RCW 62A.9A-102
Definitions and index of definitions.
(Effective until July 1, 2013.)
(a) Article 9A definitions. In
this Article:
(1) "Accession" means goods that are physically united with
other goods in such a manner that the identity of the original
goods is not lost.
(2)(A) "Account," except as used in "account for," means a
right to payment of a monetary obligation, whether or not earned
by performance, (i) for property that has been or is to be sold,
leased, licensed, assigned, or otherwise disposed of, (ii) for
services rendered or to be rendered, (iii) for a policy of
insurance issued or to be issued, (iv) for a secondary obligation
incurred or to be incurred, (v) for energy provided or to be
provided, (vi) for the use or hire of a vessel under a charter or
other contract, (vii) arising out of the use of a credit or
charge card or information contained on or for use with the card,
or (viii) as winnings in a lottery or other game of chance
operated or sponsored by a state, governmental unit of a state,
or person licensed or authorized to operate the game by a state
or governmental unit of a state. The term includes
health-care-insurance receivables.
(B) The term does not include (i) rights to payment
evidenced by chattel paper or an instrument, (ii) commercial tort
claims, (iii) deposit accounts, (iv) investment property, (v)
letter-of-credit rights or letters of credit, or (vi) rights to
payment for money or funds advanced or sold, other than rights
arising out of the use of a credit or charge card or information
contained on or for use with the card.
(3) "Account debtor" means a person obligated on an account,
chattel paper, or general intangible. The term does not include
persons obligated to pay a negotiable instrument, even if the
instrument constitutes part of chattel paper.
(4) "Accounting," except as used in "accounting for," means
a record:
(A) Authenticated by a secured party;
(B) Indicating the aggregate unpaid secured obligations as
of a date not more than thirty-five days earlier or thirty-five
days later than the date of the record; and
(C) Identifying the components of the obligations in
reasonable detail.
(5) "Agricultural lien" means an interest, other than a
security interest, in farm products:
(A) Which secures payment or performance of an obligation
for:
(i) Goods or services furnished in connection with a
debtor's farming operation; or
(ii) Rent on real property leased by a debtor in connection
with its farming operation;
(B) Which is created by statute in favor of a person that:
(i) In the ordinary course of its business, furnished goods
or services to a debtor in connection with a debtor's farming
operation; or
(ii) Leased real property to a debtor in connection with the
debtor's farming operation; and
(C) Whose effectiveness does not depend on the person's
possession of the personal property.
(6) "As-extracted collateral" means:
(A) Oil, gas, or other minerals that are subject to a
security interest that:
(i) Is created by a debtor having an interest in the
minerals before extraction; and
(ii) Attaches to the minerals as extracted; or
(B) Accounts arising out of the sale at the wellhead or
minehead of oil, gas, or other minerals in which the debtor had
an interest before extraction.
(7) "Authenticate" means:
(A) To sign; or
(B) To execute or otherwise adopt a symbol, or encrypt or
similarly process a record in whole or in part, with the present
intent of the authenticating person to identify the person and
adopt or accept a record.
(8) "Bank" means an organization that is engaged in the
business of banking. The term includes savings banks, savings
and loan associations, credit unions, and trust companies.
(9) "Cash proceeds" means proceeds that are money, checks,
deposit accounts, or the like.
(10) "Certificate of title" means a certificate of title
with respect to which a statute provides for the security
interest in question to be indicated on the certificate as a
condition or result of the security interest's obtaining priority
over the rights of a lien creditor with respect to the
collateral.
(11) "Chattel paper" means a record or records that evidence
both a monetary obligation and a security interest in specific
goods, a security interest in specific goods and software used in
the goods, a security interest in specific goods and license of
software used in the goods, a lease of specific goods, or a lease
of specific goods and license of software used in the goods. In
this subsection, "monetary obligation" means a monetary
obligation secured by the goods or owed under a lease of the
goods and includes a monetary obligation with respect to software
used in the goods. The term "chattel paper" does not include (A)
charters or other contracts involving the use or hire of a vessel
or (B) records that evidence a right to payment arising out of
the use of a credit or charge card or information contained on or
for use with the card. If a transaction is evidenced by records
that include an instrument or series of instruments, the group of
records taken together constitutes chattel paper.
(12) "Collateral" means the property subject to a security
interest or agricultural lien. The term includes:
(A) Proceeds to which a security interest attaches;
(B) Accounts, chattel paper, payment intangibles, and
promissory notes that have been sold; and
(C) Goods that are the subject of a consignment.
(13) "Commercial tort claim" means a claim arising in tort
with respect to which:
(A) The claimant is an organization; or
(B) The claimant is an individual, and the claim:
(i) Arose in the course of the claimant's business or
profession; and
(ii) Does not include damages arising out of personal injury
to, or the death of, an individual.
(14) "Commodity account" means an account maintained by a
commodity intermediary in which a commodity contract is carried
for a commodity customer.
(15) "Commodity contract" means a commodity futures
contract, an option on a commodity futures contract, a commodity
option, or another contract if the contract or option is:
(A) Traded on or subject to the rules of a board of trade
that has been designated as a contract market for such a contract
pursuant to federal commodities laws; or
(B) Traded on a foreign commodity board of trade, exchange,
or market, and is carried on the books of a commodity
intermediary for a commodity customer.
(16) "Commodity customer" means a person for which a
commodity intermediary carries a commodity contract on its books.
(17) "Commodity intermediary" means a person that:
(A) Is registered as a futures commission merchant under
federal commodities law; or
(B) In the ordinary course of its business, provides
clearance or settlement services for a board of trade that has
been designated as a contract market pursuant to federal
commodities law.
(18) "Communicate" means:
(A) To send a written or other tangible record;
(B) To transmit a record by any means agreed upon by the
persons sending and receiving the record; or
(C) In the case of transmission of a record to or by a
filing office, to transmit a record by any means prescribed by
filing-office rule.
