1. 1. Notification date. In this section, “notification date” means the earlier of the dates on which:

   1. a. a secured party sends to the debtor and any secondary obligor a signed notification of disposition; or
   2. b. the debtor and any secondary obligor waive the right to notification.
2. 2. Notification of disposition required. Except as otherwise provided in subsection 4, a secured party that disposes of collateral under section 554.9610 shall send to the persons specified in subsection 3 a reasonable signed notification of disposition.

3. 3. Persons to be notified. To comply with subsection 2, the secured party shall send a signed notification of disposition to:

   1. a. the debtor;
   2. b. any secondary obligor; and

   3. c. if the collateral is other than consumer goods:

      1. (1) any other person from which the secured party has received, before the notification date, a signed notification of a claim of an interest in the collateral;

      2. (2) any other secured party or lienholder that, ten days before the notification date, held a security interest in or other lien on the collateral perfected by the filing of a financing statement that:

         1. (a) identified the collateral;
         2. (b) was indexed under the debtor’s name as of that date; and
         3. (c) was filed in the office in which to file a financing statement against the debtor covering the collateral as of that date; and
      3. (3) any other secured party that, ten days before the notification date, held a security interest in the collateral perfected by compliance with a statute, regulation, or treaty described in section 554.9311, subsection 1.
4. 4. Subsection 2 inapplicable — perishable collateral — recognized market. Subsection 2 does not apply if the collateral is perishable or threatens to decline speedily in value or is of a type customarily sold on a recognized market.

5. 5. Compliance with subsection 3, paragraph “c”, subparagraph (2). A secured party complies with the requirement for notification prescribed by subsection 3, paragraph “c”, subparagraph (2), if:

   1. a. not later than twenty days or earlier than thirty days before the notification date, the secured party requests, in a commercially reasonable manner, information concerning financing statements indexed under the debtor’s name in the office indicated in subsection 3, paragraph “c”, subparagraph (2); and

   2. b. before the notification date, the secured party:

      1. (1) did not receive a response to the request for information; or
      2. (2) received a response to the request for information and sent a signed notification of disposition to each secured party or other lienholder named in that response whose financing statement covered the collateral.

2000 Acts, ch 1149, §109, 187; 2024 Acts, ch 1023, §87 – 89

Referred to in §554.9602, 554.9624