On default,unless the security agreement states otherwise,the secured party has the right to take possession of the collateral.

Question

Quizplus · Accepted Answer

This statement is true. In case of default, unless the security agreement specifies otherwise, the secured party has the right to take possession of the collateral to recover the outstanding debt. This is one of the rights and remedies available to a secured party under the Uniform Commercial Code (UCC).

On Default,unless the Security Agreement States Otherwise,the Secured Party Has