CHAPTER 679

679.1011 Short title. This chapter may be cited as Uniform Commercial Code—Secured Transactions. History. — s. 1, ch. 2001-198. 679.1021 Definitions and index of definitions. (1) In this chapter, the term: (a) “Accession” means goods that are physically united with other goods in such a manner that the identity of the original goods is not lost. (b) “Account,” except as used in “account for,” “account statement,” “account to,” “commodity account” as used in paragraph (o), “customer account,” “deposit account” as used in paragraph (ff), “on account of,” and “statement of account,” means a right to payment of a monetary obligation, regardless of whether earned by performance, for property that has been or is to be sold, leased, licensed, assigned, or otherwise disposed of; for services rendered or to be rendered; for a policy of insurance issued or to be issued; for a secondary obligation incurred or to be incurred; for energy provided or to be provided; for the use or hire of a vessel under a charter or other contract; arising out of the use of a credit or charge card or information contained on or for use with the card; or 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 controllable accounts and health-care-insurance receivables. The term does not include chattel paper; commercial tort claims; deposit accounts; investment property; letter-of-credit rights or letters of credit; 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; or rights to payment evidenced by an instrument. (c) “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 negotiable instrument evidences chattel paper. (d) “Accounting,” except as used in the term “accounting for,” means a record: 1. Signed by a secured party; 2. Indicating the aggregate unpaid secured obligations as of a date not more than 35 days earlier or 35 days later than the date of the record; and 3. Identifying the components of the obligations in reasonable detail. (e) “Agricultural lien” means an interest, other than a security interest, in farm products: 1. Which secures payment or performance of an obligation for: a. Goods or services furnished in connection with a debtor’s farming operation; or b. Rent on real property leased by a debtor in connection with the debtor’s farming operation; 2. Which is created by statute in favor of a person who: a. In the ordinary course of the person’s business furnished goods or services to a debtor in connection with a debtor’s farming operation; or b. Leased real property to a debtor in connection with the debtor’s farming operation; and 3. Whose effectiveness does not depend on the person’s possession of the personal property. (f) “As-extracted collateral” means: 1. Oil, gas, or other minerals that are subject to a security interest that: a. Is created by a debtor having an interest in the minerals before extraction; and b. Attaches to the minerals as extracted; or 2. 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. (g) “Assignee,” except as used in “assignee for benefit of creditors,” means a person: 1. In whose favor a security interest that secures an obligation is created or provided for under a security agreement, regardless of whether the obligation is outstanding; or 2. To which an account, chattel paper, payment intangible, or promissory note has been sold. The term includes a person to which a security interest has been transferred by a secured party. (h) “Assignor” means a person that: 1. Under a security agreement creates or provides for a security interest that secures an obligation; or 2. Sells an account, chattel paper, payment intangible, or promissory note. The term includes a secured party that has transferred a security interest to another person. (i) “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. (j) “Cash proceeds” means proceeds that are money, checks, deposit accounts, or the like. (k) “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. (l) “Chattel paper” means: 1. A right to payment of a monetary obligation secured by specific goods, if the right to payment and security agreement are evidenced by a record; or 2. A right to payment of a monetary obligation owed by a lessee under a lease agreement with respect to specific goods and a monetary obligation owed by the lessee in connection with the transaction giving rise to the lease, if: a. The right to payment and lease agreement are evidenced by a record; and b. The predominant purpose of the transaction giving rise to the lease was to give the lessee the right to possession and use of the goods. The term does not include a right to payment arising out of a charter or other contract involving the use or hire of a vessel or 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. (m) “Collateral” means the property subject to a security interest or agricultural lien. The term includes: 1. Proceeds to which a security interest attaches; 2. Accounts, chattel paper, payment intangibles, and promissory notes that have been sold; and 3. Goods that are the subject of a consignment. (n) “Commercial tort claim” means a claim arising in tort with respect to which: 1. The claimant is an organization; or 2. The claimant is an individual and the claim: a. Arose in the course of the claimant’s business or profession; and b. Does not include damages arising out of personal injury to or the death of an individual. (o) “Commodity account” means an account maintained by a commodity intermediary in which a commodity contract is carried for a commodity customer. (p) “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: 1. 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 2. 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. (q) “Commodity customer” means a person for which a commodity intermediary carries a commodity contract on its books. (r) “Commodity intermediary” means a person who: 1. Is registered as a futures commission merchant under federal commodities law; or 2. In the ordinary course of the person’s business provides clearance or settlement services for a board of trade that has been designated as a contract market pursuant to federal commodities law. (s) “Communicate” means: 1. To send a written or other tangible record; 2. To transmit a record by any means agreed upon by the persons sending and receiving the record; or 3. 