California Codes, Civil Code - CIV, Division 4 — General Provisions, Part 2 — Special Relations of Debtor and Creditor, Title 2 — Void and Voidable Transfers and Undertakings, Chapter 2 — Conveyance of Personal Property Without Delivery, Section 3440.3

A transfer of personal property, as to which the conditions set forth in subdivision (h) of Section 3440.1, Section 3440.2, or subdivision (b) of Section 3440.5 are satisfied, shall, nevertheless, be void under Section 3440 as against a person who has purchased the personal property from the transferor and who is a “buyer in the ordinary course of business,” as defined in paragraph (9) of subdivision (b) of Section 1201 of the Commercial Code.

Notes

Bars a personal-property transfer from being effective against a buyer in the ordinary course of business who purchased from the transferor, even when the conditions identified in the referenced transfer provisions are satisfied. The term “buyer in the ordinary course of business” has the meaning given in the referenced Commercial Code definition.

Use as reference

Lexinter.net | California Code, Civil Code - CIV § 3440.3 | https://laws.lexinter.net/codes/california/civil-code/division-4/part-2/title-2/chapter-2/section-3440-3

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