A retailer of consumer goods who relies on attachment of a security interest to perfect its security interest prevails over other creditors of the debtor-buyer.

Question

Quizplus · Accepted Answer

When a retailer of consumer goods attaches a security interest to a debtor-buyer's property, it is considered a purchase money security interest (PMSI) and has priority over other creditors, unless another creditor holds a prior security interest or the retailer did not properly perfect its security interest. Therefore, a retailer who relies on attachment of a security interest to perfect its security interest prevails over other creditors of the debtor-buyer.

A Retailer of Consumer Goods Who Relies on Attachment of a Security