Utah § 6-2-113 - Rights of transferees.

Full text of Utah Utah Code § 6-2-113 — Rights of transferees., with citation guidance and answers to common questions.

§ 6-2-113. Rights of transferees.

Effective 5/6/2026
6-2-113. Rights of transferees.

(1)

An assignee's disposition of an asset:

(a)	transfers to a transferee for value all of the assignee's rights in the asset;

(b)	discharges the assignee's lien and, to the extent the assignment creates a security interest in favor of the assignee, the assignee's security interest; and

(c)	discharges any subordinate security interest or other lien subordinate to the assignee's lien.

(2)	A transferee that acts in good faith takes free of the rights and interests described in Subsection (1), even if the assignee fails to comply with this chapter or the requirements of a judicial proceeding.

(3)

If a transferee does not take free of the rights and interests described in Subsection (1), the transferee takes the asset subject to:

(a)	the assignee's rights in the assets of the assignment estate;

(b)	the assignee's lien and, if applicable, security interest; and

(c)	any other security interest or other lien.

(4)	Unless otherwise provided in a record, any warranty arising by operation of other law is disclaimed to the extent permitted by other law.

(5)

(a)

If a subordinate security interest or other lien is discharged under this section, the assignee may file a record with the official or office responsible for maintaining an official filing, recording, registration, or certificate-of-title system covering the asset secured by the security interest or other lien.

(b)	The record must state that the security interest or other lien is discharged as a subordinate security interest or other lien in connection with a disposition under an assignment for the benefit of creditors of the assignor whose asset is subject to the security interest or other lien.

Enacted by Chapter 314, 2026 General Session

Source: official Utah text · Last verified 2026-08-27

Frequently Asked Questions About Utah § 6-2-113

What does Utah Code § 6-2-113 cover?

Section 6-2-113 ("Rights of transferees.") is part of the Utah Code, the codified statutory law of Utah. 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 Utah § 6-2-113?

A common citation format is "Utah Code § 6-2-113" (Utah). 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 Utah law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Utah official source linked on this page or consult a licensed Utah attorney.

How does Utah § 6-2-113 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Utah can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Official text of § 6-2-113 at the Utah source

Not legal advice. Verify against the official source and consult a licensed attorney in Utah.