What is a chattel paper?
A chattel paper is a document which contains information about a monetary obligation paired with the specifics of a security interest held by the creditor. This security interest is usually a lien on a piece of movable property. Chattel papers are used in a wide variety of settings.
What is'chattel'?
What is 'Chattel'. Chattel can be either animate or inanimate property and can be borrowed against using a chattel mortgage. In accounting, chattel property and other personal property is tracked separately from land or improvements made to land because it can be depreciated more quickly. Additionally, legal systems consider rights...
What are some examples of chattel real?
There are several examples of chattel real that can be shared. One example is an apartment building. This is real property that can be leased for a limited amount of time. Another example is an office building. Office buildings can be leased for a limited time as well.
What is a chattel paper for a mobile home loan?
In addition, the actual mobile home acts as a form of collateral, and the loan can stay in place, even if the mobile home is moved to another plot of land. A chattel paper is a document containing information about the financial obligation of the borrower and the security interest held by the creditor.
What is a chattel paper?
What happens if a grantor's collateral is evidenced by a chattel paper?
Does MLBFS collect chattel papers?
Is Chattel Paper genuine?
Does a chattel paper contain a security interest?
Does Grantor hold chattel papers?
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What is chattel paper?
Chattel paper refers to a document used in secured transactions to sell property on credit while retaining some interest in the property. Chattel paper must show: A monetary obligation from Party A to Party B, and. A security interest or other interest retained in the property by Party B.
What is an example of a chattel?
Chattel is a catch-all category of property associated with movable goods. At common law, chattel included all property other than real property. Examples include leases, animals, and money. In modern usage, chattel usually only refers to tangible movable personal property.
Is a check a chattel paper?
Related to Chattel Check. Chattel Paper means any “chattel paper,” as such term is defined in the Code, including electronic chattel paper, now owned or hereafter acquired by any Credit Party, wherever located.
What is chattel paper under UCC?
"'Chattel paper' means a writing or writings which evidence both a mone- tary obligation and a security interest in or a lease of specific goods." UCC § 9-105 (1) (b). "'Account means any right to payment for goods sold or leased or for services.
Is a mortgage chattel paper?
Special Considerations. A chattel paper is a document containing information about the financial obligation of the borrower and the security interest held by the creditor. Businesses frequently use chattel mortgages to purchase new equipment.
What are the types of chattels?
Today, chattel is defined as any item of personal property and that can be moved. Examples of chattel, as defined in common law, include furniture, clothes hanging in the closet, and cattle on a farm. When someone moves out of his home, the items he takes with him are chattel.
Is an equipment lease chattel paper?
Equipment in a lease is personal property and under the UCC equipment leases constitute chattel paper .
How do you perfect a security interest in chattel paper?
A security interest in chattel paper, negotiable documents, instruments, or investment property may be perfected by filing. (b) [Control or possession of certain collateral.] (3) a security interest in money may be perfected only by the secured party's taking possession under Section 9-313.
What is human chattel?
Human beings considered property, that is, slaves.
Is money in a bank account a chattel?
This term has different meanings depending on its context: In the context of estates of deceased persons who have died intestate on or after 1 October 2014, personal chattels is defined as tangible movable property but not: Money or securities for money.
Is a car considered a chattel?
The term chattel refers to personal property that you can transport, such as jewelry, clothing, electronics or vehicles.
Is a bank account a chattel?
However, money and rights to money are not generally within the concept of “personal effects” because, they are not physical chattels. Accordingly, cash on hand, shares in public companies and money in bank accounts, are not personal effects as they are not physical property.
What is an example of chattel paper? - Answers
In a simple example of a setting in which a chattel paper might be used, an equipment rental company could rent equipment to a business, and retain a lien on the equipment. In the event that the ...
Chattel Paper legal definition of Chattel Paper - TheFreeDictionary.com
Chattel Paper: A writing or writings that evidence both a monetary obligation and a security interest in or a lease of specific goods. In many instances chattel paper will consist of a negotiable instrument coupled with a security agreement. When a transaction is evidenced both by such a security agreement or a lease and by an instrument or a ...
Chattel Paper Law and Legal Definition | USLegal, Inc.
Chattel paper means a record that evidences 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.
Chattel Definition & Meaning - Merriam-Webster
chattel: [noun] an item of tangible movable or immovable property except real estate and things (such as buildings) connected with real property.
chattel paper | Wex | US Law | LII / Legal Information Institute
Chattel paper refers to a document used in secured transactions to sell property on credit while retaining some interest in the property. Chattel paper must show: A monetary obligation from Party A to Party B, and A security interest or other interest retained in the property by Party B. While traditional chattel papers were physical, UCC §9-105 authorizes the use of electronic chattel paper.
What Is Chattel?
Chattel is the tangible personal property that is movable between locations. It can refer to either animate or inanimate property such as hogs, furniture, and automobiles.
What is a chattel agreement?
A chattel agreement will allow the buyer to use the equipment while maintaining a safe position for the seller at the same time. The seller can recover the equipment and sell it to recover losses from the loan balance in the event that the buyer defaults.
What is a chattel mortgage?
Chattel Mortgage. A chattel mortgage affords freestanding property—other than the home—as collateral for a loan. The lender secures the mortgage on the chattel, and legal ownership of the chattel is transferred to the lender. The mortgage is removed when the loan is repaid.