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. (t) “Consignee” means a merchant to which goods are delivered in a consignment. (u) “Consignment” means a transaction, regardless of its form, in which a person delivers goods to a merchant for the purpose of sale and: 1. The merchant: a. Deals in goods of that kind under a name other than the name of the person making delivery; b. Is not an auctioneer; and c. Is not generally known by its creditors to be substantially engaged in selling the goods of others; 2. With respect to each delivery, the aggregate value of the goods is $1,000 or more at the time of delivery; 3. The goods are not consumer goods immediately before delivery; and 4. The transaction does not create a security interest that secures an obligation. (v) “Consignor” means a person who delivers goods to a consignee in a consignment. (w) “Consumer debtor” means a debtor in a consumer transaction. (x) “Consumer goods” means goods that are used or bought for use primarily for personal, family, or household purposes. (y) “Consumer-goods transaction” means a consumer transaction in which: 1. An individual incurs an obligation primarily for personal, family, or household purposes; and 2. A security interest in consumer goods secures the obligation. (z) “Consumer obligor” means an obligor who is an individual and who incurred the obligation as part of a transaction entered into primarily for personal, family, or household purposes. (aa) “Consumer transaction” means a transaction in which an individual incurs an obligation primarily for personal, family, or household purposes; a security interest secures the obligation; and the collateral is held or acquired primarily for personal, family, or household purposes. The term includes consumer-goods transactions. (bb) “Continuation statement” means an amendment of a financing statement which: 1. Identifies, by its file number, the initial financing statement to which it relates; and 2. Indicates that it is a continuation statement for, or that it is filed to continue the effectiveness of, the identified financing statement. (cc) “Controllable account” means an account evidenced by a controllable electronic record that provides that the account debtor undertakes to pay the person that has control under s. 669.105 of the controllable electronic record. (dd) “Controllable payment intangible” means a payment intangible evidenced by a controllable electronic record that provides that the account debtor undertakes to pay the person that has control under s. 669.105 of the controllable electronic record. (ee) “Debtor” means: 1. A person having an interest, other than a security interest or other lien, in the collateral, whether or not the person is an obligor; 2. A seller of accounts, chattel paper, payment intangibles, or promissory notes; or 3. A consignee. (ff) “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. (gg) “Document” means a document of title or a receipt of the type described in s. 677.201(2). (hh) “Electronic money” means money in an electronic form. (ii) “Encumbrance” means a right, other than an ownership interest, in real property. The term includes mortgages and other liens on real property. (jj) “Equipment” means goods other than inventory, farm products, or consumer goods. (kk) “Farm products” means goods, other than standing timber, with respect to which the debtor is engaged in a farming operation and which are: 1. Crops grown, growing, or to be grown, including: a. Crops produced on trees, vines, and bushes; and b. Aquatic goods produced in aquacultural operations; 2. Livestock, born or unborn, including aquatic goods produced in aquacultural operations; 3. Supplies used or produced in a farming operation; or 4. Products of crops or livestock in their unmanufactured states. (ll) “Farming operation” means raising, cultivating, propagating, fattening, grazing, or any other farming, livestock, or aquacultural operation. (mm) “File number” means the number assigned to an initial financing statement pursuant to s. 679.519(1). (nn) “Filing office” means an office designated in s. 679.5011 as the place to file a financing statement. (oo) “Filing-office rule” means a rule adopted pursuant to s. 679.526. (pp) “Financing statement” means a record or records composed of an initial financing statement and any filed record relating to the initial financing statement. (qq) “Fixture filing” means the filing of a financing statement covering goods that are or are to become fixtures and satisfying s. 679.5021(1) and (2). The term includes the filing of a financing statement covering goods of a transmitting utility which are or are to become fixtures. (rr) “Fixtures” means goods that have become so related to particular real property that an interest in them arises under real property law. (ss) “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 controllable electronic records, payment intangibles, and software. (tt) “Good faith” means honesty in fact and the observance of reasonable commercial standards of fair dealing. (uu) “Goods” means all things that are movable when a security interest attaches. The term includes fixtures; standing timber that is to be cut and removed under a conveyance or contract for sale; the unborn young of animals; crops grown, growing, or to be grown, even if the crops are produced on trees, vines, or bushes; and 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 the program is associated with the goods in such a manner that it customarily is considered part of the goods, or 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. (vv) “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. (ww) “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. (xx) “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 the ordinary course of business is transferred by delivery with any necessary indorsement or assignment. The term does not include investment property, letters of credit, 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, or writings that evidence chattel paper. (yy) “Inventory” means goods, other than farm products, which: 1. Are leased by a person as lessor; 2. Are held by a person for sale or lease or to be furnished under a contract of service; 3. Are furnished by a person under a contract of service; or 4. Consist of raw materials, work in process, or materials used or consumed in a business. (zz) “Investment property” means a security, whether certificated or uncertificated, security entitlement, securities account, commodity contract, or commodity account. (aaa) “Jurisdiction of organization,” with respect to a registered organization, means the jurisdiction under whose law the organization is formed or organized. (bbb) “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. (ccc) “Lien creditor” means: 1. A creditor that has acquired a lien on the property involved by attachment, levy, judgment lien certificate, or the like; 2. An assignee for benefit of creditors from the time of assignment; 3. A trustee in bankruptcy from the date of the filing of the