Copyright (c) 2009 All rights reserved. http://works.bepress.com/richard_nowka Recent documents in Richard H. Nowka en-us Sun, 31 May 2009 10:53:40 PDT 3600 http://works.bepress.com/richard_nowka/1 http://works.bepress.com/richard_nowka/1 Thu, 19 Jul 2007 07:17:00 PDT This article discusses the appropriate statute of limitations for a secured party's action to recover a deficiency remaining after the debtor defaults in a transaction that combines a sale of goods with a purchase-money security interest. Most courts have applied the Article 2 statute of limitations upon the ground that the action is connected to the sale aspects of the transaction because it seeks to recover the unpaid portion of the purchase price. The premise of the article is that those courts are ignoring several sources of law that indicate Article 2 does not govern this action. Those sources are: the Official Comments of Article 2, the early drafts of Article 2, the uniform acts that preceded Articles 2 and 9--the Uniform Sales Act, the Revised Uniform Sales Act, and the Uniform Conditional Sales Act, early case law, and the structure of the deficiency remedy. The article reviews all those sources, and the cases addressing the issue, and concludes that the drafters of the UCC did not intend for Article 2 to govern a deficiency action, and that the structure of a deficiency action is connected to the security interest aspects of the transaction. Richard H. Nowka Commercial Law Secured Transactions