§ 9-313. When possession by secured party perfects security interest without filing.
A. Perfection by Possession. Except as otherwise provided in subsection (B) of this section, a secured party may perfect a security interest in certificated securities, negotiable documents, goods, instruments, money, or chattel paper by taking possession of the collateral.
B. Goods Covered by Certificate of Title. With respect to goods covered by a certificate of title issued by the Osage Nation or a state, a secured party may perfect a security interest in the goods by taking possession of the goods only in the circumstances described in 27A ONC § 9-316(C), relating to continued perfection of goods covered by a certificate of title.
C. Collateral in Possession of Person Other Than Debtor. With respect to collateral other than certificated securities and goods covered by a document, a secured party takes possession of collateral in the possession of a person other than the debtor, the secured party, or a lessee of the collateral from the debtor in the ordinary course of the debtor’s business, when:
1. The person in possession signs a record acknowledging that it holds possession of the collateral for the secured party’s benefit; or
2. The person takes possession of the collateral after having signed a record acknowledging that it will hold possession of collateral for the secured party’s benefit.
D. Time of Perfection by Possession; Continuation of Perfection. If perfection of a security interest depends upon possession of the collateral by a secured party, perfection occurs no earlier than the time the secured party takes possession and continues only while the secured party retains possession.
E. Acknowledgment Not Required. A person in possession of collateral is not required to acknowledge that it holds possession for a secured party’s benefit.
F. Effectiveness of Acknowledgment; No Duties or Confirmation. If a person acknowledges that it holds possession for the secured party’s benefit:
1. The acknowledgment is effective under subsection (C) of this section, even if the acknowledgment violates the rights of a debtor; and
2. Unless the person otherwise agrees or law other than this Osage Nation Secured Transactions Act otherwise provides, the person does not owe any duty to the secured party and is not required to confirm the acknowledgment to another person. ONCA 07-22, eff. June 18, 2007.