(19) "Consignee" means a merchant to which goods are
delivered in a consignment.
(20) "Consignment" means a transaction, regardless of its
form, in which a person delivers goods to a merchant for the
purpose of sale and:
(A) The merchant:
(i) Deals in goods of that kind under a name other than the
name of the person making delivery;
(ii) Is not an auctioneer; and
(iii) Is not generally known by its creditors to be
substantially engaged in selling the goods of others;
(B) With respect to each delivery, the aggregate value of
the goods is one thousand dollars or more at the time of
delivery;
(C) The goods are not consumer goods immediately before
delivery; and
(D) The transaction does not create a security interest that
secures an obligation.
(21) "Consignor" means a person that delivers goods to a
consignee in a consignment.
(22) "Consumer debtor" means a debtor in a consumer
transaction.
(23) "Consumer goods" means goods that are used or bought
for use primarily for personal, family, or household purposes.
(24) "Consumer-goods transaction" means a consumer
transaction in which:
(A) An individual incurs a consumer obligation; and
(B) A security interest in consumer goods secures the
obligation.
(25) "Consumer obligation" means an obligation which:
(A) Is incurred as part of a transaction entered into
primarily for personal, family, or household purposes; and
(B) Arises from an extension of credit, or commitment to
extend credit, in an aggregate amount not exceeding forty
thousand dollars, or is secured by personal property used or
expected to be used as a principal dwelling.
"Consumer obligor" means an obligor who is an individual and
who incurred a consumer obligation.
(26) "Consumer transaction" means a transaction in which (A)
an individual incurs a consumer obligation, (B) a security
interest secures the obligation, and (C) the collateral is held
or acquired primarily for personal, family, or household
purposes. The term includes consumer-goods transactions.
(27) "Continuation statement" means an amendment of a
financing statement which:
(A) Identifies, by its file number, the initial financing
statement to which it relates; and
(B) Indicates that it is a continuation statement for, or
that it is filed to continue the effectiveness of, the identified
financing statement.
(28) "Debtor" means:
(A) A person having an interest, other than a security
interest or other lien, in the collateral, whether or not the
person is an obligor;
(B) A seller of accounts, chattel paper, payment
intangibles, or promissory notes; or
(C) A consignee.
(29) "Deposit account" means a demand, time, savings,
passbook, or similar account maintained with a bank. The term
does not include investment property or accounts evidenced by an
instrument.
(30) "Document" means a document of title or a receipt of
the type described in RCW 62A.7-201(2).
(31) "Electronic chattel paper" means chattel paper
evidenced by a record or records consisting of information stored
in an electronic medium.
(32) "Encumbrance" means a right, other than an ownership
interest, in real property. The term includes mortgages and
other liens on real property.
(33) "Equipment" means goods other than inventory, farm
products, or consumer goods.
(34) "Farm products" means goods, other than standing
timber, with respect to which the debtor is engaged in a farming
operation and which are:
(A) Crops grown, growing, or to be grown, including:
(i) Crops produced on trees, vines, and bushes; and
(ii) Aquatic goods produced in aquacultural operations;
(B) Livestock, born or unborn, including aquatic goods
produced in aquacultural operations;
(C) Supplies used or produced in a farming operation; or
(D) Products of crops or livestock in their unmanufactured
states.
(35) "Farming operation" means raising, cultivating,
propagating, fattening, grazing, or any other farming, livestock,
or aquacultural operation.
(36) "File number" means the number assigned to an initial
financing statement pursuant to RCW 62A.9A-519(a).
(37) "Filing office" means an office designated in RCW62A.9A-501
as the place to file a financing statement.
(38) "Filing-office rule" means a rule adopted pursuant to
RCW 62A.9A-526.
(39) "Financing statement" means a record or records
composed of an initial financing statement and any filed record
relating to the initial financing statement.
(40) "Fixture filing" means the filing of a financing
statement covering goods that are or are to become fixtures and
satisfying RCW 62A.9A-502 (a) and (b). The term includes the
filing of a financing statement covering goods of a transmitting
utility which are or are to become fixtures.
(41) "Fixtures" means goods that have become so related to
particular real property that an interest in them arises under
real property law.
(42) "General intangible" means any personal property,
including things in action, other than accounts, chattel paper,
commercial tort claims, deposit accounts, documents, goods,
instruments, investment property, letter-of-credit rights,
letters of credit, money, and oil, gas, or other minerals before
extraction. The term includes payment intangibles and software.
(43) "Good faith" means honesty in fact and the observance
of reasonable commercial standards of fair dealing.
(44) "Goods" means all things that are movable when a
security interest attaches. The term includes (A) fixtures, (B)
standing timber that is to be cut and removed under a conveyance
or contract for sale, (C) the unborn young of animals, (D) crops
grown, growing, or to be grown, even if the crops are produced on
trees, vines, or bushes, and (E) manufactured homes. The term
also includes a computer program embedded in goods and any
supporting information provided in connection with a transaction
relating to the program if (i) the program is associated with the
goods in such a manner that it customarily is considered part of
the goods, or (ii) by becoming the owner of the goods, a person
acquires a right to use the program in connection with the goods.
The term does not include a computer program embedded in goods
that consist solely of the medium in which the program is
embedded. The term also does not include accounts, chattel
paper, commercial tort claims, deposit accounts, documents,
general intangibles, instruments, investment property,
letter-of-credit rights, letters of credit, money, or oil, gas,
or other minerals before extraction or a manufactured home
converted to real property under chapter 65.20 RCW.
(45) "Governmental unit" means a subdivision, agency,
department, county, parish, municipality, or other unit of the
government of the United States, a state, or a foreign country. The term includes an organization having a separate corporate
existence if the organization is eligible to issue debt on which
interest is exempt from income taxation under the laws of the
United States.
