Senate Bill sb1066

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    Florida Senate - 2002                                  SB 1066

    By Senator Campbell





    33-358-02

  1                      A bill to be entitled

  2         An act relating to secured transactions under

  3         the Uniform Commercial Code; amending s.

  4         679.210, F.S.; revising provisions relating to

  5         a debtor's request for a list of collateral;

  6         amending s. 679.5011, F.S.; correcting

  7         grammatical and typographical errors; amending

  8         s. 679.510, F.S.; repealing provisions relating

  9         to effectiveness of filed records; amending s.

10         679.516, F.S.; repealing provisions allowing

11         filings using a last name and initial; amending

12         s. 679.525, F.S.; revising processing fees for

13         filing an initial financing statement; amending

14         s. 679.527, F.S.; revising provisions relating

15         to maintenance of the Florida Secured

16         Transaction Registry; amending s. 679.625,

17         F.S.; revising provisions relating to remedies

18         for failure to comply with chapter 679, F.S.;

19         providing an effective date.

20

21  Be It Enacted by the Legislature of the State of Florida:

22

23         Section 1.  Subsection (6) of section 679.210, Florida

24  Statutes, is amended to read:

25         679.210  Request for accounting; request regarding list

26  of collateral or statement of account.--

27         (6)  A debtor is entitled under this section without

28  charge to one response to a request for an accounting or a

29  request regarding a statement of account for each secured

30  obligation during any 6-month period. A debtor in a consumer

31  transaction is entitled to a single response to a request

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  1  regarding a list of collateral, for a transaction other than a

  2  consumer transaction, without charge during any 6-month

  3  period. The secured party may require payment of a charge not

  4  exceeding $25 for each additional response to a request for an

  5  accounting, a request regarding a statement of account, or a

  6  request regarding a list of collateral for a consumer

  7  transaction.  To the extent provided in an authenticated

  8  record, the secured party may require the payment of

  9  reasonable expenses, including attorney's fees, reasonably

10  incurred in providing a response to a request regarding a list

11  of collateral for a transaction other than a consumer

12  transaction under this section; otherwise, the secured party

13  may not charge more than $25 for each request regarding a list

14  of collateral.  Excluding a request related to a proposed

15  satisfaction of the secured obligation, a secured party is not

16  required to respond to more than 12 of each of the permitted

17  requests in any 12-month period.

18         Section 2.  Paragraph (b) of subsection (1) and

19  subsection (2) of section 679.5011, Florida Statutes, are

20  amended to read:

21         679.5011  Filing office.--

22         (1)  Except as otherwise provided in subsection (2),

23  the office in which to file a financing statement to perfect a

24  security interest or agricultural lien is:

25         (b)  The Florida Secured Transaction Registry, in

26  accordance with ss. 679.3011-679.3071, and in all other cases.

27         (2)  The office in which to file a financing statement

28  to perfect a security interest in collateral, including

29  fixtures, of a transmitting utility is the Office of the

30  Secretary of State, or the filing office authorized by

31  s.679.527 s. 697.527 to accept filings for the Florida Secured

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  1  Transaction Registry.  The financing statement also

  2  constitutes a fixture filing as to the collateral indicated in

  3  the financing statement which is or is to become fixtures.

  4         Section 3.  Subsections (1), (3), and (4) of section

  5  679.510, Florida Statutes, are amended to read:

  6         679.510  Effectiveness of filed record.--

  7         (1)  Subject to subsection (3), A filed record is

  8  effective only to the extent that it was filed by a person who

  9  may file it under s. 679.509.

10         (3)  If a person may file a termination statement only

11  under s. 679.509(3)(b), the filed termination statement is

12  effective only if the debtor authorizes the filing and the

13  termination statement indicates that the debtor authorized it

14  to be filed.

15         (3)(4)  A continuation statement that is not filed

16  within the 6-month period prescribed by s. 679.515(4) is

17  ineffective.

