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Illinois Compiled Statutes

Information maintained by the Legislative Reference Bureau
Updating the database of the Illinois Compiled Statutes (ILCS) is an ongoing process. Recent laws may not yet be included in the ILCS database, but they are found on this site as Public Acts soon after they become law. For information concerning the relationship between statutes and Public Acts, refer to the Guide.

Because the statute database is maintained primarily for legislative drafting purposes, statutory changes are sometimes included in the statute database before they take effect. If the source note at the end of a Section of the statutes includes a Public Act that has not yet taken effect, the version of the law that is currently in effect may have already been removed from the database and you should refer to that Public Act to see the changes made to the current law.

COMMERCIAL CODE
(810 ILCS 5/) Uniform Commercial Code.

810 ILCS 5/Art. 9 Pt. 5 Sub. 1

 
    (810 ILCS 5/Art. 9 Pt. 5 Sub. 1 heading)
SUBPART 1. FILING OFFICE; CONTENTS AND
EFFECTIVENESS OF FINANCING STATEMENT

810 ILCS 5/9-501

    (810 ILCS 5/9-501) (from Ch. 26, par. 9-501)
    Sec. 9-501. Filing office.
    (a) Filing offices. Except as otherwise provided in subsection (b), if the local law of this State governs perfection of a security interest or agricultural lien, the office in which to file a financing statement to perfect the security interest or agricultural lien is:
        (1) the office designated for the filing or recording
    
of a record of a mortgage on the related real property, if:
            (A) the collateral is as-extracted collateral or
        
timber to be cut; or
            (B) the financing statement is filed as a fixture
        
filing and the collateral is goods that are or are to become fixtures; or
        (2) the office of the Secretary of State in all other
    
cases, including a case in which the collateral is goods that are or are to become fixtures and the financing statement is not filed as a fixture filing.
    (b) Filing office for transmitting utilities. The office in which to file a financing statement to perfect a security interest in collateral, including fixtures, of a transmitting utility is the office of the Secretary of State. The financing statement also constitutes a fixture filing as to the collateral indicated in the financing statement which is or is to become fixtures.
(Source: P.A. 91-357, eff. 7-29-99; 91-893, eff. 7-1-01.)

810 ILCS 5/9-501.1

    (810 ILCS 5/9-501.1)
    Sec. 9-501.1. Fraudulent records.
    (a) No person shall cause to be communicated to the filing office for filing a false record the person knows or reasonably should know:
        (1) is not authorized or permitted under Section
    
9-509, 9-708, or 9-808 of this Article;
        (2) is not related to a valid existing or potential
    
commercial or financial transaction, an existing agricultural or other lien, or a judgment of a court of competent jurisdiction; and
        (3) is filed with the intent to harass or defraud the
    
person identified as debtor in the record or any other person.
    (b) A person who violates subsection (a) is guilty of a Class A misdemeanor for a first offense and a Class 4 felony for a second or subsequent offense.
    (c) A person who violates subsection (a) shall be liable in a civil action to each injured person for:
        (1) the greater of the actual damages caused by the
    
violation or up to $10,000 in lieu of actual damages;
        (2) reasonable attorney's fees;
        (3) court costs and other related expenses of
    
bringing an action, including reasonable investigative expenses; and
        (4) in the discretion of the court, exemplary damages
    
