DEPARTMENT OF STATE

OFFICE OF BUSINESS AND INTERNAL SERVICES

UNIFORM COMMERCIAL CODE FILING OFFICE

(By authority conferred on the department of state by section 9526 of the uniform

commercial code, 1962 PA 174, MCL 440.9526)

PART 1. GENERAL PROVISIONS

R 440.101 Duties and responsibilities of filing officer.

Rule 101. The duties and responsibilities of the filing officer with respect to the

administration of the UCC are ministerial. In accepting for filing or refusing to file a

financing statement pursuant to these

following:

rules, the filing officer does none of the

(a) Determine the legal sufficiency or insufficiency of a record.

(b) Determine that a security interest in collateral exists or does not exist.

(c) Determine that information in the record is correct or incorrect, in whole or

in part.

(d) Create a presumption that information in the record is correct or incorrect,

in whole or in part.

History: 2002 AACS.

R 440.102 Definitions.

Rule 102. (1) As used in these rules:

(a) “Amendment” as described in section 9512 of the UCC, MCL 440.9512,

includes assignments, continuations, and terminations.

(b) “Assignment” means an amendment that purports to reflect an assignment of all

or a part of a secured party's power to authorize an amendment to a financing

statement.

(c) “File number” means the unique identification number assigned to an initial

financing statement by the filing officer t o i d e n t i f y the initial financing statement

and permanently associate the initial financing statement with all financing statements

related to it in the UCC information management system. The filing number bears no

relation to the time of filing and is not an indicator of priority.

(d) “Filing office” and “filing officer” mean the UCC section of the office of

secretary of state or its successor.

(e) “Individual” means a human being, or a decedent in the case of a debtor that

is the decedent’s estate.

(f) “Information statement” means a record that indicates, under section 9518 of the

UCC, MCL 440.9518, that a financing statement is inaccurate or wrongfully filed.

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(g) “Initial financing statement” means a financing statement containing the

information required by section 9502 of the UCC, MCL 440.9502, which, when filed,

creates the initial record in the UCC information management system.

(h) “Remitter” means a person that tenders a financing statement to the filing

officer for filing, whether the person is a filer or an agent of a filer responsible for

tendering the record for filing. Remitter does not include a person responsible merely

for the delivery of the financing statement to the filing office, such as the postal

service or a courier service, but does include a service provider who acts as a

filer’s representative in the filing process.

(i) “UCC” means the uniform commercial code, 1962 PA 174, MCL 440.1101 to

440.9994.

(j) “UCC information management system” means the information management

system used by the filing officer to store, index, and retrieve information relating to

financing statements.

(k) “Unique identification number" or "identification number" means a number

that includes the year of filing expressed as the first 4 digits of a unique number assigned

to the financing statement by the filing office and a 1-digit verification number, referred

to as a check digit, assigned by the filing office, but mathematically derived from other

numbers in the unique number.

(2) A word or term defined in the UCC has the same meaning when used in these

rules.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.103 Financing statement delivery.

Rule 103. Financing statements may be tendered for filing at the office as follows:

(a) By courier delivery at the filing office’s street address.

(b) By postal service delivery to the filing office’s mailing address.

(c) By electronic transmission to the filing office in a manner prescribed by the filing

officer using a standard approved by the international association of commercial

administrators and adopted by the filing office.

(d) By direct online or web page data entry transmission to the filing office in a

manner prescribed by the filing officer.

(e) By email delivery to the filing office's email address.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.104 Search request delivery.

Rule 104. UCC search requests may be delivered to the filing office by any of the

means by which financing statements may be delivered to the filing office.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.105 Rescinded.

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History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.106 Methods of payment.

Rule 106. Filing fees and fees for public records services may be paid by the

following methods:

(a) Cash.

(b) Checks. Personal checks, cashier’s checks, and money orders must be made

payable to the "State of Michigan".

(c) Billing account.

(d) The filing office shall accept payment via electronic funds transfer under

national automated clearing house association (NACHA) rules from remitters that have

entered into appropriate NACHA-approved arrangements for the transfers and t h a t

authorize the relevant transfer pursuant to such arrangements and rules.

(e) Debit and credit card. The filing office shall accept payment via Visa,

Mastercard, Discover, and American Express credit and debit cards.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.107 New practices and technologies.

