Can you file a UCC-1 form in Ohio on a product that was delivered 30 to 60 days earlier?

According to Ohio's Business Services office, you may file a UCC-1 form at any time. You should also prepare a security agreement that defines the transaction's terms and creates a secured interest. (You can download a UCC-1 form here.)

Filing a financing statement or UCC-1 form is critical because it records the security agreement and makes it a public record. A financing statement stays in effect for five years and may be extended for an additional five years. It should be filed in the state where your debtor is located or, if you are dealing with a corporate entity, in the state where the company filed its articles of incorporation or corporate charter.

However, to become a secured creditor and “perfect,” or establish priority over all other secured creditors, you must locate and notify them within a predetermined time frame. If the product you delivered is considered inventory or goods that the debtor will resell, you must locate and notify all the other secured creditors before the product is delivered. If your product is classified as equipment, or machinery that the debtor will use in the course of their business, you should contact all other secured creditors within 20 days after the goods are delivered. If you miss the deadlines for notifying the other secured creditors, you can still contact them. But they will be ahead of you to collect if the debtor defaults.

For more information read Go to the Head of the Line, Steps to Take to Become a Secured Creditor and consult the State by State Guide to UCC Forms, Filings and Searches.

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