【正文】 gment is rendered. In most jurisdictions, the lien attaches automatically to real property owned by a judgment debtor, while some further administrative procedures are required to attach the to personal property. Article9 of the UCC is a very plex and detailed piece of legislation. Legal scholar and courts have devoted a great deal of attention to it. Here is an outline of the topic in the most general terms. One who wishes to acquire a piece of a business must first inquire whether the property or business is encumbered with a statutory lien, or whether it is the subject of a secured transaction. This search, which must be conducted in various governmental offices, is generally entrusted by attorney for the buyer to one of a number of organizations in this filed. If a debtor bees bankrupt, a secured creditor has a preferential position. This one of the principal reasons for securing a transaction. The property or property right that is used to secure a promise is called collateral property, or collateral, for short. Accounts receivable, chattel paper, and even growing crops may be collateral. The word chattel is an old English word that denotes personal (movable) property. The official ment to of the UCC illustrates the meaning of the term chattel paper. It is quoted here because it also illustrates other pertinent concept. “A dealer sells a tractor to farm on a conditional contract. The conditional sales contract is a security agreement, the farmer is debtor, the dealer is the secured party, and tractor is the collateral. But now dealer transfers the contract to his bank, either by outright sale or to secure a loan. Since the conditional sales contract is a security agreement relating to specific equipment, the conditional sales contract is now the type of collateral called chattel paper.” Any property having value may be used as collateral .If the purchase of a property is financed, the very property may be used as collateral. For instance, if the shares of a corporation are sold, the seller may retain ownership of shares until they are fully paid for (in which case he is said to a purchase money security interest):or, if the purchase is financed by a third party, the shares may be transferred as collateral to such third party. A security agreement must be in wringing in order to be binding between the parties. In order to be binding on third parties, it must be publicly disclosed by filing a financing statement (See Section 3, below) or by physical manifestation of delivery. The subject matter of secured transactions is of interest to foreigners doing business in the . in two instance : (a) if they wish to finance a transaction with or in the ., and (b) if they are unsecured creditors and find themselves in conflict with creditors who claim to be secured. The simplest security is a guaranty. It is not even mentioned in UCC Article 9. In many parts of the world, a creditor will ask for guaranty. American banks generally are not allowed to issue a guaranty. Instead, they will issue a standby letter of credit, which is even better than guaranty because it constitutes a primary obligation of the bank. The Federal Comptroller of the Currency, who forbids bank guaranties, has expressly approved the standby letter of credit. If the obligor is a subsidiary of a financially strong parent pany, the guaranty of the parent pany may also be used as a security device. . parent panies do not readily issue such guaranties because they expect their subsidiaries to stand on their own financial feet. A corporate guaranty is generally not available, and might not be valid under applicable state law, unless the obligor is a subsidiary. A related security device, also not covered by UCC Article 9, is the performance bond. A performance bond is generally available form a type of insurer know as a surety pany. The bond insures that the obligor will perform in accordance. It is generally coupled with a penalty provision in case of delay. The bond issuer is liable if the obligor defaults. Performance bonds are customary in the construction industry, but they can also be used in other fields of business. The rest of this paper refers to security transaction embraced by UCC Article 9. of the Security Interest In order to have a security interest that is good against third parties, the security