A purchaser of chattel paper or an instrument who gives new value and takes possession of it in the ordinary course of the purchaser's business has priority over a security interest in the chattel paper or instrument
a. which is perfected under section 554.9304 (permissive filing and temporary perfection) or under section 554.9306 (perfection as to proceeds) if the purchaser acts without knowledge that the specific paper or instrument is subject to a security interest; or
b. which is claimed merely as proceeds of inventory subject to a security interest (section 554.9306) even though the purchaser knows that the specific paper or instrument is subject to the security interest.
[C66, 71, 73, 75, 77, 79, 81, § 554.9308]
Referred to in § 15E.91, 16.26, 16A.9, 554.9306
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Last update: Thu Mar 18 15:00:31 CST 1999
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