Priority Between Secured Parties: Discussions in Secured Transactions Podcast

The topic of this podcast is how to apply the rules found in § 9-322 for determining priority between one secured party and another secured party with an interest in the same collateral. The podcast assumes that collateral has been characterized as goods. The podcast reviews the basic rule that a secured creditor has priority over an unsecured creditor. It then considers what happens when each party is a secured party. Several hypos walk through the analysis of applying § 9-322(a)(1). The podcast considers topics including PMSIs, superpriority rules, § 9-201, § 9-203 and § 9-313.

This podcast can be studied along with the podcasts on Purchase Money Security Interests I and Purchase Money Security Interests II.

Learning Outcomes

On completion of the podcast, the student will be able to:

1. State the rule in § 9-322(a)(1).
2. Explain an exception to the rule of first to file or perfect.
3. Discuss what happens between two unperfected secured creditors. 
4. Discuss what happens between two perfected secured creditors. 
5. Explain the difference of categorizing the goods as consumer goods or inventory.