Idaho State Statutes - Idaho Attorney Directory

PRIORITIES AMONG CONFLICTING SECURITY INTERESTS IN AND
AGRICULTURAL LIENS ON SAME COLLATERAL. (a) Except as otherwise provided in
this section, priority among conflicting security interests and agricultural
liens in the same collateral is determined according to the following rules:
(1) Conflicting perfected security interests and agricultural liens rank
according to priority in time of filing or perfection. Priority dates from
the earlier of the time a filing covering the collateral is first made or
the security interest or agricultural lien is first perfected, if there is
no period thereafter when there is neither filing nor perfection.
(2) A perfected security interest or agricultural lien has priority over
a conflicting unperfected security interest or agricultural lien.
(3) The first security interest or agricultural lien to attach or become
effective has priority if conflicting security interests and agricultural
liens are unperfected.
(b) For the purposes of subsection (a)(1) of this section:
(1) The time of filing or perfection as to a security interest in
collateral is also the time of filing or perfection as to a security
interest in proceeds; and
(2) The time of filing or perfection as to a security interest in
collateral supported by a supporting obligation is also the time of filing
or perfection as to a security interest in the supporting obligation.
(c) Except as otherwise provided in subsection (f) of this section, a
security interest in collateral which qualifies for priority over a
conflicting security interest under section 28-9-327, 28-9-328, 28-9-329,
28-9-330 or 28-9-331 also has priority over a conflicting security interest
in:
(1) Any supporting obligation for the collateral; and
(2) Proceeds of the collateral if:
(A) the security interest in proceeds is perfected;
(B) the proceeds are cash proceeds or of the same type as the
collateral; and
(C) in the case of proceeds that are proceeds of proceeds, all
intervening proceeds are cash proceeds, proceeds of the same type as
the collateral, or an account relating to the collateral.
(d) Subject to subsection (e) of this section and except as otherwise
provided in subsection (f) of this section, if a security interest in chattel
paper, deposit accounts, negotiable documents, instruments, investment
property, or letter of credit rights is perfected by a method other than
filing, conflicting perfected security interests in proceeds of the collateral
rank according to priority in time of filing.
(e) Subsection (d) of this section applies only if the proceeds of the
collateral are not cash proceeds, chattel paper, negotiable documents,
instruments, investment property or letter of credit rights.
(f) Subsections (a) through (e) of this section are subject to:
(1) Subsection (g) of this section and the other provisions of this part;
(2) Section 28-4-210 with respect to a security interest of a collecting
bank;
(3) Section 28-5-120 with respect to a security interest of an issuer or
nominated person; and
(4) Section 28-9-110 with respect to a security interest arising under
chapter 2 or 12.
(g) A perfected agricultural lien on collateral has priority over a
conflicting security interest in or agricultural lien on the same collateral
if the statute creating the agricultural lien so provides.

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