(46) "Health-care-insurance receivable" means an interest in
or claim under a policy of insurance which is a right to payment
of a monetary obligation for health-care goods or services
provided.
(47) "Instrument" means a negotiable instrument or any other
writing that evidences a right to the payment of a monetary
obligation, is not itself a security agreement or lease, and is
of a type that in ordinary course of business is transferred by
delivery with any necessary indorsement or assignment. The term
does not include (A) investment property, (B) letters of credit,
(C) writings that evidence a right to payment arising out of the
use of a credit or charge card or information contained on or for
use with the card, (D) writings that do not contain a promise or
order to pay, or (E) writings that are expressly nontransferable
or nonassignable.
(48) "Inventory" means goods, other than farm products,
which:
(A) Are leased by a person as lessor;
(B) Are held by a person for sale or lease or to be
furnished under a contract of service;
(C) Are furnished by a person under a contract of service;
or
(D) Consist of raw materials, work in process, or materials
used or consumed in a business.
(49) "Investment property" means a security, whether
certificated or uncertificated, security entitlement, securities
account, commodity contract, or commodity account.
(50) "Jurisdiction of organization," with respect to a
registered organization, means the jurisdiction under whose law
the organization is organized.
(51) "Letter-of-credit right" means a right to payment or
performance under a letter of credit, whether or not the
beneficiary has demanded or is at the time entitled to demand
payment or performance. The term does not include the right of a
beneficiary to demand payment or performance under a letter of
credit.
(52) "Lien creditor" means:
(A) A creditor that has acquired a lien on the property
involved by attachment, levy, or the like;
(B) An assignee for benefit of creditors from the time of
assignment;
(C) A trustee in bankruptcy from the date of the filing of
the petition; or
(D) A receiver in equity from the time of appointment.
(53) "Manufactured home" means a manufactured home or mobile
home as defined in RCW 46.04.302.
(54) [Reserved]
(55) "Mortgage" means a consensual interest in real
property, including fixtures, which secures payment or
performance of an obligation.
(56) "New debtor" means a person that becomes bound as
debtor under RCW 62A.9A-203(d) by a security agreement previously
entered into by another person.
(57) "New value" means (A) money, (B) money's worth in
property, services, or new credit, or (C) release by a transferee
of an interest in property previously transferred to the
transferee. The term does not include an obligation substituted
for another obligation.
(58) "Noncash proceeds" means proceeds other than cash
proceeds.
(59) "Obligor" means a person that, with respect to an
obligation secured by a security interest in or an agricultural
lien on the collateral, (A) owes payment or other performance of
the obligation, (B) has provided property other than the
collateral to secure payment or other performance of the
obligation, or (C) is otherwise accountable in whole or in part
for payment or other performance of the obligation. The term
does not include issuers or nominated persons under a letter of
credit.
(60) "Original debtor", except as used in RCW 62A.9A-310(c),
means a person that, as debtor, entered into a security agreement
to which a new debtor has become bound under RCW 62A.9A-203(d).
(61) "Payment intangible" means a general intangible under
which the account debtor's principal obligation is a monetary
obligation.
(62) "Person related to," with respect to an individual,
means:
(A) The spouse of the individual;
(B) A brother, brother-in-law, sister, or sister-in-law of
the individual;
(C) An ancestor or lineal descendant of the individual or
the individual's spouse; or
(D) Any other relative, by blood or marriage, of the
individual or the individual's spouse who shares the same home
with the individual.
(63) "Person related to," with respect to an organization,
means:
(A) A person directly or indirectly controlling, controlled
by, or under common control with the organization;
(B) An officer or director of, or a person performing
similar functions with respect to, the organization;
(C) An officer or director of, or a person performing
similar functions with respect to, a person described in (63)(A)
of this subsection;
(D) The spouse of an individual described in (63)(A), (B),
or (C) of this subsection; or
(E) An individual who is related by blood or marriage to an
individual described in (63)(A), (B), (C), or (D) of this
subsection and shares the same home with the individual.
(64) "Proceeds", except as used in RCW 62A.9A-609(b), means
the following property:
(A) Whatever is acquired upon the sale, lease, license,
exchange, or other disposition of collateral;
(B) Whatever is collected on, or distributed on account of,
collateral;
(C) Rights arising out of collateral;
(D) To the extent of the value of collateral, claims arising
out of the loss, nonconformity, or interference with the use of,
defects or infringement of rights in, or damage to, the
collateral; or
(E) To the extent of the value of collateral and to the
extent payable to the debtor or the secured party, insurance
payable by reason of the loss or nonconformity of, defects or
infringement of rights in, or damage to, the collateral.
(65) "Promissory note" means an instrument that evidences a
promise to pay a monetary obligation, does not evidence an order
to pay, and does not contain an acknowledgment by a bank that the
bank has received for deposit a sum of money or funds.
(66) "Proposal" means a record authenticated by a secured
party, which includes the terms on which the secured party is
willing to accept collateral in full or partial satisfaction of
the obligation it secures pursuant to RCW 62A.9A-620, 62A.9A-621,
and 62A.9A-622.
(67) "Public-finance transaction" means a secured
transaction in connection with which:
(A) Debt securities are issued;
(B) All or a portion of the securities issued have an
initial stated maturity of at least twenty years; and
(C) The debtor, obligor, secured party, account debtor or
other person obligated on collateral, assignor or assignee of a
secured obligation, or assignor or assignee of a security
interest is a state or a governmental unit of a state.
(68) "Pursuant to commitment," with respect to an advance
made or other value given by a secured party, means pursuant to
the secured party's obligation, whether or not a subsequent event
of default or other event not within the secured party's control
has relieved or may relieve the secured party from its
obligation.
(69) "Record," except as used in "for record," "of record,"
"record or legal title," and "record owner," means information
that is inscribed on a tangible medium or which is stored in an
electronic or other medium and is retrievable in perceivable
form.
