With regard to a prior perfected security interest in goods for which a financing statement has been filed,which of the following parties is most likely to have a superior interest in the same collateral?
A)A buyer in the ordinary course of business who purchased the goods from a merchant
B)A subsequent buyer of consumer goods who purchased the goods from another customer
C)The trustee in bankruptcy of the debtor
D)Lien creditors of the debtor

Question

Quizplus · Accepted Answer

A buyer in the ordinary course of business (other than a person buying farm products from a person engaged in farming operations)takes free from a security interest created by his seller even though the security interest is perfected and even though the buyer knows of its existence [UCC 9-320(a)].

With Regard to a Prior Perfected Security Interest in Goods