Which of the following is a false statement concerning priority under UCC Article 9?
A. A lien arising by operation of law subsequent to the perfection of any security interest will be subordinate to the earlier perfected security interest because of the first-in-time, first-in-priority rule.
B. A purchase money security interest in collateral other than inventory or livestock prevails over a prior perfected security interest if the purchase money security interest is perfected when the debtor takes possession or within 20 days afterward.
C. A secured party with a security interest in fixtures has priority over any earlier recorded real estate interest if the interest is a purchase money security interest perfected by fixture filing within 20 days after the goods become fixtures.
D. A perfected purchase money security interest in inventory has priority over an earlier filed security interest in the same collateral if (1) the interest is perfected when the debtor receives possession and (2) the secured party sends an authenticated notice to any prior secured party before the debtor receives the inventory.
FAR 05/27/14; 786/110 - Done !
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