1. (a) If an agreement by an electric utility or an assignee to transfer securitization property expressly states that the transfer is a sale or is otherwise an absolute transfer:

   1. (1) the resulting transaction:

      1. (A) is a true sale; and
      2. (B) is not a secured transaction; and
   2. (2) title, both legal and equitable, passes to the person to which the securitization property is transferred.

2. (b) A transaction resulting from an agreement described in subsection (a) is a true sale regardless of:

   1. (1) whether the purchaser has any recourse against the seller; or

   2. (2) any other term of the agreement, including the following:

      1. (A) The seller's retention of an equity interest in the securitization property.
      2. (B) The fact that the electric utility acts as a collector of securitization charges relating to the securitization property.
      3. (C) The treatment of the transfer as a financing for tax, financial reporting, or other purposes.

As added by P.L.80-2021, SEC.1.