Priority of security interests in transferred collateral
Va. Code Ann. § 8.9A-325
in effect(a) Subordination of security interest in transferred collateral. Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:
(1) the debtor acquired the collateral subject to the security interest created by the other person;
(2) the security interest created by the other person was perfected when the debtor acquired the collateral; and
(3) there is no period thereafter when the security interest is unperfected.
(b) Limitation of subsection (a) subordination. Subsection (a) subordinates a security interest only if the security interest:
(1) otherwise would have priority solely under § 8.9A-322 (a) or § 8.9A-324 ; or
(2) arose solely under § 8.2-711 (3) or § 8.2A-508 (5).
2000, c. 1007 .
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://law.lis.virginia.gov/vacode/8.9A-325/Fetched: 10/17/2026
