Nevada Code § 104.9330

Priority of purchaser of chattel paper or instrument
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1. A purchaser of chattel paper has
priority over a security interest in the chattel paper which is claimed merely
as proceeds of inventory subject to a security interest if:
(a) In good faith and in the ordinary course of
the purchasers business, the purchaser gives new value, takes possession of
each authoritative tangible copy of the record evidencing the chattel paper and
obtains control under NRS 104.9105 of
each authoritative electronic copy of the record evidencing the chattel paper;
and
(b) The authoritative copies of the record
evidencing the chattel paper do not indicate that the chattel paper has been
assigned to an identified assignee other than the purchaser.
2. A purchaser of chattel paper has
priority over a security interest in the chattel paper which is claimed other
than merely as proceeds of inventory subject to a security interest if the
purchaser gives new value, takes possession of each authoritative tangible copy
of the record evidencing the chattel paper and obtains control under NRS 104.9105 of each authoritative
electronic copy of the record evidencing the chattel paper in good faith, in
the ordinary course of the purchasers business, and without knowledge that the
purchase violates the rights of the secured party.
3. Except as otherwise provided in NRS 104.9327 , a purchaser having priority
in chattel paper under subsection 1 or 2 also has priority in proceeds of the
chattel paper to the extent that:
(a) NRS
104.9322 provides for priority in the proceeds; or
(b) The proceeds consist of the specific goods
covered by the chattel paper or cash proceeds of the specific goods, even if
the purchasers security interest in the proceeds is unperfected.
4. Except as otherwise provided in
subsection 1 of NRS 104.9331 , a
purchaser of an instrument has priority over a security interest in the
instrument perfected by a method other than possession if the purchaser gives
value and takes possession of the instrument in good faith and without
knowledge that the purchase violates the rights of the secured party.
5. For purposes of subsections 1 and 2,
the holder of a purchase-money security interest in inventory gives new value
for chattel paper constituting proceeds of the inventory.
6. For purposes of subsections 2 and 4, if
the authoritative copies of the record evidencing chattel paper or an
instrument indicate that the chattel paper or instrument has been assigned to
an identified secured party other than the purchaser, a purchaser of the
chattel paper or instrument has knowledge that the purchase violates the rights
of the secured party.

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