Why Is It Important for a Creditor to Perfect a Secured

question 89

Multiple Choice

Why is it important for a creditor to perfect a secured interest if there is the potential that a lien will subsequently be placed on the same property?

• A)Because otherwise the creditor will not be able to make a claim if the lien holder makes a claim.
• B)Because a lien creditor will have priority over an unsecured interest.
• C)Because the lien creditor will completely take over the secured interest.
• D)Because the secured interest will be lost if a lien is placed on the property.
• E)Because otherwise the creditor has to split the proceeds of property with the lien holder.

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Definitions:

Nonverbal Messages

Communication expressed through body language, facial expressions, gestures, posture, and tone of voice rather than spoken words.

Leakage Cues

Subconscious signs of hidden emotions or intentions that may leak out through nonverbal behavior.

Chronemics

The study of how people use and structure time.

Proximity

The physical or relational closeness between people or objects.