(70) "Registered organization" means an organization
organized solely under the law of a single state or the United
States and as to which the state or the United States must
maintain a public record showing the organization to have been
organized.
(71) "Secondary obligor" means an obligor to the extent
that:
(A) The obligor's obligation is secondary; or
(B) The obligor has a right of recourse with respect to an
obligation secured by collateral against the debtor, another
obligor, or property of either.
(72) "Secured party" means:
(A) A person in whose favor a security interest is created
or provided for under a security agreement, whether or not any
obligation to be secured is outstanding;
(B) A person that holds an agricultural lien;
(C) A consignor;
(D) A person to which accounts, chattel paper, payment
intangibles, or promissory notes have been sold;
(E) A trustee, indenture trustee, agent, collateral agent,
or other representative in whose favor a security interest or
agricultural lien is created or provided for; or
(F) A person that holds a security interest arising under
RCW 62A.2-401, 62A.2-505, 62A.2-711(3), 62A.2A-508(5), 62A.4-210,
or 62A.5-118.
(73) "Security agreement" means an agreement that creates or
provides for a security interest.
(74) "Send," in connection with a record or notification,
means:
(A) To deposit in the mail, deliver for transmission, or
transmit by any other usual means of communication, with postage
or cost of transmission provided for, addressed to any address
reasonable under the circumstances; or
(B) To cause the record or notification to be received
within the time that it would have been received if properly sent
under (A) of this subsection.
(75) "Software" means a computer program and any supporting
information provided in connection with a transaction relating to
the program. The term does not include a computer program that
is included in the definition of goods.
(76) "State" means a state of the United States, the
District of Columbia, Puerto Rico, the United States Virgin
Islands, or any territory or insular possession subject to the
jurisdiction of the United States.
(77) "Supporting obligation" means a letter-of-credit right
or secondary obligation that supports the payment or performance
of an account, chattel paper, a document, a general intangible,
an instrument, or investment property.
(78) "Tangible chattel paper" means chattel paper evidenced
by a record or records consisting of information that is
inscribed on a tangible medium.
(79) "Termination statement" means an amendment of a
financing statement which:
(A) Identifies, by its file number, the initial financing
statement to which it relates; and
(B) Indicates either that it is a termination statement or
that the identified financing statement is no longer effective.
(80) "Transmitting utility" means a person primarily engaged
in the business of:
(A) Operating a railroad, subway, street railway, or trolley
bus;
(B) Transmitting communications electrically,
electromagnetically, or by light;
(C) Transmitting goods by pipeline or sewer; or
(D) Transmitting or producing and transmitting electricity,
steam, gas, or water.
(b) Definitions in other Articles. The following
definitions in other Articles apply to this Article:
| "Applicant." | RCW 62A.5-102. | |
| "Beneficiary." | RCW 62A.5-102. | |
| "Broker." | RCW 62A.8-102. | |
| "Certificated security." | RCW 62A.8-102. | |
| "Check." | RCW 62A.3-104. | |
| "Clearing corporation." | RCW 62A.8-102. | |
| "Contract for sale." | RCW 62A.2-106. | |
| "Customer." | RCW 62A.4-104. | |
| "Entitlement holder." | RCW 62A.8-102. | |
| "Financial asset." | RCW 62A.8-102. | |
| "Holder in due course." | RCW 62A.3-302. | |
| "Issuer" with respect to a letter of credit or letter-of-credit right. | RCW 62A.5-102. | |
| "Issuer" with respect to a security. | RCW 62A.8-201. | |
| "Lease." | RCW 62A.2A-103. | |
| "Lease agreement." | RCW 62A.2A-103. | |
| "Lease contract." | RCW 62A.2A-103. | |
| "Leasehold interest." | RCW 62A.2A-103. | |
| "Lessee." | RCW 62A.2A-103. | |
| "Lessee in ordinary course of business." | RCW 62A.2A-103. | |
| "Lessor." | RCW 62A.2A-103. | |
| "Lessor's residual interest." | RCW 62A.2A-103. | |
| "Letter of credit." | RCW 62A.5-102. | |
| "Merchant." | RCW 62A.2-104. | |
| "Negotiable instrument." | RCW 62A.3-104. | |
| "Nominated person." | RCW 62A.5-102. | |
| "Note." | RCW 62A.3-104. | |
| "Proceeds of a letter of credit." | RCW 62A.5-114. | |
| "Prove." | RCW 62A.3-103. | |
| "Sale." | RCW 62A.2-106. | |
| "Securities account." | RCW 62A.8-501. | |
| "Securities intermediary." | RCW 62A.8-102. | |
| "Security." | RCW 62A.8-102. | |
| "Security certificate." | RCW 62A.8-102. | |
| "Security entitlement." | RCW 62A.8-102. | |
| "Uncertificated security." | RCW 62A.8-102. |
[2001 c 32 § 16; 2000 c 250 § 9A-102.]
NOTES:
Effective date -- 2001 c 32: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 2001." [2001 c 32 § 55.]
RCW 62A.9A-102
Definitions and index of definitions.
(Effective July 1, 2013.)
(a) Article 9A definitions. In this
Article:
(1) "Accession" means goods that are physically united with
other goods in such a manner that the identity of the original
goods is not lost.
(2)(A) "Account," except as used in "account for," means a
right to payment of a monetary obligation, whether or not earned
by performance, (i) for property that has been or is to be sold,
leased, licensed, assigned, or otherwise disposed of, (ii) for
services rendered or to be rendered, (iii) for a policy of
insurance issued or to be issued, (iv) for a secondary obligation
incurred or to be incurred, (v) for energy provided or to be
provided, (vi) for the use or hire of a vessel under a charter or
other contract, (vii) arising out of the use of a credit or
charge card or information contained on or for use with the card,
or (viii) as winnings in a lottery or other game of chance
operated or sponsored by a state, governmental unit of a state,
or person licensed or authorized to operate the game by a state
or governmental unit of a state. The term includes
health-care-insurance receivables.