petition; or 4. A receiver in equity from the time of appointment. (ddd) “Manufactured home” means a structure, transportable in one or more sections, which, in the traveling mode, is eight body feet or more in width or 40 body feet or more in length, or, when erected on site, is 320 or more square feet, and which is built on a permanent chassis and designed to be used as a dwelling with or without a permanent foundation when connected to the required utilities, and includes the plumbing, heating, air-conditioning, and electrical systems contained therein. The term includes any structure that meets all of the requirements of this paragraph except the size requirements and with respect to which the manufacturer voluntarily files a certification required by the United States Secretary of Housing and Urban Development and complies with the standards established under Title 42 of the United States Code. (eee) “Manufactured-home transaction” means a secured transaction: 1. That creates a purchase-money security interest in a manufactured home, other than a manufactured home held as inventory; or 2. In which a manufactured home, other than a manufactured home held as inventory, is the primary collateral. (fff) “Money” has the same meaning as in s. 671.201, but does not include a deposit account, a central bank digital currency, or money in an electronic form that cannot be subjected to control under s. 679.1052. (ggg) “Mortgage” means a consensual interest in real property, including fixtures, which secures payment or performance of an obligation, which interest was created or derived from an instrument described in s. 697.01. (hhh) “New debtor” means a person who becomes bound as debtor under s. 679.2031(4) by a security agreement previously entered into by another person. (iii) “New value” means money; money’s worth in property, services, or new credit; or 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. (jjj) “Noncash proceeds” means proceeds other than cash proceeds. (kkk) “Obligor” means a person who, with respect to an obligation secured by a security interest in or an agricultural lien on the collateral, owes payment or other performance of the obligation, has provided property other than the collateral to secure payment or other performance of the obligation, or 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. (lll) “Original debtor,” except as used in s. 679.3101(3), means a person who, as debtor, entered into a security agreement to which a new debtor has become bound under s. 679.2031(4). (mmm) “Payment intangible” means a general intangible under which the account debtor’s principal obligation is a monetary obligation. The term includes a controllable payment intangible. (nnn) “Person related to,” with respect to an individual, means: 1. The spouse of the individual; 2. A brother, brother-in-law, sister, or sister-in-law of the individual; 3. An ancestor or lineal descendant of the individual or the individual’s spouse; or 4. Any other relative, by blood or marriage, of the individual or the individual’s spouse who shares the same home with the individual. (ooo) “Person related to,” with respect to an organization, means: 1. A person directly or indirectly controlling, controlled by, or under common control with the organization; 2. An officer or director of, or a person performing similar functions with respect to, the organization; 3. An officer or director of, or a person performing similar functions with respect to, a person described in subparagraph 1.; 4. The spouse of an individual described in subparagraph 1., subparagraph 2., or subparagraph 3.; or 5. An individual who is related by blood or marriage to an individual described in subparagraph 1., subparagraph 2., subparagraph 3., or subparagraph 4. and shares the same home with the individual. (ppp) “Proceeds,” except as used in s. 679.609(2), means the following property: 1. Whatever is acquired upon the sale, lease, license, exchange, or other disposition of collateral; 2. Whatever is collected on, or distributed on account of, collateral; 3. Rights arising out of collateral; 4. 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 5. 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. (qqq) “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. (rrr) “Proposal” means a record signed 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 ss. 679.620-679.622. (sss) “Public organic record” means a record that is available to the public for inspection and that is: 1. 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 that amends or restates the initial record; 2. An organic record of a business trust consisting of the record initially filed with a state and any record filed with the state that 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 3. A record consisting of legislation enacted by the Legislature of a state or the Congress of the United States that forms or organizes an organization, any record amending the legislation, and any record filed with or issued by the state or the United States that amends or restates the name of the organization. (ttt) “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. (uuu) “Record,” except as used in the terms “for record,” “of record,” “record or legal title,” and “record owner,” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (vvv) “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. (www) “Secondary obligor” means an obligor to the extent that: 1. The obligor’s obligation is secondary; or 2. The obligor has a right of recourse with respect to an obligation secured by collateral against the debtor, another obligor, or property of either. (xxx) “Secured party” means: 1. 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; 2. A person who holds an agricultural lien; 3. A consignor; 4. A person to whom accounts, chattel paper, payment intangibles, or promissory notes have been sold; 5. 