Secured Transactions:

The State of South Dakota adopts the provisions of the Uniform Commercial Code in secured transactions.

A creditor generally is entitled to recover possession of collateral upon the default of a debtor on a secured transaction. In obtaining possession of collateral, a creditor may do so without judicial process if it can be done without breach of the peace or by judicial action. (Section 57A-9-503.)

After a debtor's default, a secured creditor may sell, lease or otherwise dispose of the collateral in a commercially reasonable manner. (Section 57A-9-504.) Any time before the disposition of the collateral, a debtor may have a right to redeem the collateral by tendering full payment of the obligation owed and all reasonable expenses incurred by the creditor.

The disposition of the collateral may be conducted by public or private sale. Reasonable notice of the time and place of the sale is generally required to be given to other secured creditors and the debtor. (Section 57A-9-504(3).) A creditor must account to the debtor any surplus, and unless otherwise agreed, the debtor generally may be liable for any deficiency. (Section 57A-9-502(2).)

Lawdog assumes  no responsibility for links away from this site.

Copyright © 1998 by LAWDOG.COM Publishing, Inc