In a consumer-goods transaction, the following rules apply:
(1) A notification of disposition must provide the following information:
(A) The information specified in § 28:9-613(1);
(B) A description of any liability for a deficiency of the person to which the notification is sent;
(C) A telephone number from which the amount that must be paid to the secured party to redeem the collateral under § 28:9-623 is available; and
(D) A telephone number or mailing address from which additional information concerning the disposition and the obligation secured is available.
(2) A particular phrasing of the notification is not required.
(3) The following form of notification, when completed, provides sufficient information:
“[Name and address of secured party]
“[Name and address of any obligor who is also a debtor]
“Subject: [Identification of Transaction]
“We have your [describe collateral], because you broke promises in our agreement.
“[For a public disposition:]
“We will sell [describe collateral] at public sale. A sale could include a lease or license. The sale will be held as follows:
“You may attend the sale and bring bidders if you want.
“[For a private disposition:]
“We will sell [describe collateral] at private sale sometime after [date]. A sale could include a lease or license.
“The money that we get from the sale (after paying our costs) will reduce the amount you owe. If we get less money than you owe, you [will or will not, as applicable] still owe us the difference. If we get more money than you owe, you will get the extra money, unless we must pay it to someone else.
“You can get the property back at any time before we sell it by paying us the full amount you owe (not just the past due payments), including our expenses. To learn the exact amount you must pay, call us at [telephone number].
“If you want us to explain to you in writing how we have figured the amount that you owe us, you may call us at [telephone number] or write us at [secured party’s address] and request a written explanation. [We will charge you $ ____ for the explanation if we sent you another written explanation of the amount you owe us within the last 6 months.]
“If you need more information about the sale call us at [telephone number] or write us at [secured party’s address].
“We are sending this notice to the following other people who have an interest in [describe collateral] or who owe money under your agreement:
“[Names of all other debtors and obligors, if any]
(4) A notification in the form of paragraph (3) is sufficient, even if additional information appears at the end of the form.
(5) A notification in the form of paragraph (3) is sufficient, even if it includes errors in information not required by paragraph (1) of this subsection, unless the error is misleading with respect to rights arising under this article.
(6) If a notification under this section is not in the form of paragraph (3) of this subsection, law other than this article determines the effect of including information not required by paragraph (1) of this subsection.
Uniform Commercial Code Comment
1. Source. New.
2. Notification in Consumer-Goods Transactions. Paragraph (1) sets forth the information required for a reasonable notification in a consumer-goods transaction. A notification that lacks any of the information set forth in paragraph (1) is insufficient as a matter of law. Compare Section 9-613(2), under which the trier of fact may find a notification to be sufficient even if it lacks some information listed in paragraph (1) of that section.
3. Safe-Harbor Form of Notification; Errors in Information. Although paragraph (2) provides that a particular phrasing of a notification is not required, paragraph (3) specifies a safe-harbor form that, when properly completed, satisfies paragraph (1). Paragraphs (4), (5), and (6) contain special rules applicable to erroneous and additional information. Under paragraph (4), a notification in the safe-harbor form specified in paragraph (3) is not rendered insufficient if it contains additional information at the end of the form. Paragraph (5) provides that non-misleading errors in information contained in a notification are permitted if the safe-harbor form is used and if the errors are in information not required by paragraph (1). Finally, if a notification is in a form other than the paragraph (3) safe-harbor form, other law determines the effect of including in the notification information other than that required by paragraph (1).