When two creditors have a security interest in the same ...

[CharlieWard]

When two creditors have a security interest in the same collateral, which party takes priority?
 A)The first unperfected party to attach
 B)A party with an unperfected interest
 C)A party with a perfected interest
 D)The first perfected party to sue

Question 2

Who will prevail in the following scenarios applying the CISG? Would your answer change if the parties selected the UCC pursuant to a choice of law clause? Please provide a short explanation for each of your answers. Scenario An attempt by an American buyer to introduce evidence of preliminary negotiations in order to interpret a written contract in a breach of contract case against an Italian seller.

[bpool94]

Answer to Question 1

C

Answer to Question 2

Utilizing the CISG, the American buyer may prevail as the CISG permits the interpretation of contracts utilizing verbal agreements, past dealings between the parties and customs of which the parties knew or should have known. Utilizing the UCC parol evidence rule, the Italian seller may prevail. The parol evidence rule prevents the introduction into evidence of preliminary negotiations for the purpose of altering the terms of an unambiguous contract.