(B) The term does not include (i) rights to payment
evidenced by chattel paper or an instrument, (ii) commercial tort
claims, (iii) deposit accounts, (iv) investment property, (v)
letter-of-credit rights or letters of credit, or (vi) rights to
payment for money or funds advanced or sold, other than rights
arising out of the use of a credit or charge card or information
contained on or for use with the card.
(3) "Account debtor" means a person obligated on an account,
chattel paper, or general intangible. The term does not include
persons obligated to pay a negotiable instrument, even if the
instrument constitutes part of chattel paper.
(4) "Accounting," except as used in "accounting for," means
a record:
(A) Authenticated by a secured party;
(B) Indicating the aggregate unpaid secured obligations as
of a date not more than thirty-five days earlier or thirty-five
days later than the date of the record; and
(C) Identifying the components of the obligations in
reasonable detail.
(5) "Agricultural lien" means an interest, other than a
security interest, in farm products:
(A) Which secures payment or performance of an obligation
for:
(i) Goods or services furnished in connection with a
debtor's farming operation; or
(ii) Rent on real property leased by a debtor in connection
with its farming operation;
(B) Which is created by statute in favor of a person that:
(i) In the ordinary course of its business, furnished goods
or services to a debtor in connection with a debtor's farming
operation; or
(ii) Leased real property to a debtor in connection with the
debtor's farming operation; and
(C) Whose effectiveness does not depend on the person's
possession of the personal property.
(6) "As-extracted collateral" means:
(A) Oil, gas, or other minerals that are subject to a
security interest that:
(i) Is created by a debtor having an interest in the
minerals before extraction; and
(ii) Attaches to the minerals as extracted; or
(B) Accounts arising out of the sale at the wellhead or
minehead of oil, gas, or other minerals in which the debtor had
an interest before extraction.
(7) "Authenticate" means:
(A) To sign; or
(B) With present intent to adopt or accept a record, to
attach to or logically associate with the record an electronic
sound, symbol, or process.
(8) "Bank" means an organization that is engaged in the
business of banking. The term includes savings banks, savings
and loan associations, credit unions, and trust companies.
(9) "Cash proceeds" means proceeds that are money, checks,
deposit accounts, or the like.
(10) "Certificate of title" means a certificate of title
with respect to which a statute provides for the security
interest in question to be indicated on the certificate as a
condition or result of the security interest's obtaining priority
over the rights of a lien creditor with respect to the
collateral. The term includes another record maintained as an
alternative to a certificate of title by the governmental unit
that issues certificates of title if a statute permits the
security interest in question to be indicated on the record as a
condition or result of the security interest's obtaining priority
over the rights of a lien creditor with respect to the
collateral.
(11) "Chattel paper" means a record or records that evidence
both a monetary obligation and a security interest in specific
goods, a security interest in specific goods and software used in
the goods, a security interest in specific goods and license of
software used in the goods, a lease of specific goods, or a lease
of specific goods and license of software used in the goods. In
this subsection, "monetary obligation" means a monetary
obligation secured by the goods or owed under a lease of the
goods and includes a monetary obligation with respect to software
used in the goods. The term "chattel paper" does not include (A)
charters or other contracts involving the use or hire of a vessel
or (B) records that evidence a right to payment arising out of
the use of a credit or charge card or information contained on or
for use with the card. If a transaction is evidenced by records
that include an instrument or series of instruments, the group of
records taken together constitutes chattel paper.
(12) "Collateral" means the property subject to a security
interest or agricultural lien. The term includes:
(A) Proceeds to which a security interest attaches;
(B) Accounts, chattel paper, payment intangibles, and
promissory notes that have been sold; and
(C) Goods that are the subject of a consignment.
(13) "Commercial tort claim" means a claim arising in tort
with respect to which:
(A) The claimant is an organization; or
(B) The claimant is an individual, and the claim:
(i) Arose in the course of the claimant's business or
profession; and
(ii) Does not include damages arising out of personal injury
to, or the death of, an individual.
(14) "Commodity account" means an account maintained by a
commodity intermediary in which a commodity contract is carried
for a commodity customer.
(15) "Commodity contract" means a commodity futures
contract, an option on a commodity futures contract, a commodity
option, or another contract if the contract or option is:
(A) Traded on or subject to the rules of a board of trade
that has been designated as a contract market for such a contract
pursuant to federal commodities laws; or
(B) Traded on a foreign commodity board of trade, exchange,
or market, and is carried on the books of a commodity
intermediary for a commodity customer.
(16) "Commodity customer" means a person for which a
commodity intermediary carries a commodity contract on its books.
(17) "Commodity intermediary" means a person that:
(A) Is registered as a futures commission merchant under
federal commodities law; or
(B) In the ordinary course of its business, provides
clearance or settlement services for a board of trade that has
been designated as a contract market pursuant to federal
commodities law.
(18) "Communicate" means:
(A) To send a written or other tangible record;
(B) To transmit a record by any means agreed upon by the
persons sending and receiving the record; or
(C) In the case of transmission of a record to or by a
filing office, to transmit a record by any means prescribed by
filing-office rule.
(19) "Consignee" means a merchant to which goods are
delivered in a consignment.
(20) "Consignment" means a transaction, regardless of its
form, in which a person delivers goods to a merchant for the
purpose of sale and:
(A) The merchant:
(i) Deals in goods of that kind under a name other than the
name of the person making delivery;
(ii) Is not an auctioneer; and
(iii) Is not generally known by its creditors to be
substantially engaged in selling the goods of others;
(B) With respect to each delivery, the aggregate value of
the goods is one thousand dollars or more at the time of
delivery;
(C) The goods are not consumer goods immediately before
delivery; and
(D) The transaction does not create a security interest that
secures an obligation.
(21) "Consignor" means a person that delivers goods to a
consignee in a consignment.
