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Wyatt needs $2,000 to go on vacation. After trying unsuccessfully to come up with a plan to obtain the money, Wyatt comes up with the
Wyatt needs $2,000 to go on vacation. After trying unsuccessfully to come up with a plan to obtain the money, Wyatt comes up with the perfect plan: Wyatt offers to have his mother's jewelry collection cleaned for her, but instead, he takes the jewelry to Perfect Pawn Shop and pledges his mother's jewelry collection as collateral for a loan of $2,000. The jewelry is worth $10,000, so Perfect Pawn Shop agrees to the deal, gives Wyatt the $2,000, and keeps the jewelry. Does Perfect Pawn Shop have a security interest in the jewelry? No, because no financing agreement was filed. Yes, because the jewelry is worth much more than $2,000. No, because Wyatt does not own the jewelry. Yes, because Perfect Pawn Shop gave value for the jewelry and has possession of the jewelry
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