Rule 107. The filing officer is authorized to adopt practices and procedures to

accomplish receipt, processing, maintenance, retrieval, and transmission of, and remote

access to, article 9 filing data by means of electronic, voice, optical, and other

technologies, and, without limiting the foregoing, to maintain and operate, in addition

to or in place of a paper-based system, a non-paper-based article 9 filing system

utilizing any available technology.

In developing and utilizing technologies and practices, the filing officer shall, to the

greatest extent feasible, take into account compatibility and consistency with, and

whenever possible uniformity with, technologies, practices, policies, and rules adopted

in connection with article 9 filing systems in other states.

History: 2002 AACS.

PART 2. ACCEPTANCE AND REFUSAL OF DOCUMENTS

R 440.201 Duty to file.

Rule 201. If there is no ground to refuse acceptance of the document under sections

9516(2) or 9520(5) of the UCC, MCL 440.9516 and 440.9520, then a financing statement

is filed on its receipt by the filing officer with the filing fee and the filing officer shall

promptly assign a file number to the financing statement and index it in the information

management system.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

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R 440.202 Rescinded.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.203 Grounds not warranting refusal.

R 203. (1) The only grounds for the filing officer's refusal to accept a financing

statement for filing are enumerated in sections 9516(2) and 9520(5) of the UCC, MCL

440.9516 and 440.9520.

(2) The following are examples of defects that do not constitute grounds for

refusal to accept a document:

(a) The financing statement contains or appears to contain a misspelling or other

apparently erroneous information.

(b) The financing statement appears to identify a debtor incorrectly.

(c) The financing statement appears to identify a secured party or a secured party of

record incorrectly.

(d) The financing statement contains additional or extraneous information of any

kind.

(e) The financing statement does not contain all the information required by

article 9 of the UCC, MCL 440.9101 to 440.9994, if the document contains the

information required in section 9516(2) of the UCC, MCL 440.9516.

(f) The financing statement incorrectly identifies collateral, contains an illegible or

unintelligible description of collateral, or does not appear to contain a description of

collateral.

(g) The document is accompanied by money in excess of the full filing fee.

(3) The examples enumerated in subrule (2) of this rule are not a comprehensive

enumeration of defects outside the scope of grounds for refusal to accept a financing

statement for filing.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.204 Procedure on refusal.

R 204. If the filing officer finds grounds under sections 9516(2) or 9520(5) of the

UCC, MCL 440.9516 and 440.9520, to refuse acceptance of a financing statement, the

filing officer shall return the document, if written, to the remitter and refund the filing

fee on request. The filing officer shall send a notice that contains the date and time the

document would have been filed had it been accepted for filing, unless the date and

time are stamped on the document, and a brief description of the reason for refusal to

accept the document under sections 9516(2) or 9520(5) of the UCC, MCL 440.9516 and

440.9520. The notice must be sent to a secured party or the remitter, as provided in R

440.402(3), not later than the second business day after the filing office receives the

document. The refund may be delivered with the notice or under separate cover.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

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R 440.205 Acknowledgment.

Rule 205. Upon the request of a filer or remitter who

files

a written

financing statement, the filing officer shall send to the filer or remitter an image of the

record of the financing statement showing the file number or identification number

assigned to it and the date and time of filing. For a financing statement not filed in

written form, the filing officer shall communicate to the filer or remitter the

information in the filed document, the file number or identification number, and the

date and time of filing.

History: 2002 AACS.

R 440.206 Responsibility for legal effectiveness.

Rule 206. The responsibility for the legal effectiveness of filing rests with filers

and remitters and the filing office bears no responsibility for legal effectiveness.

History: 2002 AACS.

R 440.207 Refusal errors.

Rule 207. If a secured party or a remitter demonstrates to the satisfaction of the

filing officer that a financing statement that was refused for filing should not have

been refused under sections 9516(2) or 9520(5) of the UCC, MCL 440.9516 and

440.9520, the filing officer shall file the financing statement as provided in these

rules, reflecting a filing date and time when filing should have occurred. The filing

officer shall also file a filing officer statement stating that the effective date and time of

filing is the date and time the financing statement was originally tendered for filing,

and set forth the date and time.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

PART 3. UCC INFORMATION MANAGEMENT SYSTEM

R 440.301 Primary data elements.

Rule 301. (1) The primary data elements used in the UCC information

management system are the following:

(a) Identification number, as follows:

(i) Each initial financing statement is identified by its file number as described in

R 440.102(1)(d).

