To buy a delivery truck, Food-To-Go LLC borrows funds from Grow-Your-Business Inc. secured by the borrower's interest in the truck. The lender files a financing statement but not a continuation statement. Food-To-Go sells the truck to Haul-Away Corporation, a purchaser for value, and later defaults on the debt to Grow-Your-Business. Entitled to the truck is

Question

Quizplus · Accepted Answer

Haul-Away Corporation, as a purchaser for value, takes the truck free of the security interest if the financing statement was not continued and thus lapsed.

To Buy a Delivery Truck, Food-To-Go LLC Borrows Funds from Grow-Your-Business