Albert Author conveys ownership of his new book, Forgetting Forgetfulness, to Peters Publishing on April 1.
Albert Author conveys ownership of his new book, Forgetting Forgetfulness, to Peters Publishing on April 1. Prior to date, he had granted a security interest to Alpha Bank in all of his tangible and intangible personal property, which Alpha had properly perfected. Albert (belying his title) on July 1 conveyed the book to Brown Books, another publisher, which immediately recorded the transfer with the Register of Copyrights. Arthur then borrowed $10,000 from Beta Bank, which promptly filed an assignment with the Register of Copyrights. Which of the following is accurate? a. Beta Bank’s security interest is superior to Alpha Bank’s, but only if it did not know of Alpha Bank’s security interest. b. Beta Bank’s security interest is superior to Alpha Bank’s because Alpha Bank’s is unperfected. c. Alpha Bank’s security interest is superior to Beta Bank because it was first perfected. d.Alpha Bank’s security interest is superior to Beta Bank’s because Beta Bank’s security interest is unperfected. e. None of the above is accurate.
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