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 6. A person who holds a security interest arising under s. 672.401, s. 672.505, s. 672.711(3), s. 680.508(5), s. 674.2101, or s. 675.118. (yyy) “Security agreement” means an agreement that creates or provides for a security interest. (zzz) “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. (aaaa) “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. (bbbb) “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. (cccc) “Tangible money” means money in tangible form. (dddd) “Termination statement” means an amendment of a financing statement which: 1. Identifies, by its file number, or if a fixture filing, by the official records book and page number, the initial financing statement to which it relates; and 2. Indicates either that it is a termination statement or that the identified financing statement is no longer effective. (eeee) “Transmitting utility” means a person primarily engaged in the business of: 1. Operating a railroad, subway, street railway, or trolley bus; 2. Transmitting communications electrically, electromagnetically, or by light; 3. Transmitting goods by pipeline or sewer; or 4. Transmitting or producing and transmitting electricity, steam, gas, or water. (2) The following definitions in other chapters apply to this chapter: “Applicant,” s. 675.103. “Beneficiary,” s. 675.103. “Broker,” s. 678.1021. “Certificated security,” s. 678.1021. “Check,” s. 673.1041. “Clearing corporation,” s. 678.1021. “Contract for sale,” s. 672.106. “Control,” s. 677.106. “Controllable electronic record,” s. 699.102. “Customer,” s. 674.104. “Entitlement holder,” s. 678.1021. “Financial asset,” s. 678.1021. “Holder in due course,” s. 673.3021. “Issuer” (with respect to a letter of credit or letter-of-credit right), s. 675.103. “Issuer” (with respect to a security), s. 678.2011. “Issuer” (with respect to documents of title), s. 677.102. “Lease,” s. 680.1031. “Lease agreement,” s. 680.1031. “Lease contract,” s. 680.1031. “Leasehold interest,” s. 680.1031. “Lessee,” s. 680.1031. “Lessee in ordinary course of business,” s. 680.1031. “Lessor,” s. 680.1031. “Lessor’s residual interest,” s. 680.1031. “Letter of credit,” s. 675.103. “Merchant,” s. 672.104. “Negotiable instrument,” s. 673.1041. “Nominated person,” s. 675.103. “Note,” s. 673.1041. “Proceeds of a letter of credit,” s. 675.114. “Protected purchaser,” s. 678.3031. “Prove,” s. 673.1031. “Qualifying purchaser,” s. 669.102. “Sale,” s. 672.106. “Securities account,” s. 678.5011. “Securities intermediary,” s. 678.1021. “Security,” s. 678.1021. “Security certificate,” s. 678.1021. “Security entitlement,” s. 678.1021. “Uncertificated security,” s. 678.1021. (3) Chapter 671 contains general definitions and principles of construction and interpretation applicable throughout this chapter. History. — s. 1, ch. 2001-198; s. 1, ch. 2002-242; s. 19, ch. 2005-241; s. 58, ch. 2010-131; s. 1, ch. 2012-59; s. 69, ch. 2025-92. 679.1031 Purchase-money security interest; application of payments; burden of establishing. (1) In this section, the term: (a) “Purchase-money collateral” means goods or software that secures a purchase-money obligation incurred with respect to that collateral. (b) “Purchase-money obligation” means an obligation of an obligor incurred as all or part of the price of the collateral or for value given to enable the debtor to acquire rights in or the use of the collateral if the value is in fact so used. (2) A security interest in goods is a purchase-money security interest: (a) To the extent that the goods are purchase-money collateral with respect to that security interest; (b) If the security interest is in inventory that is or was purchase-money collateral, also to the extent that the security interest secures a purchase-money obligation incurred with respect to other inventory in which the secured party holds or held a purchase-money security interest; and (c) Also to the extent that the security interest secures a purchase-money obligation incurred with respect to software in which the secured party holds or held a purchase-money security interest. (3) A security interest in software is a purchase-money security interest to the extent that the security interest also secures a purchase-money obligation incurred with respect to goods in which the secured party holds or held a purchase-money security interest if: (a) The debtor acquired interest in the software in an integrated transaction in which the debtor acquired an interest in the goods; and (b) The debtor acquired interest in the software for the principal purpose of using the software in the goods. (4) The security interest of a consignor in goods that are the subject of a consignment is a purchase-money security interest in inventory. (5) If the extent to which a security interest is a purchase-money security interest depends on the application of a payment to a particular obligation, the payment must be applied: (a) In accordance with any reasonable method of application to which the parties agree; (b) In the absence of the parties’ agreement to a reasonable method, in accordance with any intention of the obligor manifested at or before the time of payment; or (c) In the absence of an agreement to a reasonable method and a timely manifestation of the obligor’s intention, in the following order: 1. To obligations that are not secured; and 2. If more than one obligation is secured, to obligations secured by purchase-money security interests in the order in which those obligations were incurred. (6) A purchase-money security interest does not lose its status as such, even if: (a) The purchase-money collateral also secures an obligation that is not a purchase-money obligation; (b) Collateral that is not purchase-money collateral also secures the purchase-money obligation; or (c) The purchase-money obligation has been renewed, refinanced, consolidated, or restructured. (7) A secured party claiming a purchase-money security interest has the burden of establishing the extent to which the security interest is a purchase-money security interest. History. — s. 1, ch. 2001-198. 679.1041 Control of deposit account. (1) A secured party has control of a deposit account if any of the following applies: (a) The secured party is the bank with which the deposit account is maintained. (b) The debtor, secured party, and bank have agreed in a signed record that the bank will comply with instructions originated by the secured party directing disposition of the funds in the deposit account without further consent by the debtor. (c) The secured party becomes the bank’s customer with respect to the deposit account. (d) Another person, other than the debtor: 1. Has control of the deposit account and acknowledges that it has control on behalf of the secured party; or 2. Obtains control of the deposit account after having acknowledged that it will obtain control of the deposit account on behalf of the secured party. (2) A secured party that has satisfied subsection (1) has control, even if the debtor retains the right to direct the disposition of funds from the deposit account. History. — s. 1, ch. 2001-198; s. 70, ch. 2025-92. 