(22) "Consumer debtor" means a debtor in a consumer
transaction.
(23) "Consumer goods" means goods that are used or bought
for use primarily for personal, family, or household purposes.
(24) "Consumer-goods transaction" means a consumer
transaction in which:
(A) An individual incurs a consumer obligation; and
(B) A security interest in consumer goods secures the
obligation.
(25) "Consumer obligation" means an obligation which:
(A) Is incurred as part of a transaction entered into
primarily for personal, family, or household purposes; and
(B) Arises from an extension of credit, or commitment to
extend credit, in an aggregate amount not exceeding forty
thousand dollars, or is secured by personal property used or
expected to be used as a principal dwelling.
"Consumer obligor" means an obligor who is an individual and
who incurred a consumer obligation.
(26) "Consumer transaction" means a transaction in which (A)
an individual incurs a consumer obligation, (B) a security
interest secures the obligation, and (C) the collateral is held
or acquired primarily for personal, family, or household
purposes. The term includes consumer-goods transactions.
(27) "Continuation statement" means an amendment of a
financing statement which:
(A) Identifies, by its file number, the initial financing
statement to which it relates; and
(B) Indicates that it is a continuation statement for, or
that it is filed to continue the effectiveness of, the identified
financing statement.
(28) "Debtor" means:
(A) A person having an interest, other than a security
interest or other lien, in the collateral, whether or not the
person is an obligor;
(B) A seller of accounts, chattel paper, payment
intangibles, or promissory notes; or
(C) A consignee.
(29) "Deposit account" means a demand, time, savings,
passbook, or similar account maintained with a bank. The term
does not include investment property or accounts evidenced by an
instrument.
(30) "Document" means a document of title or a receipt of
the type described in RCW 62A.7-201(2).
(31) "Electronic chattel paper" means chattel paper
evidenced by a record or records consisting of information stored
in an electronic medium.
(32) "Encumbrance" means a right, other than an ownership
interest, in real property. The term includes mortgages and
other liens on real property.
(33) "Equipment" means goods other than inventory, farm
products, or consumer goods.
(34) "Farm products" means goods, other than standing
timber, with respect to which the debtor is engaged in a farming
operation and which are:
(A) Crops grown, growing, or to be grown, including:
(i) Crops produced on trees, vines, and bushes; and
(ii) Aquatic goods produced in aquacultural operations;
(B) Livestock, born or unborn, including aquatic goods
produced in aquacultural operations;
(C) Supplies used or produced in a farming operation; or
(D) Products of crops or livestock in their unmanufactured
states.
(35) "Farming operation" means raising, cultivating,
propagating, fattening, grazing, or any other farming, livestock,
or aquacultural operation.
(36) "File number" means the number assigned to an initial
financing statement pursuant to RCW 62A.9A-519(a).
(37) "Filing office" means an office designated in RCW62A.9A-501
as the place to file a financing statement.
(38) "Filing-office rule" means a rule adopted pursuant to
RCW 62A.9A-526.
(39) "Financing statement" means a record or records
composed of an initial financing statement and any filed record
relating to the initial financing statement.
(40) "Fixture filing" means the filing of a financing
statement covering goods that are or are to become fixtures and
satisfying RCW 62A.9A-502 (a) and (b). The term includes the
filing of a financing statement covering goods of a transmitting
utility which are or are to become fixtures.
(41) "Fixtures" means goods that have become so related to
particular real property that an interest in them arises under
real property law.
(42) "General intangible" means any personal property,
including things in action, other than accounts, chattel paper,
commercial tort claims, deposit accounts, documents, goods,
instruments, investment property, letter-of-credit rights,
letters of credit, money, and oil, gas, or other minerals before
extraction. The term includes payment intangibles and software.
(43) "Good faith" means honesty in fact and the observance
of reasonable commercial standards of fair dealing.
(44) "Goods" means all things that are movable when a
security interest attaches. The term includes (A) fixtures, (B)
standing timber that is to be cut and removed under a conveyance
or contract for sale, (C) the unborn young of animals, (D) crops
grown, growing, or to be grown, even if the crops are produced on
trees, vines, or bushes, and (E) manufactured homes. The term
also includes a computer program embedded in goods and any
supporting information provided in connection with a transaction
relating to the program if (i) the program is associated with the
goods in such a manner that it customarily is considered part of
the goods, or (ii) by becoming the owner of the goods, a person
acquires a right to use the program in connection with the goods.
The term does not include a computer program embedded in goods
that consist solely of the medium in which the program is
embedded. The term also does not include accounts, chattel
paper, commercial tort claims, deposit accounts, documents,
general intangibles, instruments, investment property,
letter-of-credit rights, letters of credit, money, or oil, gas,
or other minerals before extraction or a manufactured home
converted to real property under chapter 65.20 RCW.
(45) "Governmental unit" means a subdivision, agency,
department, county, parish, municipality, or other unit of the
government of the United States, a state, or a foreign country.
The term includes an organization having a separate corporate
existence if the organization is eligible to issue debt on which
interest is exempt from income taxation under the laws of the
United States.
(46) "Health-care-insurance receivable" means an interest
in or claim under a policy of insurance which is a right to
payment of a monetary obligation for health-care goods or
services provided.
(47) "Instrument" means a negotiable instrument or any other
writing that evidences a right to the payment of a monetary
obligation, is not itself a security agreement or lease, and is
of a type that in ordinary course of business is transferred by
delivery with any necessary indorsement or assignment. The term
does not include (A) investment property, (B) letters of credit,
(C) writings that evidence a right to payment arising out of the
use of a credit or charge card or information contained on or for
use with the card, (D) writings that do not contain a promise or
order to pay, or (E) writings that are expressly nontransferable
or nonassignable.
