How do you perfect a lien on livestock in the state of Texas and where is it filed? Do you file an EFS or a UCC or both?

I believe a UCC but I'm not an Ag expert.

Who is it filed with? I am in western Oklahoma and have a customer who has cattle in Texas.

I haven't ever filed from OK to TX, but have some other cross state line exp. I would bet you will get the best answer right here before the day is over, but I would consider calling the TX department of livestock, and/or Oklahoma's. Some states have brand liens filed with DOL. I wouldn't be surprised if you end up filing a UCC with the SOS for the state of organization for your borrower, and EFS in Both state of organization and location (possibly at the county level for state of location), and possibly a brand lien in the state of location... I plan on checking back for accurate details. (try calling a neighboring banker if you are in a rush)

Thanks!

While I haven't filed from OK to TX, I have filed from TX to PA. Is your borrower an individual or an entity (partnership, corporation, etc)? Where is the borrower "located" (individual - where does he live, entity-what state are they registered or incorporated in)?
If your borrower is "located" in Texas, you will need to file a UCC-1 with the Texas Secretary of State, UCC Division. If your borrower is "located" in another state, you will need to file in that state in accordance with that state's rules. If the borrower is located in one state and the cattle are located in a different state, I usually file both places, just to be sure that someone doing a lien search would find my lien. When filing in Texas, be sure to use the borrower's correct full legal name.

Assuming the debtor is a farmer whose jurisdiction is Texas, you file a UCC on livestock with the secretary of state. The EFS that is available in some states is not in Texas. If you want to protect your priority from a buyer, then a direct notice must be given annually to all prospective buyers. The list of such prospective buyers is obtained from the farmer.

Note: This is not an agricultural lien. It is a security interest in farm products. Agricultural lien is for custom harvester, feed suppliers, etc. Lenders have security interests. They have the farmer sign (authenticate) a security agreement. With agricultural liens no security agreement is required only the provision of a product or service controlled by statute.

Also, the EFS (sometimes known as a CNS) that is filed in some states will not perfect the security interest. Only the UCC will do that. The EFS is for notice to buyers under the Food Security Act of 1985.

Thanks for the detail Tom, we tend to oversimplify. I should have actually used the phrase 'ensure your security position.' Because as you mentioned, UCC filings and security instruments PERFECT your security interest, while EFS filings and Brand Lien Filings PROTECT your interest by notifying the buyers and potential buyers so that the lienholder's name appears as an additional payee on the proceeds check. Also I beleive the Agrilculture Lien is state specific. I am familiar with two states 'Agriculture Liens' and one is actually called an ag-services lien, and the other an ajister's lien, both of which are similar to a mechanic's or construction lien, in that they trump a financial lienholder's interest regardless of filing priority.

I have written manual for all 50 states and an agricultural lien is the same in each (other than Louisiana). They are all statutory liens, however, priority may be set by statute or Article 9. Article 9 allows an agricultural lien holder to file financing statements.