(ii) A financing statement other than an initial financing statement is identified

by a unique identification number assigned by the filing officer.

(b) Type of financing statement.

(c) Filing date and time of financing statements.

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(d) The names and addresses of debtors and secured parties.

(e) Status of each financing statement as active or inactive.

(f) The total number of pages in a financing statement.

(g) A lapse indicator that identifies when a financing statement will lapse.

The lapse date of an initial financing statement is determined as provided in R

440.404 based upon its filing date.

(2) A record is created and maintained in the UCC information management system

for each initial financing statement.

(3) A record is created and maintained in the UCC information management

system for each financing statement other than an initial

financing statement and is linked to the record of its related initial

financing statement.

(4) The records created and maintained in the UCC information management

system for each initial financing statement and all financing statements relating to it

are permanently associated with one another.

History: 2002 AACS.

R 440.302 Names of individuals.

Rule 302. The following provisions apply to the name of an individual who, or

whose estate, is a debtor or a secured party on a financing statement:

(a) Separate data entry fields are established for first personal name, additional name

or names or initial or initials, and surnames of individuals. The filing officer assumes no

responsibility for the accurate designation of the names, but shall accurately enter the

data in accordance with the filer's designations, as required by R 440.407(2)(b).

(b) Titles and prefixes, such as “doctor,” “reverend,” “Mr.,” and “Ms.,” should not

be provided by filers in financing statements. However, as provided in R 440.407, if

a financing statement is submitted with designated name fields, the data must be entered

in the UCC information management system exactly as it appears.

(c) Titles and suffixes or indications of status, such as “M.D.” and “esquire,” are not

part of an individual's name and should not be provided by filers in financing statements.

However, as provided in R 440.407, i f a financing statement is submitted with

designated name fields, the data must be entered in the UCC information management

system exactly as it appears.

(d) Suffixes that indicate which individual is being named, such as "senior,"

"junior," "I," "II," and "III," are appropriate and must be entered exactly as it appears

into the UCC information management system in a field designated for name suffixes.

(e) Name fields for individuals in the UCC information management system are

fixed in length. Although filers shall continue to provide full names of individuals on

their financing statements, a name that exceeds the fixed length of a name field is

entered as presented to the filing officer, up to the maximum length of the field. The

maximum lengths of name fields are as follows:

(i) First personal name: 50 characters.

(ii) Additional name or names or initial or initials: 50 characters.

(iii) Surname: 50 characters.

(iv) Suffix: 2 characters.

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History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.303 Names of organizations.

Rule 303. Both of the following provisions apply to the name of an organization

that is a debtor or a secured party on a financing statement:

(a) A single field is used to store an organization name.

(b) The organization name field in the UCC information management system is

fixed in length. The maximum length is 255 characters. Although filers shall continue

to provide full names of organizations on their financing statements, a name that

exceeds the fixed length is entered as presented to the filing officer, up to the

maximum length of the field.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.304 Estates.

Rule 304. Although estates are not human beings, the names of

estates are

entered into the UCC information management system, as specified in R 440.302,

as if the decedents were the debtors.

History: 2002 AACS.

R 440.305 Trusts.

Rule 305. (1) If the trust is named in its organic documents, its full legal name, as

set forth in the documents, is entered in the UCC information management

system as an organization under R 440.303.

(2) If the trust is not named in its organic documents, then the name of the settlor

is used as the trust name and entered into the UCC information management

system in the following manner:

(a) If the settlor is indicated to be an organization, then the name is entered as an

organization name under R 440.303.

(b) If the settlor is indicated to be an individual, then the name is entered as an

individual name under R 440.302.

History: 2002 AACS.

R 440.306 Initial financing statement.

Rule 306. Upon the filing of an initial financing statement, the status of the parties

and the status of the financing statement shall be as follows:

(a) Each secured party named on an initial financing statement shall be a secured

party of record, except that if the initial financing statement names an assignee, then

the secured party/assignor shall not be a secured party of record and the secured

party/assignee shall be a secured party of record.

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(b) The status of a debtor named on the initial financing statement shall be active

and shall continue as active until 1 year after the financing statement lapses.

(c) The status of the financing statement shall be active. A lapse date shall be

calculated 5 years from the filing date, unless

indicates that it is filed with respect to a

the

initial financing statement

manufactured home transaction, in which case the lapse date shall be 30 years

from the filing date, or if the initial financing statement indicates that it is filed

against a transmitting utility, then there shall be no lapse date. A financing statement

remains active until 1 year after it lapses, or, if it is indicated to be filed against a

transmitting utility, until 1 year after it is terminated with respect to all secured parties

of record.