18         Section 4.  Subsections (2), (3), and (4) of section

19  679.516, Florida Statutes, are amended to read:

20         679.516  What constitutes filing; effectiveness of

21  filing.--

22         (2)  Filing does not occur with respect to a record

23  that a filing office refuses to accept because:

24         (a)  The record is not communicated by a method or

25  medium of communication authorized by the filing office;

26         (b)  An amount equal to or greater than the applicable

27  processing fee is not tendered;

28         (c)  The record does not include the notation required

29  by s. 201.22 indicating that the excise tax required by

30  chapter 201 had been paid or is not required;

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  1         (d)  The filing office is unable to index the record

  2  because:

  3         1.  In the case of an initial financing statement, the

  4  record does not provide an organization's name or, if an

  5  individual, the individual's last name and first name or

  6  initial;

  7         2.  In the case of an amendment or correction

  8  statement, the record:

  9         a.  Does not correctly identify the initial financing

10  statement as required by s. 679.512 or s. 679.518, as

11  applicable; or

12         b.  Identifies an initial financing statement the

13  effectiveness of which has lapsed under s. 679.515;

14         3.  In the case of an initial financing statement that

15  provides the name of a debtor identified as an individual or

16  an amendment that provides a name of a debtor identified as an

17  individual which was not previously provided in the financing

18  statement to which the record relates, the record does not

19  identify the debtor's last name and first name or initial; or

20         4.  In the case of a record filed or recorded in the

21  filing office described in s. 679.5011(1)(a), the record does

22  not provide a sufficient description of the real property to

23  which it relates;

24         (e)  In the case of an initial financing statement or

25  an amendment that adds a secured party of record, the record

26  does not provide an organization's name or, if an individual,

27  the individual's last name and first name or initial and

28  mailing address for the secured party of record;

29         (f)  In the case of an initial financing statement or

30  an amendment that provides a name of a debtor which was not

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  1  previously provided in the financing statement to which the

  2  amendment relates, the record does not:

  3         1.  Provide a mailing address for the debtor;

  4         2.  Indicate whether the debtor is an individual or an

  5  organization; or

  6         3.  If the financing statement indicates that the

  7  debtor is an organization, provide:

  8         a.  A type of organization for the debtor;

  9         b.  A jurisdiction of organization for the debtor; or

10         c.  An organizational identification number for the

11  debtor or indicate that the debtor has none;

12         (g)  In the case of an assignment reflected in an

13  initial financing statement under s. 679.514(1) or an

14  amendment filed under s. 679.514(2), the record does not

15  provide an organization's name or, if an individual, the

16  individual's last name and first name or initial and mailing

17  address for the assignee;

18         (h)  In the case of a continuation statement, the

19  record is not filed within the 6-month period prescribed by s.

20  679.515(4);

21         (i)  In the case of an initial financing statement or

22  an amendment, which amendment requires the inclusion of a

23  collateral statement but the record does not provide any, the

24  record does not provide a statement of collateral; or

25         (3)  For purposes of subsection (2):

26         (a)  A record does not provide information if the

27  filing office is unable to read or decipher the information;

28  and

29         (b)  A record that does not indicate that it is an

30  amendment or identify an initial financing statement to which

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  1  it relates, as required by s. 679.512, s. 679.514, or s.

  2  679.518, is an initial financing statement.

  3         (4)  A record that is communicated to the filing office

  4  with tender of the filing fee, but that the filing office

  5  refuses to accept for a reason other than one set forth in

  6  subsection (2), is effective as a filed record except as

  7  against a purchaser of the collateral which gives value in

  8  reasonable reliance upon the absence of the record from the

  9  files.