679.1051 Control of electronic chattel paper. (1) A purchaser has control of an authoritative electronic copy of a record evidencing chattel paper if a system employed for evidencing the assignment of interests in the chattel paper reliably establishes the purchaser as the person to which the authoritative electronic copy was assigned. (2) A system satisfies subsection (1) if the record or records evidencing the chattel paper are created, stored, and assigned in a manner that: (a) A single authoritative copy of the record or records exists which is unique, identifiable, and, except as otherwise provided in paragraphs (d)-(f), unalterable; (b) The authoritative copy identifies the purchaser as the assignee of the record or records; (c) The authoritative copy is communicated to and maintained by the purchaser or its designated custodian; (d) Copies or amendments that add or change an identified assignee of the authoritative copy can be made only with the consent of the purchaser; (e) Each copy of the authoritative copy and any copy of a copy is readily identifiable as a copy that is not the authoritative copy; and (f) Any amendment of the authoritative copy is readily identifiable as authorized or unauthorized. (3) A system satisfies subsection (1), and a purchaser has control of an authoritative electronic copy of a record evidencing chattel paper, if the electronic copy, a record attached to or logically associated with the electronic copy, or a system in which the electronic copy is recorded: (a) Enables the purchaser to readily identify each electronic copy as either an authoritative copy or a nonauthoritative copy; (b) Enables the purchaser to readily identify itself in any way, including by name, identifying number, cryptographic key, office, or account number, as the assignee of the authoritative electronic copy; and (c) Gives the purchaser exclusive power, subject to subsection (4), to: 1. Prevent others from adding or changing an identified assignee of the authoritative electronic copy; and 2. Transfer control of the authoritative electronic copy. (4) Subject to subsection (5), a power is exclusive under subparagraphs (3)(c)1. and 2. even if: (a) The authoritative electronic copy, a record attached to or logically associated with the authoritative electronic copy, or a system in which the authoritative electronic copy is recorded limits the use of the authoritative electronic copy or has a protocol programmed to cause a change, including a transfer or loss of control; or (b) The power is shared with another person. (5) A power of a purchaser is not shared with another person as provided in paragraph (4)(b) and the purchaser’s power is not exclusive if: (a) The purchaser can exercise the power only if the power also is exercised by the other person; and (b) The other person: 1. Can exercise the power without exercise of the power by the purchaser; or 2. Is the transferor to the purchaser of an interest in the chattel paper. (6) If a purchaser has the powers specified in subparagraphs (3)(c)1. and 2., the powers are presumed to be exclusive. (7) A purchaser has control of an authoritative electronic copy of a record evidencing chattel paper if another person, other than the transferor to the purchaser of an interest in the chattel paper: (a) Has control of the authoritative electronic copy and acknowledges that it has control on behalf of the purchaser; or (b) Obtains control of the authoritative electronic copy after having acknowledged that it will obtain control of the electronic copy on behalf of the purchaser. History. — s. 1, ch. 2001-198; s. 2, ch. 2012-59; s. 71, ch. 2025-92. 679.1052 Control of electronic money. (1) A person has control of electronic money if both of the following apply: (a) The electronic money, a record attached to or logically associated with the electronic money, or a system in which the electronic money is recorded gives the person: 1. Power to avail itself of substantially all the benefit from the electronic money; and 2. Exclusive power, subject to subsection (2), to: a. Prevent others from availing themselves of substantially all the benefit from the electronic money; and b. Transfer control of the electronic money to another person or cause another person to obtain control of other electronic money as a result of the transfer of the electronic money. (b) The electronic money, a record attached to or logically associated with the electronic money, or a system in which the electronic money is recorded enables the person readily to identify itself in any way, including by name, identifying number, cryptographic key, office, or account number, as having the powers under paragraph (a). (2) Subject to subsection (3), a power is exclusive under sub-subparagraphs (1)(a)2.a. and b. even if: (a) The electronic money, a record attached to or logically associated with the electronic money, or a system in which the electronic money is recorded limits the use of the electronic money or has a protocol programmed to cause a change, including a transfer or loss of control; or (b) The power is shared with another person. (3) A power of a person is not shared with another person under paragraph (2)(b) and the person’s power is not exclusive if: (a) The person can exercise the power only if the power also is exercised by the other person; and (b) The other person: 1. Can exercise the power without exercise of the power by the person; or 2. Is the transferor to the person of an interest in the electronic money. (4) If a person has the powers specified in sub-subparagraphs (1)(a)2.a. and b., the powers are presumed to be exclusive. (5) A person has control of electronic money if another person, other than the transferor to the person of an interest in the electronic money: (a) Has control of the electronic money and acknowledges that it has control on behalf of the person; or (b) Obtains control of the electronic money after having acknowledged that it will obtain control of the electronic money on behalf of the person. History. — s. 72, ch. 2025-92. 679.1053 Control of controllable electronic record, controllable account, or controllable payment intangible. (1) A secured party has control of a controllable electronic record as provided in s. 669.105. (2) A secured party has control of a controllable account or controllable payment intangible if the secured party has control of the controllable electronic record that evidences the controllable account or controllable payment intangible. History. — s. 73, ch. 2025-92. 679.1054 No requirement to acknowledge or confirm; no duties. (1) A person that has control under s. 679.1051, s. 679.1052, or s. 679.1053 is not required to acknowledge that it has control on behalf of another person. (2) If a person acknowledges that it has or will obtain control on behalf of another person, unless the person otherwise agrees, or law other than this chapter otherwise provides, the person does not owe any duty to the other person and is not required to confirm the acknowledgment to any other person. History. — s. 74, ch. 2025-92. 