If I take a UCC-1 on "all crops" am I covered for "stored" as well as "growing"? Or, do I have to spell that out in my security agreement?

The term cops includes both harvested and unharvested. Once harvested, if they are stored at the farm by the farmer, no problem. But if they are being stored at the farm in a field warehouse or are in the hands of a warehouseman, then you should get an acknowledgement of the warehouse and you need to take possession of the warehouse receipt.

A better term than saying "all corps" would be "all farm products." That term includes crops and a lot more.

Does revised Article 9 say somewhere that harvested crops are covered by the term "crops" . I have not been able to nail that down.

I don't remember any part of RA9 that mentions the word "harvested".

R9 does not define crops or livestock. They leave such determination to the courts. But if they are not crops what are they? The only time crops would cease to be a farm product, while it is in possession of a farmer, is if the farmer manufactures the products of the crop or livestock. Harvesting is so closely related to what a farming operation does that I cannot see it as inventory. But, when in doubt, take both farm products and inventory.

If the collateral consists of tangible, movable goods, you only have four choices as to collateral: consumer goods, inventory, farm products and equipment. I think you can rightly assume that harvested crops are neither consumer goods nor equipment. That leaves you with either farm products or inventory.

See why I recommend using the term Farm Products as apposed to either Crops or Livestock?

For more information look at the official code comments to 9-102 and review comment 4. (a).

Yes, I see your point but what happens when the customer only wants to give you the crops and another lender the livestock?

I was going to ask the same question and customers don't always want to pledge both crops and livestock both.

Why would you want to make loans to a farmer that splits the relationship between two lenders? Just because that is what a farmer wants doesn't mean that is what you must do. You can always say no. Split relationships may lead to challenges from the other lender. When you secure a loan with all farm products, it makes it easier to service the financial needs of the farmer. That is a benefit to both the lender and the farmer. They just don't know it. It is the bank's job to teach them.

OK, if you want just crops or just livestock, let's review what these categories include.

Crops are plants, whether grown in water or earth. The term includes crops that are grown (past tense), growing or to be grown. They must be in the hands of the farmer debtor to be considered crops or farm products. What if the farmer takes the crops and grinds them up to make a meal for his livestock? They are no longer crops, but are supplies produced in a farming operation. Such supplies are still farm products but they are no longer crops. If the farmer sells the meal to other farmers, then the product of crops are now considered manufactured and are therefore inventory and not farm products. It becomes too easy for you to lose your collateral when you take only crops. But if that is the desire of both the farmer and the lender, then so be it.

Livestock includes any live animal, such as bovine, equine, shrimp, earthworms, insects like bees, fish, fowl, or any other member of the animal kingdom. It ceases to be livestock if it is dead stock. Step on the worm and it no longer is considered livestock. Livestock must be in the hands of the farmer debtor to be a farm product. Review American Bank & Trust and South Dakota Wheat Growers Association vs. Nathan Shaull and Deborah Shaull, et. al. You may be surprised at the South Dakota Supreme Court's finding. Again, if you desire to take livestock as collateral, OK. I'm just telling you of the risks you don't have to take.