Deposit and Security Account Control Agreements Under the UCC
Perfecting Security Interests in Special Collateral Types
Recording of a 90-minute premium CLE webinar with Q&A
This CLE course will provide banking counsel with an analysis of the requirements and methods for creating and perfecting security interests in bank accounts, securities accounts and other investment property. The panel will offer best practices for drafting and negotiating control agreements and avoiding common pitfalls.
Outline
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Deposit accounts, securities accounts and other investment property as collateral
- Creation of security interest
- Available perfection methods
- Priority and “free of claims”
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Perfecting security interests in deposit accounts
- Importance of control
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Key provisions of control agreement
- Secured party’s concerns
- Depositary bank’s concerns
- Debtor’s concerns
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Perfecting security interests in securities accounts and other investment property
- Methods of perfection: filing v. control
- Importance of control
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Key provisions of control agreement
- Secured party’s concerns
- Securities intermediary’s concerns
- Debtor’s concerns
- Common drafting pitfalls
Benefits
The panel will review these and other key questions:
- How does a secured creditor obtain control over a debtor's securities account and deposit account — and why is control critical?
- What circumstances make perfection by control preferable to perfection by filing for security interests in securities accounts?
- What common drafting pitfalls should be avoided in drafting the control agreement?
Following the speaker presentations, you'll have an opportunity to get answers to your specific questions during the interactive Q&A.
Faculty

R. Marshall Grodner
Partner
McGlinchey Stafford
He has an extensive practice representing lenders in large commercial transactions. He is the co-chair of the Joint... | Read More
He has an extensive practice representing lenders in large commercial transactions. He is the co-chair of the Joint Task Force for Deposit Account Control Agreements of the ABA. Marshall also is past chairman of the Loan Documentation Subcommittee of the Commercial Finance Committee of the ABA. He also is a Fellow and Regent in the American College of Commercial Finance Lawyers.
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Sandra Stern
Partner
Nordquist & Stern
She has been in private practice since 1994, concentrating in commercial finance, including secured transactions and... | Read More
She has been in private practice since 1994, concentrating in commercial finance, including secured transactions and letters of credit, loan participations, and electronic commerce issues. She counsels commercial banks and nonbank lenders as well as corporate borrowers. She is a frequent lecturer and author, and is a member of the Uniform Commercial Code Committee.
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