History: 2002 AACS.

R 440.307 Amendment.

Rule 307. Upon the filing of an amendment, the status of the parties and the status

of the financing statement shall be as follows:

(a) An amendment that amends only the collateral description or

1

or more

addresses has no effect upon the status of any debtor or secured party.If an amendment is

authorized by less than all of the secured parties or, in the case of an amendment that

adds collateral, less than all of the debtors, then the amendment affects only the

interests of each authorizing secured party or debtor.

(b) An amendment that changes a debtor's name has no effect on the status of any

debtor or secured party, except that the related initial financing statement and

all related financing statements permanently associated with one another shall be

cross-indexed in the UCC information management system so that a search under

either the debtor's old name or the debtor's new name will reveal all related financing

statements. An amendment that changes a debtor's name affects only the rights of

its authorizing secured party or parties.

(c) An amendment that changes the name of a secured party has no effect on the

status of any debtor or any secured party, but the new name is added to the UCC

information management system as if it were the name of a new secured party of

record.

(d) An amendment that adds a new debtor name has no effect upon the status of any

party to the financing statement, except the new debtor name shall be added to the

UCC information management system as a new debtor. The addition of a new debtor

name shall affect only the rights of the secured party or parties authorizing the

amendment.

(e) An amendment that adds a new secured party shall not affect the status of any

party to the financing statement, except that the new secured party name shall be added

to the UCC information management system as a new secured party.

(f) An amendment that deletes a debtor has no effect on the status of any party to

the financing statement, even if the amendment purports to delete all debtors.

(g) An amendment that deletes a secured party of record has no effect on the status

of any party to the financing statement, even if the amendment purports to delete

all secured parties of record.

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(h) An amendment shall have no effect upon the status of the financing

statement, except that a continuation may extend the period of effectiveness of a

financing statement.

History: 2002 AACS.

R 440.308 Assignment of powers of secured party of record.

Rule 308. Upon the filing of an assignment, the status of the parties and the status

of the financing statement shall be as follows:

(a) An assignment shall have no effect on the status of the parties to the financing

statement, except that each assignee named in the assignment shall become a secured

party of record.

(b) An assignment shall have no effect upon the status of the financing statement.

History: 2002 AACS.

R 440.309 Continuation statement.

Rule 309. (1)Upon the timely filing of a continuation statement by any secured

party of record, the lapse date of the financing statement shall be extended by 5 years.

(2) The filing of a continuation statement shall have no effect upon the status of

any party to the financing statement.

(3) Upon the filing of a continuation statement, the status of the financing

statement remains active in the UCC information management system until 1 year after

it lapses, as prescribed in subrule (1) of this rule.

R 440. 310 Termination statement.

Rule 310. (1) The filing of a termination shall have no effect upon the status of

any party to the financing statement.

(2) The filing of a termination shall have no effect upon the status of the financing

statement and, except as provided in subrule (3) of this rule, the financing statement shall

remain active in the UCC information management system until 1 year after it

lapses.

(3) If the termination relates to a financing statement that indicates it is filed

against a transmitting utility, then the financing statement shall become inactive 1

year after it is terminated with respect to all secured parties of record.

History: 2002 AACS.

R 440.311 Information statement.

Rule 311. On the filing of an information statement, the status of the parties and the

status of the financing statement is as follows:

(a) The filing of an information statement has no effect on the status of any party to

the financing statement.

(b) The filing of an information statement has no effect on the status of the

financing statement.

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History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.312 Procedure on lapse.

Rule 312. (1) If there is no timely filing of a continuation with respect to a

financing statement, the financing statement lapses on its lapse date, but remains active

in the UCC information management system until the first anniversary of its lapse date.

(2) On the first anniversary of the lapse date of a financing statement, the

financing statement is inactive in the UCC information management system and the

financing statement is no longer available to a searcher.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

PART 4. FILING AND DATA ENTRY PROCEDURES

R 440.401 Data entry.

Rule 401. Except as provided in these rules, data is transferred from a financing

statement to the UCC information management system exactly

as set forth in the

document. Personnel creating reports in response to search requests type search

criteria exactly as set forth on the search request. No effort is made by the filing

office to detect or correct errors of any kind.

