Answer:
The proposed Revision to Article 9 provides that if a continuation statement was filed prior to the July 1,2001 effective date, the financing statement which was continued will be effective for an addition five year period if filing is the proper method of perfection for the collateral under the Revision. After July 1, 2001 you will need to file an "in lieu" initial financing statement in the new proper filing office if you desire to extend the term of a financing statement that was originally filed in a different filing office than is required by the Revision. The "in lieu" initial financing statement must identify the original filing office, the date of filing and the filing number in order for the document to be tied to the original filing. The new filing office will not receive the originals or copies of filings made prior to July 1, 2001 from the first filing office. You may file an "in lieu" initial financing statement in the new filing office at any time after July 1, 2001. You are not required to wait until the "six month window" period at the end of the fiveyear term. Note, however, the fiveyear term of an "in lieu" filing commences with the date of filing and not the end of the original term.
Caution The above answer is based on the Model Administrative Rules for Revised Article 9. The Revision requires each state to designate a central filing office that is also authorized to develop and adopt administrative rules that govern the implementation of the Revision. Check with the Revised Article 9 Central Filing Office in your state to determine if it has adopted any modifications to the Model Administrative Rules which may change the manner and timing of the filing of an "in lieu" financing statement.
First published on BankersOnline.com 5/07/01
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