in an amount determined by the court or jury.
    (d) A person identified as debtor in a filed record the person believes was caused to be communicated to the filing office in violation of subsection (a) may, under penalty of perjury, file with the Secretary of State an affidavit to that effect. The Secretary of State shall adopt and make available a form affidavit for use under this Section.
    (e) Upon receipt of an affidavit filed under this Section, or upon administrative action by the Secretary of State, the Secretary of State shall communicate to the secured party of record on the record to which the affidavit or administrative action relates and to the person that communicated the record to the filing office, if different and known to the office, a request for additional documentation supporting the effectiveness of the record. The Department of Business Services of the Office of the Secretary of State and the Office of the General Counsel shall review all such documentation received within 30 days after the first request for additional documentation is sent. The Secretary of State may terminate the record effective 30 days after the first request for additional documentation is sent if it has a reasonable basis for concluding that the record was communicated to the filing office in violation of subsection (a).
    The Secretary of State may initiate an administrative action under the first paragraph of this subsection (e) with regard to a filed record if it has reason to believe, from information contained in the record or obtained from the person that communicated the record to the filing office, that the record was communicated to the filing office in violation of subsection (a). The Secretary of State may give heightened scrutiny to a record that indicates that the debtor is a transmitting utility or that indicates that the transaction to which the record relates is a manufactured-home transaction or a public-finance transaction.
    (f) The Secretary of State shall not charge a fee to file an affidavit under this Section and shall not return any fee paid for filing a record terminated under this Section.
    (g) The Secretary of State shall promptly communicate to the secured party of record a notice of the termination of a record under subsection (e). A secured party of record that believes in good faith that the record was not communicated to the filing office in violation of subsection (a) may file an action to require that the record be reinstated by the filing office. A person that communicated a record to the filing office that the filing office rejected in reliance on Section 9-516(b)(3.5), who believes in good faith that the record was not communicated to the filing office in violation of Section 9-516(b)(3.5), may file an action to require that the record be accepted by the filing office.
    (h) If a court or tribunal in an action under this Section determines that a record terminated under this Section or rejected in reliance on Section 9-516(b)(3.5) should be reinstated or accepted, the court or tribunal shall provide a copy of its order to that effect to the Secretary of State. On receipt of an order reinstating a terminated record, the Secretary of State shall refile the record along with a notice indicating that the record was refiled pursuant to this Section and its initial filing date. On receipt of an order requiring that a rejected record be accepted, the Secretary of State shall promptly file the record along with a notice indicating that the record was filed pursuant to this Section and the date on which it was communicated for filing. A rejected record that is filed pursuant to an order of a court or tribunal shall have the effect described in Section 9-516(d) for a record the filing office refuses to accept for a reason other than one set forth in Section 9-516(b).
    (i) A terminated record that is refiled under subsection (h) is effective as a filed record from the initial filing date. If the period of effectiveness of a refiled record would have lapsed during the period of termination, the secured party may file a continuation statement within 30 days after the record is refiled and the continuation statement shall have the same effect as if it had been filed during the 6-month period described in Section 9-515(d). A refiled record shall be considered never to have been ineffective against all persons and for all purposes except that it shall not be effective as against a purchaser of the collateral that gave value in reasonable reliance on the absence of the record from the files.
    (j) Neither the filing office nor any of its employees shall incur liability for the termination or failure to terminate a record under this Section or for the refusal to accept a record for filing in the lawful performance of the duties of the office or employee.
    (k) This Section does not apply to a record communicated to the filing office by a regulated financial institution or by a representative of a regulated financial institution except that the Secretary of State may request from the secured party of record on the record or from the person that communicated the record to the filing office, if different and known to the office, additional documentation supporting that the record was communicated to the filing office by a regulated financial institution or by a representative of a regulated financial institution. The term "regulated financial institution" means a financial institution subject to regulatory oversight or examination by a State or federal agency and includes banks, savings banks, savings associations, building and loan associations, credit unions, consumer finance companies, industrial banks, industrial loan companies, insurance companies, investment companies, investment funds, installment sellers, mortgage servicers, sales finance companies, and leasing companies.
    (l) If a record was communicated to the filing office for filing before the effective date of this Section and its communication would have constituted a violation of subsection (a) if it had occurred on or after the effective date of the Section: (i) subsections (b) and (c) are not applicable; and (ii) the other subsections of this Section are applicable.
(Source: P.A. 97-836, eff. 7-20-12.)

