Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) This Division sets out the priority between 2 security interests (a transferor - granted interest and a transferee - granted interest) if:
(a) a grantor transfers collateral (the transferred collateral ) to a transferee; and
(b) immediately before the transfer, a security interest (the transferor - granted interest ) is attached to the collateral; and
(c) the transferee grants (whether before or after the transfer) a security interest (the transferee - granted interest ) in the transferred collateral; and
(d) neither the transferor - granted interest nor the transferee - granted interest is currently perfected by control.
Note 1: If either or both of the interests are currently perfected by control under paragraph 21(2)(c), section 57 applies.
Note 2: If the priority between a transferor - granted interest and a transferee - granted interest is not covered by this section, then section 55 applies.
Note 3: For attachment and perfection in relation to transferred collateral, see section 34.
Note 4: For a grantor's rights in relation to transferring collateral, see section 79.
(2) This Division does not prevent a secured party from perfecting a security interest in any way in order to have priority over another security interest.