679.1061 Control of investment property. (1) A person has control of a certificated security, uncertificated security, or security entitlement as provided in s. 678.1061. (2) A secured party has control of a commodity contract if: (a) The secured party is the commodity intermediary with which the commodity contract is carried; or (b) The commodity customer, secured party, and commodity intermediary have agreed that the commodity intermediary will apply any value distributed on account of the commodity contract as directed by the secured party without further consent by the commodity customer. (3) A secured party having control of all security entitlements or commodity contracts carried in a securities account or commodity account has control over the securities account or commodity account. History. — s. 1, ch. 2001-198; s. 155, ch. 2025-92. 679.1071 Control of letter-of-credit right. A secured party has control of a letter-of-credit right to the extent of any right to payment or performance by the issuer or any nominated person if the issuer or nominated person has consented to an assignment of proceeds of the letter of credit under s. 675.114(3) or otherwise applicable law or practice. History. — s. 1, ch. 2001-198. 679.1081 Sufficiency of description. (1) Except as otherwise provided herein and in subsections (3), (4), and (5), a description of personal or real property is sufficient, whether or not it is specific, if it reasonably identifies what is described. A description of real estate in a record filed to perfect a security interest in crops growing or to be grown or goods which are or are to become fixtures shall be sufficient only if the filing or recording of the same constitutes constructive notice under the laws of this state, other than this chapter, which are applicable to the filing or recording of a record of a mortgage, and a mailing or street address alone shall not be sufficient. (2) Except as otherwise provided in subsection (4), a description of collateral reasonably identifies the collateral if it identifies the collateral by: (a) Specific listing; (b) Category; (c) Except as otherwise provided in subsection (5), a type of collateral defined in the Uniform Commercial Code; (d) Quantity; (e) Computational or allocational formula or procedure; or (f) Except as otherwise provided in subsection (3), any other method, if the identity of the collateral is objectively determinable. (3) A description of collateral as “all the debtor’s assets” or “all the debtor’s personal property” or using words of similar import does not reasonably identify the collateral for purposes of the security agreement. (4) Except as otherwise provided in subsection (5), a description of a security entitlement, securities account, or commodity account is sufficient if it describes: (a) The collateral by those terms or as investment property; or (b) The underlying financial asset or commodity contract. (5) A description only by type of collateral defined in this chapter is an insufficient description of: (a) A commercial tort claim; (b) In a consumer transaction, consumer goods, a security entitlement, a securities account, or a commodity account; (c) An account consisting of a right to payment of a monetary obligation for the sale of real property that is the debtor’s homestead under the laws of this state; or (d) Accounts and other entitlements set forth in ss. 222.13-222.16, 222.18, and 222.201-222.22. History. — s. 1, ch. 2001-198; s. 2, ch. 2002-242; s. 1, ch. 2023-266. 679.1091 Scope. (1) Except as otherwise provided in subsections (3) and (4), this chapter applies to: (a) A transaction, regardless of its form, that creates a security interest in personal property or fixtures by contract; (b) An agricultural lien; (c) A sale of accounts, chattel paper, payment intangibles, or promissory notes; (d) A consignment; (e) A security interest arising under s. 672.401, s. 672.502, s. 672.711, or s. 680.508(5), as provided in s. 679.1101; and (f) A security interest arising under s. 674.2101 or s. 675.118. (2) The application of this chapter to a security interest in a secured obligation is not affected by the fact that the obligation is itself secured by a transaction or interest to which this chapter does not apply. (3) This chapter does not apply to the extent that: (a) A statute, regulation, or treaty of the United States preempts this chapter; or (b) The rights of a transferee beneficiary or nominated person under a letter of credit are independent and superior under s. 675.114. (4) This chapter does not apply to: (a) A landlord’s lien, other than an agricultural lien; (b) A lien, other than an agricultural lien, given by statute or other rule of law for services or materials, but s. 679.333 applies with respect to priority of the lien; (c) An assignment of a claim for wages, salary, or other compensation of an employee; (d) A sale of accounts, chattel paper, payment intangibles, or promissory notes as part of a sale of the business out of which they arose; (e) An assignment of accounts, chattel paper, payment intangibles, or promissory notes which is for the purpose of collection only; (f) An assignment of a right to payment under a contract to an assignee that is also obligated to perform under the contract; (g) An assignment of a single account, payment intangible, or promissory note to an assignee in full or partial satisfaction of a preexisting indebtedness; (h) A transfer of an interest in or an assignment of a claim under a policy of insurance, other than an assignment by or to a health-care provider of a health-care-insurance receivable and any subsequent assignment of the right to payment, but ss. 679.3151 and 679.322 apply with respect to proceeds and priorities in proceeds; (i) An assignment of a right represented by a judgment, other than a judgment taken on a right to payment that was collateral; (j) A right of recoupment or set-off, but: 1. Section 679.340 applies with respect to the effectiveness of rights of recoupment or set-off against deposit accounts; and 2. Section 679.4041 applies with respect to defenses or claims of an account debtor; (k) The creation or transfer of an interest in or lien on real property, including a lease or rents thereunder, except to the extent that provision is made for: 1. Liens on real property in ss. 679.2031 and 679.3081; 2. Fixtures in s. 679.334; 3. Fixture filings in ss. 679.5011, 679.5021, 679.512, 679.516, and 679.519; and 4. Security agreements covering personal and real property in s. 679.604; (l) An assignment of a claim arising in tort, other than a commercial tort claim, but ss. 679.3151 and 679.322 apply with respect to proceeds and priorities in proceeds; (m) An assignment of a deposit account, other than a nonnegotiable certificate of deposit, in a consumer transaction, but ss. 679.3151 and 679.322 apply with respect to proceeds and priorities in proceeds; (n) Any transfer by a government or governmental unit; or (o) A transfer or pledge of, or creation of a security interest in, any interest or right or portion of any interest or right in any storm-recovery property as defined in s. 366.8260. History. — s. 1, ch. 2001-198; s. 2, ch. 2005-107; s. 158, ch. 2025-92. 