Uniform Commercial Code

• Debtor Name
• Debtor Organization
• Filing Location
• Filing Time
• Debtor and Secured Party Signatures
• Amendments
• UCC Bulk
• UCC Forms
• UCC Search
• Search Criteria
• Lien Definitions

Effective July 1, 2001, Montana implemented Revised Article 9 (RA9) of the Uniform Commercial Code, the body of law that provides for nationwide uniformity in the way certain kinds of loans are secured. A UCC lien is a financial document stating that a lender (secured party) has a claim in certain property belonging to someone else (debtor). By filing a UCC lien, a secured party establishes his or her priority for payment over subsequent secured parties if the debtor defaults on the loan.  The lien document filed with the Montana Secretary of State's Office provides a notice to interested parties of the existence of a security interest against specific collateral.

Debtor Name

It is the responsibility of the secured party to get the debtor's name right. The Secretary of State's office will reject UCC liens and amendments that do not correctly identify debtor's name as required by RA9. Listed below are some helpful tips to consider when reflecting a debtor name on a UCC lien.

• Examine, copy, and retain multiple identification records to reveal name variations (for example, Social Security card, driver's license, tax returns, etc.).
  
• Do not rely on a signature, even if legible, to discern the exact name of an individual.
  
• If the individual has only one financing name, such as "Cher," list the name in the space provided for the last name.
  
• Trade names adopted by individuals and organizations are not correct debtor names.
  
• Never combine multiple debtor names on one form (for example, Smith, Jack and Jill, or Jack Smith DBA/Jack's U Serve).
  
• Identify suffixes to distinguish filings by lineage (for example, Jr. or Sr.)
  
• If the debtor is an organization, check the charter documents in the organization's state of jurisdiction.
  
• Double-check the spelling of the debtor name on the lien.

Debtor Organization

If the debtor is an organization, then the state in which the debtor was organized, the type of organization, and the organization's identification number must now be included on the lien. This requirement covers new filings as well as amendments that add new organizations as debtors. Here are some helpful tips when completing this information: 

·        Type of organization refers to corporation, limited partnership, limited liability company, etc.

·        Jurisdiction of organization is the state in which the entity incorporated or in which its charter documents (Articles of Incorporation) were filed.

·        In Montana, the organizational ID number is the folder number assigned to the charter documents by the Secretary of State's Office.

For more information about the organizational status of specific debtors, visit the Secretary of State's Business Entity Search page.                   

Filing Location

The filing location of a UCC lien is determined as follows: 

• If the debtor is a "registered" organization, the UCC is filed in the state of organization/registration.
  
• If the debtor is an individual, the UCC is filed in the state of legal residence.

Filing Time

The current practice of the Secretary of State's Office is to assign a filing time of 8 a.m. on the day the U.S. Postal Service delivers the filing to us. On documents delivered in person or received by fax, express service, or e-mail, we assign the exact time and date of delivery.

Debtor and Secured Party Signatures

The debtor and secured party are required to authorize the filing of a UCC lien.  If authorization is obtained then the signatures of the debtor and secured party are not required on the lien notice filed with the Secretary of State’s office. 

The debtor is required to sign, authorize or authenticate an Effective Financing Statement (EFS) lien filed by the secured party under the Federal Act.  If authorization or authentication occurs the debtor is not required to sign the EFS noticed filed with the Secretary of State’s office.

Amendments

When filing an amendment with the Secretary of State’s office you must provide the original filing number along with the name of the debtor and secured party.  Reflecting this information will assist the filing office with identifying the correct lien notice is being amended.

UCC Bulk

UCC Bulk download allows registered users to download a complete listing of all Uniform Commercial Code and Effective Financing Statement liens recorded with the Montana Secretary of State’s office.  To register for this service please contact Discovering Montana at 449-3468 or (866) 449-3468.

UCC Search

The Secretary of State’s Office offers a Uniform Commercial Code search service through Discovering Montana. This service, available for a fee, provides information about all liens filed with our office, both active liens and those that lapsed or were terminated after June 30, 2001. Through the UCC Search site, you can search debtor names, view filing information, order copies of filings and amendments, and print certified search certificates. For information regarding the Secretary of State’s search criteria click on the following Administrative Rule: 44.6.201.

To use the service, you need to contact Discovering Montana at (406) 449-3468 or 1-866-449-3468.