810 ILCS 5/9-502

    (810 ILCS 5/9-502) (from Ch. 26, par. 9-502)
    Sec. 9-502. Contents of financing statement; record of mortgage as financing statement; time of filing financing statement.
    (a) Sufficiency of financing statement. Subject to subsection (b), a financing statement is sufficient only if it:
        (1) provides the name of the debtor;
        (2) provides the name of the secured party or a
    
representative of the secured party; and
        (3) indicates the collateral covered by the financing
    
statement.
    (b) Real-property-related financing statements. Except as otherwise provided in Section 9-501(b), to be sufficient, a financing statement that covers as-extracted collateral or timber to be cut, or which is filed as a fixture filing and covers goods that are or are to become fixtures, must satisfy subsection (a) and also:
        (1) indicate that it covers this type of collateral;
        (2) indicate that it is to be filed in the real
    
property records;
        (3) provide a description of the real property to
    
which the collateral is related sufficient to give constructive notice of a mortgage under the law of this State if the description were contained in a record of the mortgage of the real property; and
        (4) if the debtor does not have an interest of record
    
in the real property, provide the name of a record owner.
    (c) Record of mortgage as financing statement. A record of a mortgage is effective, from the date of recording, as a financing statement filed as a fixture filing or as a financing statement covering as-extracted collateral or timber to be cut only if:
        (1) the record indicates the goods or accounts that
    
it covers;
        (2) the goods are or are to become fixtures related
    
to the real property described in the record or the collateral is related to the real property described in the record and is as-extracted collateral or timber to be cut;
        (3) the record satisfies the requirements for a
    
financing statement in this Section, but:
            (A) the record need not indicate that it is to be
        
filed in the real property records; and
            (B) the record sufficiently provides the name of
        
a debtor who is an individual if it provides the individual name of the debtor or the surname and first personal name of the debtor, even if the debtor is an individual to whom Section 9-503(a)(4) applies; and
        (4) the record is recorded.
    (d) Filing before security agreement or attachment. A financing statement may be filed before a security agreement is made or a security interest otherwise attaches.
(Source: P.A. 97-1034, eff. 7-1-13.)

810 ILCS 5/9-503

    (810 ILCS 5/9-503) (from Ch. 26, par. 9-503)
    Sec. 9-503. Name of debtor and secured party.
    (a) Sufficiency of debtor's name. A financing statement sufficiently provides the name of the debtor:
        (1) except as otherwise provided in paragraph (3), if
    
the debtor is a registered organization or the collateral is held in a trust that is a registered organization, only if the financing statement provides the name that is stated to be the registered organization's name on the public organic record most recently filed with or issued or enacted by the registered organization's jurisdiction of organization which purports to state, amend, or restate the registered organization's name;
        (2) subject to subsection (f), if the collateral is
    
being administered by the personal representative of a decedent, only if the financing statement provides, as the name of the debtor, the name of the decedent and, in a separate part of the financing statement, indicates that the collateral is being administered by a personal representative;
        (3) if the collateral is held in a trust that is not
    
a registered organization, only if the financing statement:
            (A) provides, as the name of the debtor:
                (i) if the organic record of the trust
            
specifies a name for the trust, the name specified; or
                (ii) if the organic record of the trust does
            
not specify a name for the trust, the name of the settlor or testator; and
            (B) in a separate part of the financing
        
statement:
                (i) if the name is provided in accordance
            
with subparagraph (A)(i), indicates that the collateral is held in a trust; or
                (ii) if the name is provided in accordance
            
with subparagraph (A)(ii), provides additional information sufficient to distinguish the trust from other trusts having one or more of the same settlors or the same testator and indicates that the collateral is held in a trust, unless the additional information so indicates;
        (4) subject to subsection (g), if the debtor is an
    
individual to whom this State has issued a driver's license that has not expired, only if the financing statement provides the name of the individual which is indicated on the driver's license;
        (5) if the debtor is an individual to whom paragraph
    
(4) does not apply, only if the financing statement provides the individual name of the debtor or the surname and first personal name of the debtor; and
        (6) in other cases:
            (A) if the debtor has a name, only if the
        
financing statement provides the organizational name of the debtor; and
            (B) if the debtor does not have a name, only if
        
it provides the names of the partners, members, associates, or other persons comprising the debtor, in a manner that each name provided would be sufficient if the person named were the debtor.
    (b) Additional debtor-related information. A financing statement that provides the name of the debtor in accordance with subsection (a) is not rendered ineffective by the absence of:
        (1) a trade name or other name of the debtor; or
        (2) unless required under subsection (a)(6)(B), names
    
