12,12 2. If the debtor does not have a name, only if it the financing statement provides the names of the partners, members, associates, or other persons comprising the debtor, in a manner that each name provided would be sufficient if the person named were the debtor.

AB549, s. 24 Section 24. 409.503 (1) (dm) and (e) of the statutes are created to read:

AB549,12,17 409.503 (1) (dm) Subject to sub. (7), if the debtor is an individual to whom this state has issued an operator's license under ch. 343 or identification card under s. 343.50 that has not expired, only if the financing statement provides the name of the individual which is indicated on the operator's license or identification card;

AB549,12,20 (e) If the debtor is an individual to whom par. (dm) does not apply, only if the financing statement provides the individual name of the debtor or the surname and first personal name of the debtor; and

AB549, s. 25 Section 25. 409.503 (2) (b) of the statutes is amended to read:

AB549,12,23 409.503 (2) (b) Unless required under sub. (1) (d) (f) 2., names of partners, members, associates, or other persons comprising the debtor.

AB549, s. 26 Section 26. 409.503 (6), (7) and (8) of the statutes are created to read:

AB549,13,4 409.503 (6) Name of decedent. The name of the decedent indicated on the order appointing the personal representative of the decedent issued by the court having jurisdiction over the collateral is sufficient as the "name of the decedent" under sub. (1) (b).

AB549,13,8 (7) Multiple licenses or identification cards. If this state has issued to an individual more than one operator's license under ch. 343 or identification card under s. 343.50 of a kind described in sub. (1) (dm), the one that was issued most recently is the one to which sub. (1) (dm) refers.

AB549,13,9 (8) Definition. In this section, the "name of the settlor or testator" means:

AB549,13,13 (a) If the settlor is a registered organization, the name that is stated to be the settlor's name on the public organic record most recently filed with or issued or enacted by the settlor's jurisdiction of organization which purports to state, amend, or restate the settlor's name;

AB549,13,15 (b) In other cases, the name of the settlor or testator indicated in the trust's organic record.

AB549, s. 27 Section 27. 409.507 (3) of the statutes is amended to read:

AB549,13,20 409.507 (3) Change in debtor's name. If a debtor so changes its the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under s. 409.503 (1) so that the financing statement becomes seriously misleading under s. 409.506:

AB549,13,23 (a) The financing statement is effective to perfect a security interest in collateral acquired by the debtor before, or within 4 months after, the change filed financing statement becomes seriously misleading; and

AB549,14,3 (b) The financing statement is not effective to perfect a security interest in collateral acquired by the debtor more than 4 months after the change filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statement not seriously misleading is filed within 4 months after the change financing statement became seriously misleading.

AB549, s. 28 Section 28. 409.515 (6) of the statutes is amended to read:

AB549,14,7 409.515 (6) Transmitting utility financing statement. If a debtor is a transmitting utility and a filed initial financing statement so indicates, the financing statement is effective until a termination statement is filed.

AB549, s. 29 Section 29. 409.516 (2) (c) 2. (intro.) of the statutes is amended to read:

AB549,14,10 409.516 (2) (c) 2. (intro.) In the case of an amendment or correction information statement, the record:

AB549, s. 30 Section 30. 409.516 (2) (c) 3. of the statutes is amended to read:

AB549,14,16 409.516 (2) (c) 3. In the case of an initial financing statement that provides the name of a debtor identified as an individual or an amendment that provides a name of a debtor identified as an individual which was not previously provided in the financing statement to which the record relates, the record does not identify the debtor's last name surname; or

AB549, s. 31 Section 31. 409.516 (2) (e) 1. of the statutes is amended to read:

AB549,14,18 409.516 (2) (e) 1. Provide a mailing address for the debtor; or

AB549, s. 32 Section 32. 409.516 (2) (e) 2. of the statutes is amended to read:

AB549,14,21 409.516 (2) (e) 2. Indicate whether the name provided as the name of the debtor is the name of an individual or an organization; or

AB549, s. 33 Section 33. 409.516 (2) (e) 3. of the statutes is repealed.

AB549, s. 34 Section 34. 409.518 (1) of the statutes is amended to read:

AB549,15,2 409.518 (1) Correction statement Statement with respect to record indexed under person's name. A person may file in the filing office a correction an information statement with respect to a record indexed there under the person's name if the person believes that the record is inaccurate or was wrongfully filed.

