Quote:
Originally Posted by Peter_Spaeth
I don't see any risk other than there can always be wrong decisions and there can always be a hassle when one is dealing with bankruptcy courts. If the law is applied correctly, your stored cards should not become assets of the debtor's estate subject to creditor claims, even without a UCC-1.
|
I learned the hard way as a creditor who didn't file one, that a properly filed UCC-1 takes senior position over debt not protected by one. The Vault assets may not be viewed as company assets but you never know what the BK Trustee is going to do when things go South, your cards could be tied up for years. If you have a substantial dollar amount in the vault it would be prudent to file a UCC-1.
Like my Dentist says, "you don't have to floss all your teeth, just the ones you want to keep".