(48) "Inventory" means goods, other than farm products,
which:
(A) Are leased by a person as lessor;
(B) Are held by a person for sale or lease or to be
furnished under a contract of service;
(C) Are furnished by a person under a contract of service;
or
(D) Consist of raw materials, work in process, or materials
used or consumed in a business.
(49) "Investment property" means a security, whether
certificated or uncertificated, security entitlement, securities
account, commodity contract, or commodity account.
(50) "Jurisdiction of organization," with respect to a
registered organization, means the jurisdiction under whose law
the organization is formed or organized.
(51) "Letter-of-credit right" means a right to payment or
performance under a letter of credit, whether or not the
beneficiary has demanded or is at the time entitled to demand
payment or performance. The term does not include the right of a
beneficiary to demand payment or performance under a letter of
credit.
(52) "Lien creditor" means:
(A) A creditor that has acquired a lien on the property
involved by attachment, levy, or the like;
(B) An assignee for benefit of creditors from the time of
assignment;
(C) A trustee in bankruptcy from the date of the filing of
the petition; or
(D) A receiver in equity from the time of appointment.
(53) "Manufactured home" means a manufactured home or mobile
home as defined in RCW 46.04.302.
(54) [Reserved]
(55) "Mortgage" means a consensual interest in real
property, including fixtures, which secures payment or
performance of an obligation.
(56) "New debtor" means a person that becomes bound as
debtor under RCW 62A.9A-203(d) by a security agreement previously
entered into by another person.
(57) "New value" means (A) money, (B) money's worth in
property, services, or new credit, or (C) release by a transferee
of an interest in property previously transferred to the
transferee. The term does not include an obligation substituted
for another obligation.
(58) "Noncash proceeds" means proceeds other than cash
proceeds.
(59) "Obligor" means a person that, with respect to an
obligation secured by a security interest in or an agricultural
lien on the collateral, (A) owes payment or other performance of
the obligation, (B) has provided property other than the
collateral to secure payment or other performance of the
obligation, or (C) is otherwise accountable in whole or in part
for payment or other performance of the obligation. The term
does not include issuers or nominated persons under a letter of
credit.
(60) "Original debtor", except as used in RCW 62A.9A-310(c),
means a person that, as debtor, entered into a security agreement
to which a new debtor has become bound under RCW 62A.9A-203(d).
(61) "Payment intangible" means a general intangible under
which the account debtor's principal obligation is a monetary
obligation.
(62) "Person related to," with respect to an individual,
means:
(A) The spouse or state registered domestic partner of the
individual;
(B) A brother, brother-in-law, sister, or sister-in-law of
the individual;
(C) An ancestor or lineal descendant of the individual or
the individual's spouse or state registered domestic partner; or
(D) Any other relative, by blood or by marriage or other
law, of the individual or the individual's spouse or state
registered domestic partner who shares the same home with the
individual.
(63) "Person related to," with respect to an organization,
means:
(A) A person directly or indirectly controlling, controlled
by, or under common control with the organization;
(B) An officer or director of, or a person performing
similar functions with respect to, the organization;
(C) An officer or director of, or a person performing
similar functions with respect to, a person described in (63)(A)
of this subsection;
(D) The spouse or state registered domestic partner of an
individual described in (63)(A), (B), or (C) of this subsection;
or
(E) An individual who is related by blood or by marriage or
other law to an individual described in (63)(A), (B), (C), or (D)
of this subsection and shares the same home with the individual.
(64) "Proceeds", except as used in RCW 62A.9A-609(b), means
the following property:
(A) Whatever is acquired upon the sale, lease, license,
exchange, or other disposition of collateral;
(B) Whatever is collected on, or distributed on account of,
collateral;
(C) Rights arising out of collateral;
(D) To the extent of the value of collateral, claims arising
out of the loss, nonconformity, or interference with the use of,
defects or infringement of rights in, or damage to, the
collateral; or
(E) To the extent of the value of collateral and to the
extent payable to the debtor or the secured party, insurance
payable by reason of the loss or nonconformity of, defects or
infringement of rights in, or damage to, the collateral.
(65) "Promissory note" means an instrument that evidences a
promise to pay a monetary obligation, does not evidence an order
to pay, and does not contain an acknowledgment by a bank that the
bank has received for deposit a sum of money or funds.
(66) "Proposal" means a record authenticated by a secured
party, which includes the terms on which the secured party is
willing to accept collateral in full or partial satisfaction of
the obligation it secures pursuant to RCW 62A.9A-620, 62A.9A-621,
and 62A.9A-622.
(67) "Public-finance transaction" means a secured
transaction in connection with which:
(A) Debt securities are issued;
(B) All or a portion of the securities issued have an
initial stated maturity of at least twenty years; and
(C) The debtor, obligor, secured party, account debtor or
other person obligated on collateral, assignor or assignee of a
secured obligation, or assignor or assignee of a security
interest is a state or a governmental unit of a state.
(68) "Public organic record" means a record that is
available to the public for inspection and is:
(A) A record consisting of the record initially filed with
or issued by a state or the United States to form or organize an
organization and any record filed with or issued by the state or
the United States which amends or restates the initial record;
(B) An organic record of a business trust consisting of the
record initially filed with a state and any record filed with the
state which amends or restates the initial record, if a statute
of the state governing business trusts requires that the record
be filed with the state; or
(C) A record consisting of legislation enacted by the
legislature of a state or the congress of the United States which
forms or organizes an organization, any record amending the
legislation, and any record filed with or issued by the state or
the United States which amends or restates the name of the
organization.
(69) "Pursuant to commitment," with respect to an advance
made or other value given by a secured party, means pursuant to
the secured party's obligation, whether or not a subsequent event
of default or other event not within the secured party's control
has relieved or may relieve the secured party from its
obligation.
(70) "Record," except as used in "for record," "of record,"
"record or legal title," and "record owner," means information
that is inscribed on a tangible medium or which is stored in an
electronic or other medium and is retrievable in perceivable
form.
