Nevada § 104.9313 - When possession by or delivery to secured party perfects security interest without filing

§ 104.9313. When possession by or delivery to secured party perfects security interest without filing

1. Except as otherwise provided in subsection 2, a secured party may perfect a security

interest in goods, instruments, negotiable tangible documents or money by taking possession

of the collateral. A secured party may perfect a security interest in certificated securities by taking

delivery of the certificated securities under NRS 104.8301 . 2. With respect to goods covered by a certificate of title issued by this State, a

secured party may perfect a security interest in the goods by taking possession of

the goods only in the circumstances described in subsection 5 of NRS 104.9316 . 3. With respect to collateral other than certificated securities and goods covered

by a document, a secured party takes possession of collateral in the possession of

a person other than the debtor, the secured party or a lessee of the collateral from

the debtor in the ordinary course of the debtor's business, when: (a) The person in possession signs a record acknowledging that it holds possession

of the collateral for the secured party's benefit; or (b) The person takes possession of the collateral after having signed a record acknowledging

that it will hold possession of the collateral for the secured party's benefit. 4. If perfection of a security interest depends upon possession of the collateral

by a secured party, perfection occurs not earlier than the time the secured party

takes possession and continues only while the secured party retains possession. 5. A security interest in a certificated security in registered form is perfected

by delivery when delivery of the certificated security occurs under NRS 104.8301 and remains perfected by delivery until the debtor obtains possession of the security

certificate. 6. A person in possession of collateral is not required to acknowledge that it holds

possession for a secured party's benefit. 7. If a person acknowledges that it holds possession for the secured party's benefit: (a) The acknowledgment is effective under subsection 3 or subsection 1 of NRS 104.8301 , even if the acknowledgment violates the rights of a debtor; and (b) Unless the person otherwise agrees or law other than this Article otherwise provides,

the person does not owe any duty to the secured party and is not required to confirm

the acknowledgment to another person. 8. A secured party having possession of collateral does not relinquish possession

by delivering the collateral to a person other than the debtor or a lessee of the

collateral from the debtor in the ordinary course of the debtor's business if he or

she was instructed before the delivery or is instructed contemporaneously with the

delivery: (a) To hold possession of the collateral for the secured party's benefit; or (b) To redeliver the collateral to the secured party. 9. A secured party does not relinquish possession, even if a delivery under subsection

8 violates the rights of a debtor. A person to which collateral is delivered under subsection 8 does not owe any duty

to the secured party and is not required to confirm the delivery to another person

unless he or she otherwise agrees or law other than this Article otherwise provides.