Michigan § 440.9508 - Effectiveness of financing statement if new debtor becomes bound by security agreement.
Full text of Michigan Michigan Compiled Laws § 440.9508 — Effectiveness of financing statement if new debtor becomes bound by security agreement., with citation guidance and answers to common questions.
§ 440.9508. Effectiveness of financing statement if new debtor becomes bound by security agreement.
Except as otherwise provided in this section, a filed financing statement naming an original debtor is effective to perfect a security interest in collateral in which a new debtor has or acquires rights to the extent that the financing statement would have been effective had the original debtor acquired rights in the collateral.
If the difference between the name of the original debtor and that of the new debtor causes a filed financing statement that is effective under subsection (1) to be seriously misleading under section 9506, both of the following apply:
The financing statement is effective to perfect a security interest in collateral acquired by the new debtor before, and within 4 months after, the new debtor becomes bound under section 9203(4).
The financing statement is not effective to perfect a security interest in collateral acquired by the new debtor more than 4 months after the new debtor becomes bound under section 9203(4) unless an initial financing statement providing the name of the new debtor is filed before the expiration of that time.
This section does not apply to collateral as to which a filed financing statement remains effective against the new debtor under section 9507(1).
Source: official Michigan text · Last verified 2026-08-27
Frequently Asked Questions About Michigan § 440.9508
What does Michigan Compiled Laws § 440.9508 cover?
Section 440.9508 ("Effectiveness of financing statement if new debtor becomes bound by security agreement.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Michigan § 440.9508?
A common citation format is "Michigan Compiled Laws § 440.9508" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Michigan law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.
How does Michigan § 440.9508 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.