What is the difference between real estate and chattel?
The primary difference between chattel and real estate is that chattel is movable while real estate is fixed permanently to one specific location. Chattel can also be understood in comparison to intangible property that can't be moved, touched, or felt.
Why is chattel property tracked separately from land?
Chattel property and other personal property is tracked separately from land or improvements made to land because it can be depreciated more quickly. Additionally, legal systems consider the rights to chattel differently than rights afforded to real property.
Why does the value of a chattel drop?
Chattel’s value drops rapidly due to depreciation, as often seen with the purchase of a car, and typically does not increase with improvements . Real property is different, as it increases in value through improvements and renovations.
Where does the word "chattel" come from?
Chattel comes from the French word " chatel ," which comes from the Latin word " capitale ."
Chattel Explained in Less Than 5 Minutes
Stephanie Bolling has over 10 years of experience as a writer covering budgeting, loans, insurance, retirement, and more. In addition to The Balance, her work has appeared in the Tampa Bay Times, The Penny Hoarder, Money Under 30, and LendEDU. She has a bachelor's degree in mass communication and journalism from the University of South Florida.
Definition and Example of Chattel
"Chattel" is a catch-all term for movable personal property or possessions, such as electronics, clothing, livestock, or cars. Owners may use chattel as collateral and borrow against it with a chattel mortgage. 1
How Chattel Works
The term “chattel” originates from the Old French word “chatel,” meaning property, goods, or cattle, which stems from the Latin word “capitale,” referring to property.
Chattel vs. Real Property
All property is either personal or real property. The main distinction is whether or not it can be moved.
What are some examples of chattel?
There are several examples of chattel real that can be shared. One example is an apartment building. This is real property that can be leased for a limited amount of time. Another example is an office building. Office buildings can be leased for a limited time as well.
What is chattel property?
Chattel is another word for personal property. This could be property such as furniture, livestock, or a tool. In the past, chattel included slaves, wives, and even children. For hundreds of years, women have been considered the property of their husbands. Parents of a bride would actually pay the groom when he married their daughter, ...
What is chattel real estate?
Chattel real is property like a building or a piece of land that's held for a limited amount of time. How can someone hold a building or land for a limited amount of time? This is done by having a lease on the property. In other words, someone can rent a piece of land or a building (i.e., have a lease on that property) for a limited amount of time. He doesn't have to worry about being stuck with a mortgage or the responsibilities of owning property. When property taxes come due, he doesn't have to worry about running to the county tax office to pay those taxes. Instead, he can enjoy the property and at the end of his lease, walk away.
Who is Tisha from Chattel?
Tisha is a licensed real estate agent in Texas. She holds bachelor's in legal studies and a master's degree in criminal justice. What is chattel? What is the difference between chattel and chattel real, or is there a difference at all? This lesson will define chattel real in real estate and provide examples.
Is chattel real or personal?
Chattel is personal property such as furniture or livestock. In the past, chattel has also been a wife, a child, or a slave. Today, that is not the case. Chattel real is property as well, but it's property such as land or a building that is rented for a set amount of time. While chattel is owned, chattel real is leased. A ranch hand herding cattle can be doing so on chattel real, which would depend on whether or not there's a lease involved.
What is electronic chattel paper?
Electronic Chattel Paper means chattel paper evidenced by a record or records consisting of information stored in an electronic medium.
Is pledged collateral evidenced by electronic chattel papers?
As of the date hereof, no amount under or in connection with any of the Pledged Collateral is evidenced by any Electronic Chattel Paper or any “transferable record” (as that term is defined in Section 201 of the Federal Electronic Signatures in Global and National Commerce Act, or in Section 16 of the Uniform Electronic Transactions Act as in effect in any relevant jurisdiction) other than such Electronic Chattel Paper and transferable records listed in Schedule 10 to the Perfection Certificate.
What is a chattel paper?
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 ...
What happens if a grantor's collateral is evidenced by a chattel paper?
If any amount payable under or in connection with any of such Grantor’s Collateral shall be or become evidenced by any Instrument or Chattel Paper, such Grantor shall (except as provided in the following sentence) be entitled to retain possession of all Collateral of such Grantor evidenced by any Instrument or Chattel Paper, and shall hold all such Collateral in trust for the Collateral Agent, for the benefit of the Secured Parties .
Does MLBFS collect chattel papers?
MLBFS may notify any Account Debtor that its Account or Chattel Paper has been assigned to MLBFS and direct such Account Debtor to make payment directly to MLBFS of all amounts due or becoming due with respect to such Account or Chattel Paper; and MLBFS may enforce payment and collect, by legal proceedings or otherwise, such Account or Chattel Paper.
Is Chattel Paper genuine?
As of the time when each Account or each item of Chattel Paper arises, such Grantor shall be deemed to have represented and warranted that such Account or Chattel Paper, as the case may be, and all records relating thereto, are genuine and in all respects what they purport to be.
Does a chattel paper contain a security interest?
No Collateral constituting Chat tel Paper or Instruments contains any statement therein to the effect that such Collateral has been assigned to an identified party other than the Administrative Agent, and the grant of a security interest in such Collateral in favor of the Administrative Agent hereunder does not violate the rights of any other Person as a secured party.
Does Grantor hold chattel papers?
As of the date hereof, no Grantor holds any Chattel Paper in the ordinary course of its business.