of partners, members, associates, or other persons comprising the debtor.
    (c) Debtor's trade name insufficient. A financing statement that provides only the debtor's trade name does not sufficiently provide the name of the debtor.
    (d) Representative capacity. Failure to indicate the representative capacity of a secured party or representative of a secured party does not affect the sufficiency of a financing statement.
    (e) Multiple debtors and secured parties. A financing statement may provide the name of more than one debtor and the name of more than one secured party.
    (f) Name of decedent. The name of the decedent indicated on the order appointing the personal representative of the decedent issued by the court having jurisdiction over the collateral is sufficient as the "name of the decedent" under subsection (a)(2).
    (g) Multiple driver's licenses. If this State has issued to an individual more than one driver's license of a kind described in subsection (a)(4), the one that was issued most recently is the one to which subsection (a)(4) refers.
    (h) Definition. In this Section, the "name of the settlor or testator" means:
        (1) if the settlor is a registered organization, the
    
name that is stated to be the settlor's name on the public organic record most recently filed with or issued or enacted by the settlor's jurisdiction of organization which purports to state, amend, or restate the settlor's name; or
        (2) in other cases, the name of the settlor or
    
testator indicated in the trust's organic record.
(Source: P.A. 97-1034, eff. 7-1-13.)

810 ILCS 5/9-504

    (810 ILCS 5/9-504) (from Ch. 26, par. 9-504)
    Sec. 9-504. Indication of collateral. A financing statement sufficiently indicates the collateral that it covers if the financing statement provides:
        (1) a description of the collateral pursuant to
    
Section 9-108; or
        (2) an indication that the financing statement covers
    
all assets or all personal property.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-505

    (810 ILCS 5/9-505) (from Ch. 26, par. 9-505)
    Sec. 9-505. Filing and compliance with other statutes and treaties for consignments, leases, other bailments, and other transactions.
    (a) Use of terms other than "debtor" and "secured party." A consignor, lessor, or other bailor of goods, a licensor, or a buyer of a payment intangible or promissory note may file a financing statement, or may comply with a statute or treaty described in Section 9-311(a), using the terms "consignor", "consignee", "lessor", "lessee", "bailor", "bailee", "licensor", "licensee", "owner", "registered owner", "buyer", "seller", or words of similar import, instead of the terms "secured party" and "debtor".
    (b) Effect of financing statement under subsection (a). This part applies to the filing of a financing statement under subsection (a) and, as appropriate, to compliance that is equivalent to filing a financing statement under Section 9-311(b), but the filing or compliance is not of itself a factor in determining whether the collateral secures an obligation. If it is determined for another reason that the collateral secures an obligation, a security interest held by the consignor, lessor, bailor, licensor, owner, or buyer which attaches to the collateral is perfected by the filing or compliance.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-506

    (810 ILCS 5/9-506) (from Ch. 26, par. 9-506)
    Sec. 9-506. Effect of errors or omissions.
    (a) Minor errors and omissions. A financing statement substantially satisfying the requirements of this Part is effective, even if it has minor errors or omissions, unless the errors or omissions make the financing statement seriously misleading.
    (b) Financing statement seriously misleading. Except as otherwise provided in subsection (c), a financing statement that fails sufficiently to provide the name of the debtor in accordance with Section 9-503(a) is seriously misleading.
    (c) Financing statement not seriously misleading. If a search of the records of the filing office under the debtor's correct name, using the filing office's standard search logic, if any, would disclose a financing statement that fails sufficiently to provide the name of the debtor in accordance with Section 9-503(a), the name provided does not make the financing statement seriously misleading.
    (d) "Debtor's correct name." For purposes of Section 9-508(b), the "debtor's correct name" in subsection (c) means the correct name of the new debtor.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-507

