Fiscal Credit Corporation asks Global Industries, Inc., to agree to a security agreement that provides for coverage of the proceeds from the sale of after-acquired property. This is

Question

Fiscal Credit Corporation asks Global Industries, Inc., to agree to a security agreement that provides for coverage of the proceeds from the sale of after-acquired property. This is​

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A security agreement that provides for coverage of the proceeds from the sale of after-acquired property is known as a floating lien. This type of security agreement allows the lender to secure future advances made to the borrower. It is commonly used in business financing and is generally enforceable under state laws as long as certain requirements are met.

Fiscal Credit Corporation Asks Global Industries, Inc