GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

S	1 

SENATE BILL 129

Short Title:  Repeal UCC Article on Bulk Transfers.	(Public)

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Sponsors: Senator Hartsell.

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Referred to:  Judiciary I.

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February 18, 1999

A BILL TO BE ENTITLED
AN ACT TO REPEAL ARTICLE 6 OF THE UNIFORM COMMERCIAL CODE RELATING TO BULK TRANSFERS AND TO ENACT CONFORMING AMENDMENTS TO THE UNIFORM COMMERCIAL CODE AND OTHER SECTIONS OF THE GENERAL STATUTES, AS RECOMMENDED BY THE GENERAL STATUTES COMMISSION.
The General Assembly of North Carolina enacts:
Section 1.  Article 6 of Chapter 25 of the General Statutes is repealed.
Section 2.  G.S. 25-9-111 is repealed.
Section 3.  G.S. 25-1-105(2) reads as rewritten:
"(2)	Where one of the following provisions of this Chapter specifies the applicable law, that provision governs and a contrary agreement is effective only to the extent permitted by the law (including the conflict of laws rules) so specified:
Rights of creditors against sold goods. (G.S. 25-2-402).
Applicability of the article on bank deposits and collections. (G.S. 25-4-102).
Applicability of the article on investment securities. (G.S. 25-8-110).
Perfection provisions of the article on secured transactions. (G.S. 25-9-103).
Governing law in the article on Funds Transfers. (G.S. 25-4A-507)."
Section 4.  G.S. 25-2-403(4) reads as rewritten:
"(4)	The rights of other purchasers of goods and of lien creditors are governed by the articles on secured transactions (article 9) and documents of title (article 7)."
Section 5.  G.S. 66-186 reads as rewritten:
"§ 66-186. Uniform commercial practice.
(a)	This Article does not affect a security interest of the supplier in the inventory of the dealer.
	."
Section 6.  G.S. 85B-2(a)(11) reads as rewritten:
"(11)	Sales of collateral, sales conducted to enforce carriers' or warehousemen's liens, sales of goods by a presenting bank following dishonor of a documentary draft, resales of rightfully rejected goods, resales of goods by an aggrieved seller, or other resales conducted pursuant to authority in Articles 2, 4, 7, and 9 of Chapter 25 of the General Statutes (the Uniform Commercial Code)."
Section 7.  This act becomes effective October 1, 1999.  Rights and obligations arising under Article 6 of Chapter 25 of the General Statutes and G.S. 25-9-111 before the effective date of this act remain valid and may be enforced as though those statutes had not been repealed.