    (810 ILCS 5/9-507) (from Ch. 26, par. 9-507)
    Sec. 9-507. Effect of certain events on effectiveness of financing statement.
    (a) Disposition. A filed financing statement remains effective with respect to collateral that is sold, exchanged, leased, licensed, or otherwise disposed of and in which a security interest or agricultural lien continues, even if the secured party knows of or consents to the disposition.
    (b) Information becoming seriously misleading. Except as otherwise provided in subsection (c) and Section 9-508, a financing statement is not rendered ineffective if, after the financing statement is filed, the information provided in the financing statement becomes seriously misleading under Section 9-506.
    (c) Change in debtor's name. If the name that a filed financing statement provides for a debtor becomes insufficient as the name of the debtor under Section 9-503(a) so that the financing statement becomes seriously misleading under Section 9-506:
        (1) the financing statement is effective to perfect a
    
security interest in collateral acquired by the debtor before, or within four months after, the filed financing statement becomes seriously misleading; and
        (2) the financing statement is not effective to
    
perfect a security interest in collateral acquired by the debtor more than four months after the filed financing statement becomes seriously misleading, unless an amendment to the financing statement which renders the financing statement not seriously misleading is filed within four months after the filed financing statement becomes seriously misleading.
(Source: P.A. 97-1034, eff. 7-1-13.)

810 ILCS 5/9-508

    (810 ILCS 5/9-508)
    Sec. 9-508. Effectiveness of financing statement if new debtor becomes bound by security agreement.
    (a) Financing statement naming original debtor. Except as otherwise provided in this Section, a filed financing statement naming an original debtor is effective to perfect a security interest in collateral in which a new debtor has or acquires rights to the extent that the financing statement would have been effective had the original debtor acquired rights in the collateral.
    (b) Financing statement becoming seriously misleading. If the difference between the name of the original debtor and that of the new debtor causes a filed financing statement that is effective under subsection (a) to be seriously misleading under Section 9-506:
        (1) the financing statement is effective to perfect a
    
security interest in collateral acquired by the new debtor before, and within four months after, the new debtor becomes bound under Section 9-203(d); and
        (2) the financing statement is not effective to
    
perfect a security interest in collateral acquired by the new debtor more than four months after the new debtor becomes bound under Section 9-203(d) unless an initial financing statement providing the name of the new debtor is filed before the expiration of that time.
    (c) When Section not applicable. This Section does not apply to collateral as to which a filed financing statement remains effective against the new debtor under Section 9-507(a).
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-509

    (810 ILCS 5/9-509)
    Sec. 9-509. Persons entitled to file a record.
    (a) Person entitled to file record. A person may file an initial financing statement, amendment that adds collateral covered by a financing statement, or amendment that adds a debtor to a financing statement only if:
        (1) the debtor authorizes the filing in an
    
authenticated record or pursuant to subsection (b) or (c); or
        (2) the person holds an agricultural lien that has
    
become effective at the time of filing and the financing statement covers only collateral in which the person holds an agricultural lien.
    (b) Security agreement as authorization. By authenticating or becoming bound as debtor by a security agreement, a debtor or new debtor authorizes the filing of an initial financing statement, and an amendment, covering:
        (1) the collateral described in the security
    
agreement; and
        (2) property that becomes collateral under Section
    
9-315(a)(2), whether or not the security agreement expressly covers proceeds.
    (c) Acquisition of collateral as authorization. By acquiring collateral in which a security interest or agricultural lien continues under Section 9-315(a)(1), a debtor authorizes the filing of an initial financing statement, and an amendment, covering the collateral and property that becomes collateral under Section 9-315(a)(2).
    (d) Person entitled to file certain amendments. A person may file an amendment other than an amendment that adds collateral covered by a financing statement or an amendment that adds a debtor to a financing statement only if:
        (1) the secured party of record authorizes the
    
filing; or
        (2) the amendment is a termination statement for a
    
financing statement as to which the secured party of record has failed to file or send a termination statement as required by Section 9-513(a) or (c), the debtor authorizes the filing, and the termination statement indicates that the debtor authorized it to be filed.
    (e) Multiple secured parties of record. If there is more than one secured party of record for a financing statement, each secured party of record may authorize the filing of an amendment under subsection (d).
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-510

    (810 ILCS 5/9-510)
    Sec. 9-510. Effectiveness of filed record.
    (a) Filed record effective if authorized. A filed record is effective only to the extent that it was filed by a person that may file it under Section 9-509.
    (b) Authorization by one secured party of record. A record authorized by one secured party of record does not affect the financing statement with respect to another secured party of record.
    (c) Continuation statement not timely filed. A continuation statement that is not filed within the six-month period prescribed by Section 9-515(d) is ineffective.
    (d) A filed record ceases to be effective if the filing office terminates the record pursuant to Section 9-501.1.
(Source: P.A. 97-836, eff. 7-20-12.)