History: 2002 AACS.

R 440.402 Document indexing.

Rule 402. (1) The date and time of filing are noted on the document and

permanently associated with the record maintained for a financing statement in the

UCC information management system at the earliest possible time.

(2) The filing office determines whether grounds exist to refuse the document

under sections 9516(2) or 9520(5) of the UCC, MCL 440.9516 and 440.9520. If there is

no ground for refusal of the document, then all the following provisions apply:

(a) The document is filed and a unique identification number and the filing date

are stamped on the document or otherwise permanently associated with the record

maintained for a financing statement in the UCC information management system.

(b) An acknowledgment of filing is prepared as provided in R 440.205 and

delivered as provided in subrule (3) of this rule.

(c) The sequence of the identification number is not an indication of the order in

which the document was received. If there is a ground for refusal of the document,

then notification of refusal to accept the document is prepared as provided in R

440.204 and delivered as provided in subrule (3) of this rule.

(3) Acknowledgment of filing or notice of refusal of a financing statement that

includes the information required by R 440.204 or R 440.205 tendered by any means is

given by delivering the notice or acknowledgment to the secured party, or the first

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secured party if there are more than 1 named on the financing statement, by first-class

mail, or, if the remitter requests, by first-class mail to the remitter, or by overnight

courier to the remitter if the remitter provides a prepaid waybill or access to the

remitter's account with the courier.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.403 Filing date and time.

Rule 403. (1) Except as provided in subrule (2) of this rule, the filing date and time

of a financing statement received with the proper filing fee is determined in the

following manner:

(a) Notwithstanding the time of delivery, for a financing statement delivered to

the filing office as provided in R 440.103 (a) or (b) o r ( e ) during regular business

hours, the earlier of the date and time delivery is receipted or the next close of

business following delivery.

(b) For a financing statement transmitted to the filing office as provided in R

440.103(c) the date and time the filing office determines that all required elements

of the transmission have been received in the required format.

(c) For a financing statement transmitted to the filing office as provided in R

440.103(d), the date and time the financing statement was accepted for filing by the filing

office's direct online entry system.

(2) Except as provided in subrule (1)(b) and (c) of this rule, the filing date and

time of a financing statement received after regular business hours or on a day the filing

office is not open for business is the earlier of the date and time delivery is receipted by

the filing office on the next day the office is open for business or the close of business

on the next day the filing office is open for business.

(3) The filing officer may perform any duty relating to a financing statement on

the filing date or on a date after the filing date.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.404 Lapse date and time.

Rule 404. (1) Except as provided in subrule (3) of this rule, a lapse date is

calculated for each initial financing statement in the following manner:

(a) Unless the initial financing statement indicates that it is filed with respect to a

manufactured home transaction, then the lapse date is the same date of the same month

as the filing date in the fifth year after the filing date or relevant subsequent fifth

anniversary thereof if a timely continuation statement is filed.

(b) If the initial financing statement indicates that it is filed with respect to a

manufactured home transaction, then the lapse date is the same date of the same month

as the filing date in the thirtieth year after the filing date or relevant subsequent fifth

anniversary thereof if a timely continuation statement is filed.

(2) The lapse takes effect at midnight at the end of the lapse date. The relevant

anniversary for a February 29 filing date shall be March 1.

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(3) A lapse date is not calculated for an initial financing statement that indicates the

debtor to be a transmitting utility.

History: 2002 AACS.

R 440.405 Errors of the filing officer.

Rule 405. The filing office may correct the errors

of

filing officer

personnel in the UCC information management system at any time. If the correction

is made after the filing officer has issued a certification date that includes the

filing date of

a

corrected document, then the filing officer shall make an entry

on the record relating to the relevant initial financing statement in the UCC

information management system stating the date of the correction and explaining

the nature of the corrective action taken. The record shall be preserved for so long as

the record of the initial financing statement is preserved in the UCC information

management system.

History: 2002 AACS.

R 440.406 Errors other than filing office errors.

Rule 406. An error by a filer is the responsibility of the filer. A filer can correct an

error by filing an amendment. A person under whose name a record is indexed can

disclose an error by filing an information statement.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.407 Data entry of names; designated fields.

Rule 407. (1) A financing statement must designate whether a name is a name of

an individual or an organization and, if an individual, must also designate the first

personal name, additional name or names or initial or initials, and surname and any

suffix.

