Assuming a Purchase-Money Security Interest Is Not Involved, Which of the Following

question 99

Multiple Choice

Assuming a purchase-money security interest is not involved, which of the following is true regarding priority when there are two secured parties and neither has perfected?

• A) The party who attached its interest first will prevail.
• B) The party who attached its interest second will prevail.
• C) The parties will divide the proceeds evenly between them.
• D) The party who loaned the most money on the collateral has priority.
• E) The party who loaned the least amount on the collateral has priority.