There’s something unusual about Kentucky’s Senate Bill 97, recently enacted to revise the UCC Article 9. But the KY Secretary of State (SOS) indicates there’s no cause for concern.
When the bill was passed into law in April 2012, it was without the inclusion of a specified effective date. KY, like each of the other states that have recently adopted new amendments to the Article 9, intended the law to be effective as of July 1, 2013. But without this specification written into the law, Kentucky’s constitution provides that the new law would go into effect 90 days after conclusion of the legislative session—something that the KY SOS is not prepared for.
The KY SOS indicated that despite the language of the bill, the new law will go into effect on July 1, 2013. If necessary, emergency legislation may be introduced as a corrective measure.
If we learn of substantive changes to this situation, we will post an update. To learn more about the new amendments, click here.