679.1101 Security interests arising under chapter 672 or chapter 680. A security interest arising under s. 672.401, s. 672.505, s. 672.711(3), or s. 680.508(5) is subject to this chapter. However, until the debtor obtains possession of the goods: (1) The security interest is enforceable, even if s. 679.2031(2)(c) has not been satisfied; (2) Filing is not required to perfect the security interest; (3) The rights of the secured party after default by the debtor are governed by chapter 672 or chapter 680; and (4) The security interest has priority over a conflicting security interest created by the debtor. History. — s. 1, ch. 2001-198; s. 151, ch. 2025-92. PART II EFFECTIVENESS OF SECURITY AGREEMENT; ATTACHMENT OF SECURITY INTEREST; RIGHTS OF PARTIES TO SECURITY AGREEMENT 679.2011 General effectiveness of security agreement. 679.2021 Title to collateral immaterial. 679.2031 Attachment and enforceability of security interest; proceeds; supporting obligations; formal requisites. 679.2041 After-acquired property; future advances. 679.2051 Use or disposition of collateral permissible. 679.2061 Security interest arising in purchase or delivery of financial asset. 679.2071 Rights and duties of secured party having possession or control of collateral. 679.2081 Additional duties of secured party having control of collateral. 679.209 Duties of secured party if account debtor has been notified of assignment. 679.210 Request for accounting; request regarding list of collateral or statement of account. 679.2011 General effectiveness of security agreement. (1) Except as otherwise provided in the Uniform Commercial Code, a security agreement is effective according to its terms between the parties, against purchasers of the collateral, and against creditors. (2) Nothing in this chapter validates any charge or practice illegal under any statute or regulation thereunder governing usury, small loans, retail installment sales, or the like, or extends the application of any such statute or regulation to any transaction not otherwise subject thereto. A transaction, although subject to this chapter, is also subject to chapters 516 and 520, and in the case of conflict between the provisions of this chapter and any such statute, the provisions of such statute shall control. Failure to comply with any applicable statute has only the effect which is specified therein. History. — s. 2, ch. 2001-198. 679.2021 Title to collateral immaterial. Except as otherwise provided with respect to consignments or sales of accounts, chattel paper, payment intangibles, or promissory notes, the provisions of this chapter with regard to rights and obligations apply whether title to collateral is in the secured party or the debtor. History. — s. 2, ch. 2001-198. 679.2031 Attachment and enforceability of security interest; proceeds; supporting obligations; formal requisites. (1) A security interest attaches to collateral when it becomes enforceable against the debtor with respect to the collateral, unless an agreement expressly postpones the time of attachment. (2) Except as otherwise provided in subsections (3)-(10), a security interest is enforceable against the debtor and third parties with respect to the collateral only if: (a) Value has been given; (b) The debtor has rights in the collateral or the power to transfer rights in the collateral to a secured party; and (c) One of the following conditions is met: 1. The debtor has signed a security agreement that provides a description of the collateral and, if the security interest covers timber to be cut, a description of the land concerned; 2. The collateral is not a certificated security and is in the possession of the secured party under s. 679.3131 pursuant to the debtor’s security agreement; 3. The collateral is a certificated security in registered form and the security certificate has been delivered to the secured party under s. 678.3011 pursuant to the debtor’s security agreement; 4. The collateral is controllable accounts, controllable electronic records, controllable payment intangibles, deposit accounts, electronic documents, electronic money, investment property, or letter-of-credit rights, and the secured party has control under s. 669.105, s. 677.106, s. 679.1041, s. 679.1051, s. 679.1061, or s. 679.1071 pursuant to the debtor’s security agreement; or 5. The collateral is chattel paper and the secured party has possession and control under s. 679.3152 pursuant to the debtor’s security agreement. (3) Subsection (2) is subject to s. 674.2101 on the security interest of a collecting bank, s. 675.118 on the security interest of a letter-of-credit issuer or nominated person, s. 679.1101 on a security interest arising under chapter 672 or chapter 680, and s. 679.2061 on security interests in investment property. (4) A person becomes bound as debtor by a security agreement entered into by another person if, by operation of law other than this chapter or by contract: (a) The security agreement becomes effective to create a security interest in the person’s property; or (b) The person becomes generally obligated for the obligations of the other person, including the obligation secured under the security agreement, and acquires or succeeds to all or substantially all of the assets of the other person. (5) If a new debtor becomes bound as debtor by a security agreement entered into by another person: (a) The agreement satisfies paragraph (2)(c) with respect to existing or after-acquired property of the new debtor to the extent the property is described in the agreement; and (b) Another agreement is not necessary to make a security interest in the property enforceable. (6) The attachment of a security interest in collateral gives the secured party the rights to proceeds provided by s. 679.3151 and is also attachment of a security interest in a supporting obligation for the collateral. (7) The attachment of a security interest in a right to payment or performance secured by a security interest or other lien on personal or real property is also