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Exceptions to the Perfection - Priority Rules. Carol works for Second Bank as a lending officer. Carol is considering making a loan to Disco Duds
Exceptions to the Perfection - Priority Rules.Carol works for Second Bank as a lending officer. Carol is considering making a loan to Disco Duds Clothing Store (DD) to enable the store to purchase a new stock of inventory, in which Second Bank will take a security interest. However, Carol learns that First Bank already has a perfected security interest in DD's present and future inventory. Can Second Bank gain priority over First Bank's interest?Explain.
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