AB549, s. 35 Section 35. 409.518 (2) (intro.), (a) 2. and (b) of the statutes are amended to read:

AB549,15,6 409.518 (2) Sufficiency of correction Contents of statement under sub. (1). (intro.) A correction An information statement under sub. (1) must:

AB549,15,10 (a) 2. If the correction information statement relates to a record filed or recorded in a filing office described in s. 409.501 (1) (a), the date on which the initial financing statement was filed or recorded and the information specified in s. 409.502 (2);

AB549,15,11 (b) Indicate that it is a correction an information statement; and

AB549, s. 36 Section 36. 409.518 (3) of the statutes is renumbered 409.518 (5) and amended to read:

AB549,15,16 409.518 (5) Record not affected by correction information statement. The filing of a correction an information statement does not affect the effectiveness of an initial financing statement or other filed record.

AB549, s. 37 Section 37. 409.518 (3m) and (4) of the statutes are created to read:

AB549,15,22 409.518 (3m) Statement by secured party of record. A person may file in the filing office an information statement with respect to a record filed there if the person is a secured party of record with respect to the financing statement to which the record relates and believes that the person that filed the record was not entitled to do so under s. 409.509 (4).

AB549,15,24 (4) Contents of statement under sub. (3m). An information statement under sub. (3m) must:

AB549,15,25 (a) Identify the record to which it relates by:

AB549,16,2 1. The file number assigned to the initial financing statement to which the record relates; and

AB549,16,5 2. If the information statement relates to a record filed or recorded in a filing office described in s. 409.501 (1) (a), the date that the initial financing statement was filed or recorded and the information specified in s. 409.502 (2);

AB549,16,6 (b) Indicate that it is an information statement; and

AB549,16,8 (c) Provide the basis for the person's belief that the person that filed the record was not entitled to do so under s. 409.509 (4).

AB549, s. 38 Section 38. 409.521 (2) (form) of the statutes is repealed and recreated to read:

AB549, s. 39 Section 39. 409.521 (3) (form) of the statutes is repealed and recreated to read:

AB549, s. 40 Section 40. 409.607 (2) (b) 1. of the statutes is amended to read:

AB549,22,3 409.607 (2) (b) 1. A default has occurred with respect to the obligation secured by the mortgage; and

AB549, s. 41 Section 41. 409.625 (3) (title) of the statutes is amended to read:

AB549,22,6 409.625 (3) (title) Persons entitled to recover damages; statutory damages in consumer-goods transaction if collateral is consumer goods.

AB549, s. 42 Section 42. Subchapter VIII of chapter 409 [precedes 409.802] of the statutes is created to read:

AB549,22,9 CHAPTER 409

AB549,22,10 SUBCHAPTER VIII

AB549,22,12 TRANSITION PROVISIONS FOR 2010 AMENDMENTS

AB549,22,17 409.802 Savings clause. (1) Preeffective-date transactions or liens. Except as otherwise provided in this subchapter, 2011 Wisconsin Act .... (this act) applies to a transaction or lien within its scope, even if the transaction or lien was entered into or created before the effective date of this subsection .... [LRB inserts date].

AB549,22,20 (2) Preeffective-date proceedings. 2011 Wisconsin Act .... (this act) does not affect an action, case, or proceeding commenced before the effective date of this subsection .... [LRB inserts date].

AB549,23,3 409.803 Security interest perfected before effective date. (1) Continuing perfection: perfection requirements satisfied. A security interest that is a perfected security interest immediately before the effective date of this subsection .... [LRB inserts date], is a perfected security interest under this chapter, as affected by 2011 Wisconsin Act .... (this act) if, on the effective date of this subsection .... [LRB inserts date], the applicable requirements for attachment and perfection under this chapter, as affected by 2011 Wisconsin Act .... (this act) are satisfied without further action.

AB549,23,12 (2) Continuing perfection: perfection requirements not satisfied. Except as otherwise provided in s. 409.805, if, immediately before the effective date of this subsection .... [LRB inserts date], a security interest is a perfected security interest, but the applicable requirements for perfection under this chapter, as affected by 2011 Wisconsin Act .... (this act) are not satisfied as of the effective date of this subsection .... [LRB inserts date], the security interest remains perfected thereafter only if the applicable requirements for perfection under this chapter, as affected by 2011 Wisconsin Act .... (this act), are satisfied within one year after the effective date of this subsection .... [LRB inserts date].

