Also known as: agriculture liens · agricultural lien · agricultural liens · ag lien · UCC agricultural lien
Written by attorneys · grounded in primary & secondary sources — see below
A nonpossessory interest in farm products that arises under a statute in favor of a person who furnishes goods or services to a farmer in connection with farming operations.
Arthur Abrams buys hogs from a farmer who owes unpaid feed bills to Alliance Holdings. Abrams pays value, takes delivery, and has no knowledge of the statutory lien. The lien remains unperfected at the time of the sale. Abrams therefore takes the hogs free of the agricultural lien.
Abigail Alvarez supplies feed to a hog operation on credit. A state statute creates an agricultural lien on the hogs and proceeds. Alvarez files a financing statement covering the collateral the day after the lien becomes effective under the statute. The lien is perfected upon filing because all Section 9-310 requirements are met.
Select any source to read its text and confirm it supports the definition.
Aisha Ahmed holds an agricultural lien on crops that is initially perfected by possession. She later files a financing statement covering the same crops. The lien remains continuously perfected because there is no gap between the two methods.
Alfred Ashford claims an agricultural lien on livestock under a state statute. He never files a financing statement. The lien is unperfected because a financing statement is required to perfect agricultural liens under the general rule.
Aaron Adams obtains a judgment lien on a farmer's equipment before an agricultural lien in the same equipment becomes effective. The agricultural lien is subordinate to Adams's rights as a lien creditor.
Alice Atkins sells crops subject to an agricultural lien without the lienholder's consent. The lien continues in the crops after the sale because the secured party did not authorize a disposition free of the lien.
Yes. Article 9 expressly covers agricultural liens in addition to consensual security interests. The statute supplies the rules for perfection, priority, and enforcement of these nonpossessory statutory interests in farm products.
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An agricultural lien is perfected when it becomes effective and a financing statement is filed that satisfies Section 9-310. Filing is required in most cases, and perfection can occur upon effectiveness if the filing precedes that moment.
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The lien continues in the collateral after an unauthorized sale. A buyer who gives value, takes delivery, and lacks knowledge of the unperfected lien can take free of it under the buyer-protection rule.
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