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From course:

Secured Transactions

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Question:

Exception to third party buyer rule authorization

Author: Parker Kirkpatrick



Answer:

 1) Authorized sale exception • Express authorization – says in the security agreement that you can sell Free of • Implied authorization – Sale of inventory to ordinary customer in course of business and also if the debtor has made multiple sales and the creditor has knowledge of these sales but has not done anything about it they have acquiesced to it and impliedly authorized it


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