810 ILCS 5/9-511

    (810 ILCS 5/9-511)
    Sec. 9-511. Secured party of record.
    (a) Secured party of record. A secured party of record with respect to a financing statement is a person whose name is provided as the name of the secured party or a representative of the secured party in an initial financing statement that has been filed. If an initial financing statement is filed under Section 9-514(a), the assignee named in the initial financing statement is the secured party of record with respect to the financing statement.
    (b) Amendment naming secured party of record. If an amendment of a financing statement which provides the name of a person as a secured party or a representative of a secured party is filed, the person named in the amendment is a secured party of record. If an amendment is filed under Section 9-514(b), the assignee named in the amendment is a secured party of record.
    (c) Amendment deleting secured party of record. A person remains a secured party of record until the filing of an amendment of the financing statement which deletes the person.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-512

    (810 ILCS 5/9-512)
    Sec. 9-512. Amendment of financing statement.
    (a) Amendment of information in financing statement. Subject to Section 9-509, a person may add or delete collateral covered by, continue or terminate the effectiveness of, or, subject to subsection (e), otherwise amend the information provided in, a financing statement by filing an amendment that:
        (1) identifies, by its file number, the initial
    
financing statement to which the amendment relates; and
        (2) if the amendment relates to an initial financing
    
statement filed or recorded in a filing office described in Section 9-501(a)(1), provides the date and time that the initial financing statement was filed and the information specified in Section 9-502(b).
    (b) Period of effectiveness not affected. Except as otherwise provided in Section 9-515, the filing of an amendment does not extend the period of effectiveness of the financing statement.
    (c) Effectiveness of amendment adding collateral. A financing statement that is amended by an amendment that adds collateral is effective as to the added collateral only from the date of the filing of the amendment.
    (d) Effectiveness of amendment adding debtor. A financing statement that is amended by an amendment that adds a debtor is effective as to the added debtor only from the date of the filing of the amendment.
    (e) Certain amendments ineffective. An amendment is ineffective to the extent it:
        (1) purports to delete all debtors and fails to
    
provide the name of a debtor to be covered by the financing statement; or
        (2) purports to delete all secured parties of record
    
and fails to provide the name of a new secured party of record.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-513

    (810 ILCS 5/9-513)
    Sec. 9-513. Termination statement.
    (a) Consumer goods. A secured party shall cause the secured party of record for a financing statement to file a termination statement for the financing statement if the financing statement covers consumer goods and:
        (1) there is no obligation secured by the collateral
    
covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value; or
        (2) the debtor did not authorize the filing of the
    
initial financing statement.
    (b) Time for compliance with subsection (a). To comply with subsection (a), a secured party shall cause the secured party of record to file the termination statement:
        (1) within one month after there is no obligation
    
secured by the collateral covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value; or
        (2) if earlier, within 20 days after the secured
    
party receives an authenticated demand from a debtor.
    (c) Other collateral. In cases not governed by subsection (a), within 20 days after a secured party receives an authenticated demand from a debtor, the secured party shall cause the secured party of record for a financing statement to send to the debtor a termination statement for the financing statement or file the termination statement in the filing office if:
        (1) except in the case of a financing statement
    
covering accounts or chattel paper that has been sold or goods that are the subject of a consignment, there is no obligation secured by the collateral covered by the financing statement and no commitment to make an advance, incur an obligation, or otherwise give value;
        (2) the financing statement covers accounts or
    
chattel paper that has been sold but as to which the account debtor or other person obligated has discharged its obligation;
        (3) the financing statement covers goods that were
    
the subject of a consignment to the debtor but are not in the debtor's possession; or
        (4) the debtor did not authorize the filing of the
    
initial financing statement.
    (d) Effect of filing termination statement. Except as otherwise provided in Section 9-510, upon the filing of a termination statement with the filing office, the financing statement to which the termination statement relates ceases to be effective. Except as otherwise provided in Section 9-510, for purposes of Sections 9-519(g), 9-522(a), and 9-523(c) the filing with the filing office of a termination statement relating to a financing statement that indicates that the debtor is a transmitting utility also causes the effectiveness of the financing statement to lapse.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-514