(71) "Registered organization" means an organization formed
or organized solely under the law of a single state or the United
States by the filing of a public organic record with, the
issuance of a public organic record by, or the enactment of
legislation by the state or the United States. The term includes
a business trust that is formed or organized under the law of a
single state if a statute of the state governing business trusts
requires that the business trust's organic record be filed with
the state.
(72) "Secondary obligor" means an obligor to the extent
that:
(A) The obligor's obligation is secondary; or
(B) The obligor has a right of recourse with respect to an
obligation secured by collateral against the debtor, another
obligor, or property of either.
(73) "Secured party" means:
(A) A person in whose favor a security interest is created
or provided for under a security agreement, whether or not any
obligation to be secured is outstanding;
(B) A person that holds an agricultural lien;
(C) A consignor;
(D) A person to which accounts, chattel paper, payment
intangibles, or promissory notes have been sold;
(E) A trustee, indenture trustee, agent, collateral agent,
or other representative in whose favor a security interest or
agricultural lien is created or provided for; or
(F) A person that holds a security interest arising under
RCW 62A.2-401, 62A.2-505, 62A.2-711(3), 62A.2A-508(5), 62A.4-210,
or 62A.5-118.
(74) "Security agreement" means an agreement that creates or
provides for a security interest.
(75) "Send," in connection with a record or notification,
means:
(A) To deposit in the mail, deliver for transmission, or
transmit by any other usual means of communication, with postage
or cost of transmission provided for, addressed to any address
reasonable under the circumstances; or
(B) To cause the record or notification to be received
within the time that it would have been received if properly sent
under (75)(A) of this subsection.
(76) "Software" means a computer program and any supporting
information provided in connection with a transaction relating to
the program. The term does not include a computer program that
is included in the definition of goods.
(77) "State" means a state of the United States, the
District of Columbia, Puerto Rico, the United States Virgin
Islands, or any territory or insular possession subject to the
jurisdiction of the United States.
(78) "Supporting obligation" means a letter-of-credit right
or secondary obligation that supports the payment or performance
of an account, chattel paper, a document, a general intangible,
an instrument, or investment property.
(79) "Tangible chattel paper" means chattel paper evidenced
by a record or records consisting of information that is
inscribed on a tangible medium.
(80) "Termination statement" means an amendment of a
financing statement which:
(A) Identifies, by its file number, the initial financing
statement to which it relates; and
(B) Indicates either that it is a termination statement or
that the identified financing statement is no longer effective.
(81) "Transmitting utility" means a person primarily engaged
in the business of:
(A) Operating a railroad, subway, street railway, or trolley
bus;
(B) Transmitting communications electrically,
electromagnetically, or by light;
(C) Transmitting goods by pipeline or sewer; or
(D) Transmitting or producing and transmitting electricity,
steam, gas, or water.
(b) Definitions in other Articles. The following
definitions in other Articles apply to this Article:
| "Applicant." | RCW 62A.5-102. | |
| "Beneficiary." | RCW 62A.5-102. | |
| "Broker." | RCW 62A.8-102. | |
| "Certificated security." | RCW 62A.8-102. | |
| "Check." | RCW 62A.3-104. | |
| "Clearing corporation." | RCW 62A.8-102. | |
| "Contract for sale." | RCW 62A.2-106. | |
| "Customer." | RCW 62A.4-104. | |
| "Entitlement holder." | RCW 62A.8-102. | |
| "Financial asset." | RCW 62A.8-102. | |
| "Holder in due course." | RCW 62A.3-302. | |
| "Issuer" with respect to a letter of credit or letter-of-credit right. | RCW 62A.5-102. | |
| "Issuer" with respect to a security. | RCW 62A.8-201. | |
| "Lease." | RCW 62A.2A-103. | |
| "Lease agreement." | RCW 62A.2A-103. | |
| "Lease contract." | RCW 62A.2A-103. | |
| "Leasehold interest." | RCW 62A.2A-103. | |
| "Lessee." | RCW 62A.2A-103. | |
| "Lessee in ordinary course of business." | RCW 62A.2A-103. | |
| "Lessor." | RCW 62A.2A-103. | |
| "Lessor's residual interest." | RCW 62A.2A-103. | |
| "Letter of credit." | RCW 62A.5-102. | |
| "Merchant." | RCW 62A.2-104. | |
| "Negotiable instrument." | RCW 62A.3-104. | |
| "Nominated person." | RCW 62A.5-102. | |
| "Note." | RCW 62A.3-104. | |
| "Proceeds of a letter of credit." | RCW 62A.5-114. | |
| "Prove." | RCW 62A.3-103. | |
| "Sale." | RCW 62A.2-106. | |
| "Securities account." | RCW 62A.8-501. | |
| "Securities intermediary." | RCW 62A.8-102. | |
| "Security." | RCW 62A.8-102. | |
| "Security certificate." | RCW 62A.8-102. | |
| "Security entitlement." | RCW 62A.8-102. | |
| "Uncertificated security." | RCW 62A.8-102. |
[2011 c 74 § 101; 2001 c 32 § 16; 2000 c 250 § 9A-102.]
NOTES:
Application -- 2011 c 74: "(1) Preeffective date transactions
or liens. Except as otherwise provided in this section or
sections 602 through 608 of this act, this act applies to a
transaction or lien within its scope, even if the transaction or
lien was entered into or created before July 1, 2013.
(2) Preeffective date proceedings. This act does not affect
an action, case, or proceeding commenced before July 1, 2013."
[2011 c 74 § 601.]
Correction of references -- 2011 c 74: "The office of the code reviser must develop legislation for the 2012 legislative session to correct any internal references required to be updated as a result of amendments in this act." [2011 c 74 § 802.]
Effective date -- 2011 c 74: "This act takes effect July 1, 2013." [2011 c 74 § 803.]
Effective date -- 2001 c 32: "This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect July 1, 2001." [2001 c 32 § 55.]