(2) Both of the following provisions apply to the data entry of names into the UCC

information management system:

(a) Organization names are entered in the field designated for an organization

name exactly as set forth in the financing statement, even if it appears that multiple

names are set forth in the document or if it appears that the name of an individual has

been included in the field designated for an organization name.

(b) Individual names are entered into the first personal name, additional name or

names or initial or initials, and surname and suffix fields exactly as set forth on the

financing statement.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.408 Data entry of names; no designated fields.

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Rule 408. (1) If an initial financing statement or an amendment that adds a debtor

to a financing statement fails to specify whether the debtor is an individual or an

organization and is accepted for filing in error, then all the following provisions apply:

(a) If not set forth in a field designated for individual names, a name is treated as an

organization name if it contains words or abbreviations that indicate status, such as any

of the following and similar words or abbreviations in foreign languages:

(i) Association.

(ii) Church.

(iii) College.

(iv) Company.

(v) Co.

(vi) Corp.

(vii) Corporation.

(viii) Inc.

(ix) Limited.

(x) Ltd.

(xi) Club.

(xii) Foundation.

(xiii) Fund.

(xiv) L.L.C.

(xv) Limited liability company.

(xvi) Institute.

(xvii) Society.

(xviii) Union.

(xix) Syndicate.

(xx) GmBH.

(xxi) S.A. de C.V.

(xxii) Limited partnership.

(xxiii) L.P.

(xxiv) Limited liability partnership.

(xxv) L.L.P.

(xxvi) Trust.

(xxvii) Business trust.

(xxviii) Co-op.

(xxix) Cooperative.

(xxx) Other designations established by statutes to indicate a statutory organization.

In cases where organization or individual status is not designated by the filer and is

not clear, the filing officer shall enter the name in the organization field.

(b) A name is entered as the name of an individual and not the name of an

organization if the name is followed by a title substantially similar to 1 of the following

titles or the equivalent of 1 of the following titles in a foreign language:

(i) Proprietor.

(ii) Sole proprietor.

(iii) Proprietorship.

(iv) Sole proprietorship.

(v) Partner.

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(vi) General partner.

(vii) President.

(viii) Vice president.

(ix) Secretary.

(x) Treasurer.

(xi) M.D.

(xii) O.D.

(xiii) D.D.S.

(xiv) Attorney at law.

(xv) Esq.

(xvi) Accountant.

(xvii) CPA.

(c) If it is apparent that the name of an individual and the name of an organization

are stated on a single line and not in a designated individual name field, the name

of the individual and the name of the organization must be entered as 1 debtor.

(2) If an initial financing statement or an amendment that adds a debtor to a financing

statement fails to designate the last name of an individual debtor and is accepted for

filing in error, or if only the last name of an individual debtor is designated in an

initial financing statement or an amendment that adds a debtor to a financing statement,

then all the following provisions apply:

(a) An initial in the first position of the name is treated as a first name.

(b) An initial and a name to which the initial apparently corresponds, as indicated

by parentheses or similar punctuation, is entered into 1 name field only.

(c) A 1-word name is entered as a last name.

(d) A nickname, as indicated by parentheses or similar punctuation, is entered in

the name field together with the name preceding the nickname, or if none, then as the

first name.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.409 Verification of data entry.

Rule 409. The filing officer may use a number of different processes to verify

the accuracy of data entry tasks, such as any of the following:

(a) Use of different staff to enter and verify data.

(b) Double blind keying for key fields, such as debtor names.

(c) Use of frequent party lists.

(d) Visual inspection of entered data.

History: 2002 AACS.

R 440.410 Initial financing statement record.

Rule 410. (1) For each initial financing statement, a new record is opened in the

UCC information management system that bears the file number of the financing

statement and the date and time of filing.

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(2) The name and address of each debtor that are legibly set forth

in the

financing statement are entered into the record of the initial financing statement.

Each debtor name entered into the record of the initial financing statement is included in

the searchable index and is not removed until 1 year after the financing statement

lapses. Debtor addresses may be included in the searchable index to the extent the

filing office offers or intends to offer limited searches or limited copy requests as

provided in R 440.504.

(3) The name and address of each secured party that are legibly set forth in the

financing statement are entered into the record of the initial financing statement.

(4) The record of the initial financing statement is indexed according to the name

of the debtor or debtors and is maintained for public inspection as provided in these

rules.

(5) Unless the initial financing statement indicates it is filed against a transmitting

utility, a lapse date is established for the financing statement, and the lapse date is

maintained as part of the record of the initial financing statement.