10         Section 5.  Subsection (1) of section 679.525, Florida

11  Statutes, is amended to read:

12         679.525  Processing fees.--

13         (1)  Except as otherwise provided in subsection (3),

14  the nonrefundable processing fee for filing and indexing a

15  record under this part, other than an initial financing

16  statement of the kind described in s. 679.5021(3), is:

17         (a)  For filing an initial financing statement, $28 $25

18  for the first two pages page, which shall include the cost of

19  filing a termination statement for the financing statement;

20         (b)  For filing an amendment, $12 for the first page;

21         (c)  For indexing by additional debtor, secured party,

22  or assignee, $3 per additional name indexed;

23         (d)  For use of a nonapproved form, $5;

24         (e)  For each additional page attached to a record, $3;

25         (f)  For filing a financing statement communicated by

26  an electronic filing process authorized by the filing office,

27  $15 with no additional fees for multiple names or attached

28  pages;

29         (g)  For filing an amendment communicated by an

30  electronic filing process authorized by the filing office, $5

31  with no additional fees for multiple names or attached pages;

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  1         (h)  For a certified copy of a financing statement and

  2  any and all associated amendments, $30; and

  3         (i)  For a photocopy of a filed record, $1 per page.

  4         Section 6.  Subsections (2) and (4) of section 679.527,

  5  Florida Statutes, are amended to read:

  6         679.527  Florida Secured Transaction Registry.--

  7         (2)  Under chapter 287, the department has the

  8  authority to determine and select the most qualified

  9  respondents to the request for qualifications and to negotiate

10  and enter into one or more contracts as provided in this

11  section. The contract may not be assignable or otherwise

12  transferable without the express written consent of the

13  department, notwithstanding any limitation imposed by s.

14  679.4061 or s. 679.4081.

15         (4)  Notwithstanding the terms and conditions of any

16  contract to perform the administrative and operational

17  functions of the filing office or filing officer under this

18  part for the Florida Secured Transaction Registry, the

19  department and the state shall retain sole and exclusive

20  ownership of the materials and records of the registry, shall

21  have the right to inspect and make copies of the materials and

22  records of the registry, and shall have the right to

23  immediately reclaim and take possession and control of the

24  original materials and records of the registry if any entity

25  under contract with the department to administer and operate

26  the registry does not, or cannot, perform the terms and

27  conditions of the contract for any reason or commences or is

28  adjudicated a debtor in consents to an insolvency proceeding.

29  If the department reclaims control of the materials and

30  records of the registry, the department shall provide for the

31  uninterrupted fulfillment of the duties of the filing office

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  1  and filing officer under this chapter by administration and

  2  operation by the department until a subsequent contract for

  3  such duties can be executed.  The department shall be entitled

  4  to injunctive relief if the entity fails to turn over the

  5  materials and records upon demand, and the Circuit Court for

  6  Leon County, Florida, shall have exclusive original

  7  jurisdiction to adjudicate any disputes pertaining to this

  8  section or any contract entered into under this section.

  9         Section 7.  Subsection (5) of section 679.625, Florida

10  Statutes, is amended to read:

11         679.625  Remedies for failure to comply with article.--

12         (5)  In lieu of damages recoverable under subsection

13  (2), the debtor, consumer obligor, or person named as a debtor

14  in a filed record, as applicable, may recover $500 in each

15  case from a person who:

16         (a)  Fails to comply with s. 679.2081;

17         (b)  Fails to comply with s. 679.209;

18         (c)  Files a record that the person is not entitled to

19  file under s. 679.509(1);

20         (d)  Fails to cause the secured party of record to file

21  or send a termination statement as required by s. 679.513(1)

22  or (3) after receipt of an authenticated record notifying the

23  person of such noncompliance;

24         (e)  Fails to comply with s. 679.616(2)(a) and whose

25  failure is part of a pattern, or consistent with a practice,

26  of noncompliance; or

27         (f)  Fails to comply with s. 679.616(2)(b) with respect

28  to a consumer transaction, and with respect to a transaction

29  other than a consumer transaction, after receipt of an

30  authenticated record notifying the person of such

31  noncompliance.

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  1         Section 8.  This act shall take effect upon becoming a

  2  law.

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  5                          SENATE SUMMARY

  6    Revises provisions governing secured transactions under
      the Uniform Commercial Code. (See bill for details.)
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