    (810 ILCS 5/9-514)
    Sec. 9-514. Assignment of powers of secured party of record.
    (a) Assignment reflected on initial financing statement. Except as otherwise provided in subsection (c), an initial financing statement may reflect an assignment of all of the secured party's power to authorize an amendment to the financing statement by providing the name and mailing address of the assignee as the name and address of the secured party.
    (b) Assignment of filed financing statement. Except as otherwise provided in subsection (c), a secured party of record may assign of record all or part of its power to authorize an amendment to a financing statement by filing in the filing office an amendment of the financing statement which:
        (1) identifies, by its file number, the initial
    
financing statement to which it relates;
        (2) provides the name of the assignor; and
        (3) provides the name and mailing address of the
    
assignee.
    (c) Assignment of record of mortgage. An assignment of record of a security interest in a fixture covered by a record of a mortgage which is effective as a financing statement filed as a fixture filing under Section 9-502(c) may be made only by an assignment of record of the mortgage in the manner provided by law of this State other than the Uniform Commercial Code.
(Source: P.A. 91-893, eff. 7-1-01.)

810 ILCS 5/9-515

    (810 ILCS 5/9-515)
    Sec. 9-515. Duration and effectiveness of financing statement; effect of lapsed financing statement.
    (a) Five-year effectiveness. Except as otherwise provided in subsections (b), (e), (f), and (g), a filed financing statement is effective for a period of five years after the date of filing.
    (b) Public-finance or manufactured-home transaction. Except as otherwise provided in subsections (e), (f), and (g), an initial financing statement filed in connection with a public-finance transaction or manufactured-home transaction is effective for a period of 30 years after the date of filing if it indicates that it is filed in connection with a public-finance transaction or manufactured-home transaction.
    (c) Lapse and continuation of financing statement. The effectiveness of a filed financing statement lapses on the expiration of the period of its effectiveness unless before the lapse a continuation statement is filed pursuant to subsection (d). Upon lapse, a financing statement ceases to be effective and any security interest or agricultural lien that was perfected by the financing statement becomes unperfected, unless the security interest is perfected otherwise. If the security interest or agricultural lien becomes unperfected upon lapse, it is deemed never to have been perfected as against a purchaser of the collateral for value.
    (d) When continuation statement may be filed. A continuation statement may be filed only within six months before the expiration of the five-year period specified in subsection (a) or the 30-year period specified in subsection (b), whichever is applicable.
    (e) Effect of filing continuation statement. Except as otherwise provided in Section 9-510, upon timely filing of a continuation statement, the effectiveness of the initial financing statement continues for a period of five years commencing on the day on which the financing statement would have become ineffective in the absence of the filing. Upon the expiration of the five-year period, the financing statement lapses in the same manner as provided in subsection (c), unless, before the lapse, another continuation statement is filed pursuant to subsection (d). Succeeding continuation statements may be filed in the same manner to continue the effectiveness of the initial financing statement.
    (f) Transmitting utility financing statement. If a debtor is a transmitting utility and a filed initial financing statement so indicates, the financing statement is effective until a termination statement is filed.
    (g) Record of mortgage as financing statement. A record of a mortgage that is effective as a financing statement filed as a fixture filing under Section 9-502(c) remains effective as a financing statement filed as a fixture filing until the mortgage is released or satisfied of record or its effectiveness otherwise terminates as to the real property.
(Source: P.A. 97-1034, eff. 7-1-13.)