History: 2002 AACS.

R 440.411 Amendment record.

Rule 411. (1) A record is created for an amendment that

identification number for the amendment and the date and time of filing.

bears the

(2) The record of the amendment is associated with the record of the related

initial financing statement in a manner that causes the amendment

to be retrievable each time a record of the financing statement is retrieved.

(3) The name and address of each additional debtor and secured

party are

entered into the UCC information management system in the record of the related

initial financing statement. Each additional debtor name is added to the searchable index

and is not removed until

1

year after the financing statement lapses. Debtor

addresses may be included in the searchable index to the extent the filing office

offers or intends to offer limited searches or limited copy requests as provided in R

440.504.

(4) If the amendment is a continuation, then a new lapse date is established

for the financing statement and maintained as part of its record.

History: 2002 AACS.

R 440.412 Information statement record.

Rule 412. (1) A record is created for an information statement that bears the

identification number for the information statement and the date and time of filing.

(2) The record of the information statement is associated with the record of the

related initial financing statement in a manner that causes the information

statement to be retrievable each time a record of the financing statement is retrieved.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

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R 440.413 Rescinded.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.414 Document archives.

Rule 414. Financing statements electronically imaged in the

UCC

information management system relating to financing statements that have lapsed or

have been terminated are retained for not less than 5 years from the date of lapse or

termination.

History: 2002 AACS.

R 440.415 Data archives.

Rule 415. Data in the UCC information management system relating to

financing statements that have lapsed or have been terminated are retained for not less

than 5 years from the date of lapse or termination.

History: 2002 AACS.

R 440.416 Notice of bankruptcy.

Rule 416. The filing officer shall take no action upon receipt of a notification,

formal or informal, of a bankruptcy proceeding involving a debtor named in the

UCC information management system.

Financing statements lapse in the UCC

information management system as scheduled unless properly continued.

History: 2002 AACS.

PART 5. SEARCH REQUESTS AND REPORTS

R 440.501 Searchable index.

Rule 501. The filing officer may maintain for public inspection a searchable

index for all records of financing statements. The index shall provide for the retrieval

of a record by the name of the debtor and by the file number of the financing statement

to which the record relates.

History: 2002 AACS.

R 440.502 Search requests; contents and processing.

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Rule 502. (1) A search request must be accompanied by the appropriate fee,

payable by a method described in R 440.106, and must contain all the following

information:

(a) The full correct name of a debtor or the name variant desired to be searched.

(b) Specify whether the debtor is an individual or an organization.

(c) The name and address of the person the search report is sent to.

(2) A search request must be processed using the name in the exact form it is

submitted.

(3) For purposes of this rule, both of the following provisions apply:

(a) The full name of an individual must consist of a first personal name, a middle

name or initial, and a surname followed by any suffix that may apply to the name.

(b) The full name of an organization must consist of the name of the organization

as stated on the articles of incorporation or other organic documents in the state or

country of organization or the name variant desired to be searched.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.503 Requests for expediting; identification; method; certification date.

Rule 503. (1) A request for expediting must be identified by the requestor.

(2) A request for expediting must state whether the requestor desires current

certification. Current certification is certification to the end of the business day

preceding the day of the request.

(3) If the requestor does not expressly request current certification, the certification

date is the date under R 440.507.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.504 Request for expediting; payment; account.

Rule 504. A request for expediting made by any means provided in R 440.103

must be accompanied by a check, in the correct amount, for the statutory fee, or the

requestor shall have a billing account with the filing office and authorize the filing

office to make a charge to the account for the search.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.505 Rescinded.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.506 Fees for expediting searches.

Rule 506. (1) The filing office shall charge the statutory fee for expediting of

the regular search process, as provided by the UCC.

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(2) Each separate name of a debtor set forth in a request for expediting shall

be deemed a separate request for purposes of the statutory fee.

(3) Each time a requestor specifies that a request for expediting is being made,

the request shall be deemed a separate request for purposes of the statutory fee.

History: 2002 AACS.

R 440.507 Search reports.

Rule 507. (1) Reports created in response to a search request shall include all of

he following:

(a) Identification of the filing officer and the certification of the filing officer

required by the UCC.

(b) The date the report was generated.

(c) Identification of the name searched.

(d) The certification date applicable to the report.

