Lien Types, Searches, and Releases

Summary

This practice note discusses the scope and importance of conducting lien searches for financing statements filed pursuant to Article 9 of the Uniform Commercial Code (UCC), along with a description of the three types of liens (consensual liens, statutory liens, and judgment liens); the various steps required for perfection of such liens; and the specific types of lien searches that may be ordered to discover the existence of such liens. It also addresses lien releases and the importance of doing so in connection with a financing transaction.