attachment of a security interest in the security interest, mortgage, or other lien. (8) The attachment of a security interest in a securities account is also attachment of a security interest in the security entitlements carried in the securities account. (9) The attachment of a security interest in a commodity account is also attachment of a security interest in the commodity contracts carried in the commodity account. (10) A security interest in an account consisting of a right to payment of a monetary obligation for the sale of real property that is the debtor’s homestead under the laws of this state is not enforceable unless: (a) The description of the account in the security agreement conspicuously states that the collateral includes the debtor’s right to payment of a monetary obligation for the sale of real property; (b) The description of the account in the security agreement includes a legal description of the real property; (c) The description of the account in the security agreement conspicuously states that the real property is the debtor’s homestead; and (d) The security agreement is also signed by the debtor’s spouse, if the debtor is married; if the debtor’s spouse is incompetent, then the method of signature by the debtor’s spouse is the same as provided by the laws of this state, other than this chapter, which apply to the alienation or encumbrance of homestead property by an incompetent person. History. — s. 2, ch. 2001-198; s. 3, ch. 2002-242; s. 59, ch. 2010-131; s. 75, ch. 2025-92. 679.2041 After-acquired property; future advances. (1) Except as otherwise provided in subsection (2), a security agreement may create or provide for a security interest in after-acquired collateral. (2) Subject to subsection (3), a security interest does not attach under a term constituting an after-acquired property clause to: (a) Consumer goods, other than an accession when given as additional security, unless the debtor acquires rights in them within 10 days after the secured party gives value; or (b) A commercial tort claim. (3) Subsection (2) does not prevent a security interest from attaching: (a) To a consumer good as proceeds under s. 679.3151(1) or commingled goods under s. 679.336(3); (b) To a commercial tort claim as proceeds under s. 679.3151(1); or (c) Under an after-acquired property clause to property that is proceeds of consumer goods or a commercial tort claim. (4) A security agreement may provide that collateral secures, or that accounts, chattel paper, payment intangibles, or promissory notes are sold in connection with, future advances or other value, whether or not the advances or value are given pursuant to commitment. History. — s. 2, ch. 2001-198; s. 76, ch. 2025-92. 679.2051 Use or disposition of collateral permissible. (1) A security interest is not invalid or fraudulent against creditors solely because: (a) The debtor has the right or ability to: 1. Use, commingle, or dispose of all or part of the collateral, including returned or repossessed goods; 2. Collect, compromise, enforce, or otherwise deal with collateral; 3. Accept the return of collateral or make repossessions; or 4. Use, commingle, or dispose of proceeds; or (b) The secured party fails to require the debtor to account for proceeds or replace collateral. (2) This section does not relax the requirements of possession if attachment, perfection, or enforcement of a security interest depends upon possession of the collateral by the secured party. History. — s. 2, ch. 2001-198. 679.2061 Security interest arising in purchase or delivery of financial asset. (1) A security interest in favor of a securities intermediary attaches to a person’s security entitlement if: (a) The person buys a financial asset through the securities intermediary in a transaction in which the person is obligated to pay the purchase price to the securities intermediary at the time of the purchase; and (b) The securities intermediary credits the financial asset to the buyer’s securities account before the buyer pays the securities intermediary. (2) The security interest described in subsection (1) secures the person’s obligation to pay for the financial asset. (3) A security interest in favor of a person who delivers a certificated security or other financial asset represented by a writing attaches to the security or other financial asset if: (a) The security or other financial asset: 1. In the ordinary course of business is transferred by delivery with any necessary indorsement or assignment; and 2. Is delivered under an agreement between persons in the business of dealing with such securities or financial assets; and (b) The agreement calls for delivery against payment. (4) The security interest described in subsection (3) secures the obligation to make payment for the delivery. History. — s. 2, ch. 2001-198. 679.2071 Rights and duties of secured party having possession or control of collateral. (1) Except as otherwise provided in subsection (4), a secured party shall use reasonable care in the custody and preservation of collateral in the secured party’s possession. In the case of chattel paper or an instrument, reasonable care includes taking necessary steps to preserve rights against prior parties unless otherwise agreed. (2) Except as otherwise provided in subsection (4), if a secured party has possession of collateral: (a) Reasonable expenses, including the cost of insurance and payment of taxes or other charges, incurred in the custody, preservation, use, or operation of the collateral are chargeable to the debtor and are secured by the collateral; (b) The risk of accidental loss or damage is on the debtor to the extent of a deficiency in any effective insurance coverage; (c) The secured party shall keep the collateral identifiable, but fungible collateral may be commingled; and (d) The secured party may use or operate the collateral: 1. For the purpose of preserving the collateral or its value; 2. As permitted by an order of a court having competent jurisdiction; or 3. Except in the case of consumer goods, in the manner and to the extent agreed by the debtor. (3) Except as otherwise provided in subsection (4), a secured party having possession of collateral or control of collateral under s. 677.106, s. 679.1041, s. 679.1051, s. 679.1052, s. 679.1061, or s. 679.1071: (a) May hold as additional security any proceeds, except money or funds, received from the collateral; (b) Shall apply money or funds received from the collateral to reduce the secured obligation, unless remitted to the debtor; and (c) May create a security interest in the collateral. (4) If the secured party is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a c