(e) Identification of each active initial financing statement filed on or before the

certification date and time corresponding to the search criteria, by name of debtor,

by identification number, and by file date and file time.

(f) For each initial financing statement on the report, a listing of all related

financing statements filed by the filing officer on or before the certification date.

(g) Copies of all financing statements revealed by the search and requested by

the searcher.

(2) As used in this rule, "certification date" means the date and time through

which the search is effective to reveal all relevant financing statements filed on or

before that date.

History: 2002 AACS.

R 440.508 Limited or modified search requests.

Rule 508. (1) A person requesting a UCC search may limit or modify the search

by requesting either or both of the following:

(a) That copies of documents referred to in the report be included with the report.

(b) To limit the scope of the search and copies by reference to any 1 or more of the

following:

(i) The initial financing statement identification number.

(ii) The city of the debtor.

(iii) A range of dates between 2 specified dates.

(2) A report created by the filing officer in response to a request that a UCC search

be limited under this rule must contain the following statement: "A search request limited

under R 440.508(1) may not reveal all filings against the debtor searched. The

searcher bears the risk of relying on the limited search."

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

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R 440.509 Rescinded.

History: 2002 AACS; 2023 MR 22, Eff. Nov. 16, 2023.

R 440.510 Search logic.

Rule 510. Search results are created by applying standardized search logic to the

name presented to the filing officer by the person requesting the search. Human

judgment does not play a role in determining the results of the search. All of the

following provisions are applied to conduct searches:

(1) The number of matches that may be returned in response to the search

criteria is not limited.

(b) No distinction is made between upper and lower case letters.

(c) Punctuation marks and accents are disregarded. Only the letters A to Z in upper

or lower case, the numbers 0, 1, 2, 3, 4, 5, 6, 7, 8, and 9, and the symbol &, in any

combination, are considered in conducting the search.

(d) Words and abbreviations at the end of a name that indicate the existence or

nature of an organization are disregarded, including, but not limited to, any of the

following or abbreviations of the following:

(i) Agency.

(ii) Association.

(iii) Assn.

(iv) Associates.

(v) Assc.

(vi) Assoc.

(vii) Attorney at law.

(viii) Bank.

(ix) National bank.

(x) Business trust.

(xi) Charter.

(xii) Chartered.

(xiii) Company.

(xiv) Co.

(xv) Corporation.

(xvi) Corp.

(xvii) Credit union.

(xviii) CU.

(xix) Federal savings bank.

(xx) FSB.

(xxi) General partnership.

(xxii) Gen part.

(xxiii) GP.

(xxiv) Incorporated.

(xxv) Inc.

(xxvi) Limited.

(xxvii) Ltd.

(xxviii) Ltee.

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(xxix) Limited liability company.

(xxx) LC.

(xxxi) LLC.

(xxxii) Limited liability partnership.

(xxxiii) LLP.

(xxxiv) Limited partnership.

(xxxv) LP.

(xxxvi) Medical doctors professional association.

(xxxvii) MDPA.

(xxxviii) Medical doctors professional corporation.

(xxxix) MDPC.

(xL) National association.

(xLi) NA.

(xLii) Partners.

(xLiii) Partnership.

(xLiv) Professional association.

(xLv) Prof assn.

(xLvi) PA.

(xLvii) Professional corporation.

(xLviii) Prof corp.

(xLix) PC.

(L) Professional limited liability company.

(Li) Professional limited liability co.

(Lii) PLLC.

(Liii) Railroad.

(Liv) RR.

(Lv) Real estate investment trust.

(Lvi) REIT.

(Lvii) Registered limited liability partnership.

(Lviii) RLLP.

(Lix) Savings association.

(Lx) SA.

(Lxi) Service corporation.

(Lxii) SC.

(Lxiii) Sole proprietorship.

(Lxiv) SP.

(Lxv) SPA.

(Lxvi) Trust.

(Lxvii) Trustee.

(Lxviii) As trustee.

(e) The word "the" at the beginning of the search criteria is disregarded.

(f) All spaces are disregarded.

(g) For first and middle names of individuals, initials are equated with all names

that begin with the initials, and no middle name or initial is equated with all middle

names and initials.

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(h) After taking the preceding provisions into account to modify the name of the

debtor requested to be searched and to modify the names of debtors contained in

unlapsed financing statements in the UCC information management system, the search

will reveal only names of active debtors that, as modified, exactly match the name

requested, as modified.

History: 2002 AACS.

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