Illinois General Assembly - Illinois Compiled Statutes

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810 ILCS 5/9-204

(810 ILCS 5/9-204) (from Ch. 26, par. 9-204)

Sec. 9-204.

After-acquired property; future advances.

(a) After-acquired collateral.  Except as otherwise provided in subsection
(b), a security agreement may create or provide for a security interest in
after-acquired collateral.

(b) When after-acquired property clause not effective.  A security
interest does not attach under a term constituting an after-acquired property
clause
to:

(1) consumer goods, other than an accession when

given as additional security, unless the debtor acquires rights in them within 10 days after the secured party gives value; or

(2) a commercial tort claim.

(c) Future advances and other value.  A security agreement may provide
that collateral secures, or that accounts, chattel paper, payment intangibles,
or
promissory notes are sold in connection with, future advances or other value,
whether or not the advances or value are given pursuant to commitment.

(Source: P.A. 91-893, eff. 7-1-01.)