Section 6A-9-334 - Priority of security interests in fixtures and crops(a) Security interest in fixtures under this chapter. A security interest under this chapter may be created in goods that are fixtures or may continue in goods that become fixtures. A security interest does not exist under this chapter in ordinary building materials incorporated into an improvement on land.(b) Security interest in fixtures under real-property law. This chapter does not prevent creation of an encumbrance upon fixtures under real property law.(c) General rule: subordination of security interest in fixtures. In cases not governed by subsections (d) through (h), a security interest in fixtures is subordinate to a conflicting interest of an encumbrancer or owner of the related real property other than the debtor.(d) Fixtures purchase-money priority. Except as otherwise provided in subsection (h), a perfected security interest in fixtures has priority over a conflicting interest of an encumbrancer or owner of the real property if the debtor has an interest of record in or is in possession of the real property and: (1) The security interest is a purchase-money security interest;(2) The interest of the encumbrancer or owner arises before the goods become fixtures; and(3) The security interest is perfected by a fixture filing before the goods become fixtures or within 20 days thereafter.(e) Priority of security interest in fixtures over interests in real property. A perfected security interest in fixtures has priority over a conflicting interest of an encumbrancer or owner of the real property if: (1) The debtor has an interest of record in the real property or is in possession of the real property and the security interest: (i) Is perfected by a fixture filing before the interest of the encumbrancer or owner is of record; and(ii) Has priority over any conflicting interest of a predecessor in title of the encumbrancer or owner;(2) Before the goods become fixtures, the security interest is perfected by any method permitted by this chapter and the fixtures are readily removable: (i) Factory or office machines;(ii) Equipment that is not primarily used or leased for use in the operation of the real property; or(iii) Replacements of domestic appliances that are consumer goods;(3) The conflicting interest is a lien on the real property obtained by legal or equitable proceedings after the security interest was perfected by any method permitted by this chapter; or(4) The security interest is:(i) Created in a manufactured home in a manufactured-home transaction; and(ii) Perfected pursuant to a statute described in § 6A-9-311(a)(2).(f) Priority based on consent, disclaimer, or right to remove. A security interest in fixtures, whether or not perfected, has priority over a conflicting interest of an encumbrancer or owner of the real property if: (1) The encumbrancer or owner has, in a signed record, consented to the security interest or disclaimed an interest in the goods as fixtures; or(2) The debtor has a right to remove the goods as against the encumbrancer or owner.(g) Continuation of paragraph (f)(2) priority. The priority of the security interest under paragraph (f)(2) continues for a reasonable time if the debtor's right to remove the goods as against the encumbrancer or owner terminates.(h) Priority of construction mortgage. A mortgage is a construction mortgage to the extent that it secures an obligation incurred for the construction of an improvement on land, including the acquisition cost of the land, if a recorded record of the mortgage so indicates. Except as otherwise provided in subsections (e) and (f), a security interest in fixtures is subordinate to a construction mortgage if a record of the mortgage is recorded before the goods become fixtures and the goods become fixtures before the completion of the construction. A mortgage has this priority to the same extent as a construction mortgage to the extent that it is given to refinance a construction mortgage.(i) Priority of security interest in crops. A perfected security interest in crops growing on real property has priority over a conflicting interest of an encumbrancer or owner of the real property if the debtor has an interest of record in or is in possession of the real property.R.I. Gen. Laws § 6A-9-334
Amended by 2024 Pub. Laws, ch. 66,§ 9, eff. 6/10/2024.Amended by 2024 Pub. Laws, ch. 65,§ 9, eff. 6/10/2024. P.L. 2000 , ch. 182, § 6; P.L. 2000 , ch. 420, § 6.