Uniform Commercial Code 2022 Amendments
The 2022 amendments update the UCC to account for emerging technologies by:
- Amending the definitions of "conspicuous", "send", and "sign";
- Adding the definition of "electronic"; and
- Changing current references to "writing" or "written" to refer instead to a "record".
The 2022 amendments update the provisions of the UCC related to secured transactions by:
- Addressing security interests and rights to payment related to controllable electronic records;
- Specifying how to perfect security interests in controllable accounts and controllable payment intangibles;
- Updating the definition of "chattel paper" to distinguish between a right to payment and the record evidencing the right to payment;
- Updating definitions related to money generally, including creating a new definition of "electronic money"; and
- Creating a new definition of "assignee" and "assignor".
The bill creates a new article within the UCC that governs the transfer of property rights in certain intangible digital assets that have been or may be created and may involve the use of new technologies, including such assets as certain types of virtual currency and nonfungible tokens.
The bill provides guidance for which laws apply during the transition from the current UCC to the UCC as amended by the bill.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)