AB549,23,15 409.804 Security interest unperfected before effective date. A security interest that is an unperfected security interest immediately before the effective date of this section .... [LRB inserts date], becomes a perfected security interest:

AB549,23,18 (1) Without further action, on the effective date of this subsection .... [LRB inserts date], if the applicable requirements for perfection under this chapter, as affected by 2011 Wisconsin Act .... (this act), are satisfied before or at that time; or

AB549,23,20 (2) When the applicable requirements for perfection are satisfied if the requirements are satisfied after that time.

AB549,23,25 409.805 Effectiveness of action taken before effective date. (1) Preeffective-date filing effective. The filing of a financing statement before the effective date of this subsection .... [LRB inserts date], is effective to perfect a security interest to the extent the filing would satisfy the applicable requirements for perfection under this chapter, as affected by 2011 Wisconsin Act .... (this act).

AB549,24,6 (2) When preeffective-date filing becomes ineffective. 2011 Wisconsin Act .... (this act) does not render ineffective an effective financing statement that, before the effective date of this subsection .... [LRB inserts date], is filed and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in ch. 409, 2009 stats. However, except as otherwise provided in subs. (3) and (4) and s. 409.806, the financing statement ceases to be effective:

AB549,24,9 (a) If the financing statement is filed in this state, at the time the financing statement would have ceased to be effective had 2011 Wisconsin Act .... (this act) not taken effect; or

AB549,24,10 (b) If the financing statement is filed in another jurisdiction, at the earlier of:

AB549,24,12 1. The time the financing statement would have ceased to be effective under the law of that jurisdiction; or

AB549,24,13 2. June 30, 2018.

AB549,24,23 (3) Continuation statement. The filing of a continuation statement on or after the effective date of this subsection .... [LRB inserts date], does not continue the effectiveness of a financing statement filed before the effective date of this subsection .... [LRB inserts date]. However, upon the timely filing of a continuation statement on or after the effective date of this subsection .... [LRB inserts date], and in accordance with the law of the jurisdiction governing perfection as provided in this chapter, as affected by 2011 Wisconsin Act .... (this act), the effectiveness of a financing statement filed in the same office in that jurisdiction before the effective date of this subsection .... [LRB inserts date], continues for the period provided by the law of that jurisdiction.

AB549,25,7 (4) Application of sub. (2) (b) 2. to transmitting utility financing statement. Subsection (2) (b) 2. applies to a financing statement that, before the effective date of this subsection .... [LRB inserts date], is filed against a transmitting utility and satisfies the applicable requirements for perfection under the law of the jurisdiction governing perfection as provided in ch. 409, 2009 stats., only to the extent that this chapter, as affected by 2011 Wisconsin Act .... (this act), provides that the law of a jurisdiction other than the jurisdiction in which the financing statement is filed governs perfection of a security interest in collateral covered by the financing statement.

AB549,25,18 (5) Application of subch. V. A financing statement that includes a financing statement filed before the effective date of this subsection .... [LRB inserts date], and a continuation statement filed on or after the effective date of this subsection .... [LRB inserts date], is effective only to the extent that it satisfies the requirements of subch. V, as affected by 2011 Wisconsin Act .... (this act), for an initial financing statement. A financing statement that indicates that the debtor is a decedent's estate indicates that the collateral is being administered by a personal representative within the meaning of s. 409.503 (1) (b), as affected by 2011 Wisconsin Act .... (this act). A financing statement that indicates that the debtor is a trust or is a trustee acting with respect to property held in trust indicates that the collateral is held in a trust within the meaning of s. 409.503 (1) (c), as affected by 2011 Wisconsin Act .... (this act).

AB549,25,23 409.806 When initial financing statement suffices to continue effectiveness of financing statement. (1) Initial financing statement in lieu of continuation statement. The filing of an initial financing statement in the office specified in s. 409.501 continues the effectiveness of a financing statement filed before the effective date of this subsection .... [LRB inserts date], if:

AB549,26,3 (a) The filing of an initial financing statement in that office would be effective to perfect a security interest under this chapter, as affected by 2011 Wisconsin Act .... (this act);

AB549,26,5 (b) The preeffective-date financing statement was filed in an office in another state; and

AB549,26,6 (c) The initial financing statement satisfies sub. (3).

AB549,26,9 (2) Period of continued effectiveness. The filing of an initial financing statement under sub. (1) continues the effectiveness of the preeffective-date financing statement:

AB549,26,12 (a) If the initial financing statement is filed before the effective date of this paragraph .... [LRB inserts date], for the period provided in s. 409.515, 2009 stats., with respect to an initial financing statement; and