810 ILCS 5/9-516

    (810 ILCS 5/9-516)
    Sec. 9-516. What constitutes filing; effectiveness of filing.
    (a) What constitutes filing. Except as otherwise provided in subsection (b), communication of a record to a filing office and tender of the filing fee or acceptance of the record by the filing office constitutes filing.
    (b) Refusal to accept record; filing does not occur. Filing does not occur with respect to a record that a filing office refuses to accept because:
        (1) the record is not communicated by a method or
    
medium of communication authorized by the filing office;
        (2) an amount equal to or greater than the applicable
    
filing fee is not tendered;
        (3) the filing office is unable to index the record
    
because:
            (A) in the case of an initial financing
        
statement, the record does not provide a name for the debtor;
            (B) in the case of an amendment or information
        
statement, the record:
                (i) does not identify the initial financing
            
statement as required by Section 9-512 or 9-518, as applicable;
                (ii) identifies an initial financing
            
statement whose effectiveness has lapsed under Section 9-515; or
                (iii) identifies an initial financing
            
statement which was terminated pursuant to Section 9-501.1;
            (C) in the case of an initial financing statement
        
that provides the name of a debtor identified as an individual or an amendment that provides a name of a debtor identified as an individual which was not previously provided in the financing statement to which the record relates, the record does not identify the debtor's surname;
            (D) in the case of a record filed or recorded in
        
the filing office described in Section 9-501(a)(1), the record does not provide a sufficient description of the real property to which it relates; or
            (E) in the case of a record submitted to the
        
filing office described in Section 9-501(a)(1), the filing office has reason to believe, from information contained in the record or from the person that communicated the record to the office, that: (i) if the record indicates that the debtor is a transmitting utility, the debtor does not meet the definition of a transmitting utility as described in Section 9-102(a)(81); (ii) if the record indicates that the transaction relating to the record is a manufactured-home transaction, the transaction does not meet the definition of a manufactured-home transaction as described in Section 9-102(a)(54); or (iii) if the record indicates that the transaction relating to the record is a public-finance transaction, the transaction does not meet the definition of a public-finance transaction as described in Section 9-102(a)(67);
        (3.5) in the case of an initial financing statement
    
or an amendment, if the filing office believes in good faith that the record was communicated to the filing office in violation of Section 9-501.1(a);
        (4) in the case of an initial financing statement or
    
an amendment that adds a secured party of record, the record does not provide a name and mailing address for the secured party of record;
        (5) in the case of an initial financing statement or
    
an amendment that provides a name of a debtor which was not previously provided in the financing statement to which the amendment relates, the record does not:
            (A) provide a mailing address for the debtor; or
            (B) indicate whether the name provided as the
        
name of the debtor is the name of an individual or an organization;
        (6) in the case of an assignment reflected in an
    
initial financing statement under Section 9-514(a) or an amendment filed under Section 9-514(b), the record does not provide a name and mailing address for the assignee; or
        (7) in the case of a continuation statement, the
    
record is not filed within the six-month period prescribed by Section 9-515(d).
    (c) Rules applicable to subsection (b). For purposes of subsection (b):
        (1) a record does not provide information if the
    
filing office is unable to read or decipher the information; and
        (2) a record that does not indicate that it is an
    
amendment or identify an initial financing statement to which it relates, as required by Section 9-512, 9-514, or 9-518, is an initial financing statement.
    (d) Refusal to accept record; record effective as filed record. A record that is communicated to the filing office with tender of the filing fee, but which the filing office refuses to accept for a reason other than one set forth in subsection (b), is effective as a filed record except as against a purchaser of the collateral which gives value in reasonable reliance upon the absence of the record from the files.
    (e) The Secretary of State may refuse to accept a record for filing under subdivision (b)(3)(E) or (b)(3.5) only if the refusal is approved by the Department of Business Services of the Secretary of State and the General Counsel to the Secretary of State.
(Source: P.A. 97-836, eff. 7-20-12; 97-1034, eff. 7-1-13; 98-463, eff. 8-16-13.)

810 ILCS 5/9-517

    (810 ILCS 5/9-517)
    Sec. 9-517. Effect of indexing errors. The failure of the filing office to index a record correctly does not affect the effectiveness of the filed record.
(Source: P.A. 91-893, eff. 7-1-01.)