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Charlie a poor musician, needs $1,500 fast to pay his back rent and buy food. Stan agrees to loan Charlie $1,500 accepting as collateral Charlie's
Charlie a poor musician, needs $1,500 fast to pay his back rent and buy food. Stan agrees to loan Charlie $1,500 accepting as collateral Charlie's Selmer 6 Alto Saxophone.They put their agreement in writing and sign it. Charlie keeps possession of the saxophone so he can play gigs to make money and eventually pay Stan back. Explain, does Stan have an enforceable security interest?If so, how can Stan let other creditors know of his interest in the saxophone?If not, how can he get a security interest in the saxophone?
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