N.Y. Uniform Commercial Code Law Section 9-328
Priority of Security Interests in Investment Property

Section 9--328. Priority of Security Interests in Investment Property. The following rules govern priority among conflicting security interests in the same investment property:

(a)

A security interest held by a secured party having control of investment property under Section 9--106 has priority over a security interest held by a secured party that does not have control of the investment property.

(b)

Except as otherwise provided in paragraphs (c) and (d), conflicting security interests held by secured parties each of which has control under Section 9--106 rank according to priority in time of:

(1)

if the collateral is a security, obtaining control;

(2)

if the collateral is a security entitlement carried in a securities account and: (A) if the secured party obtained control under Section 8--106 (d) (1), the secured party’s becoming the person for which the securities account is maintained; (B) if the secured party obtained control under Section 8--106 (d) (2), the securities intermediary’s agreement to comply with the secured party’s entitlement orders with respect to security entitlements carried or to be carried in the securities account; or (C) if the secured party obtained control through another person under Section 8--106 (d) (3), the time on which priority would be based under this paragraph if the other person were the secured party; or

(3)

if the collateral is a commodity contract carried with a commodity intermediary, the satisfaction of the requirement for control specified in Section 9--106 (b) (2) with respect to commodity contracts carried or to be carried with the commodity intermediary.

(c)

A security interest held by a securities intermediary in a security entitlement or a securities account maintained with the securities intermediary has priority over a conflicting security interest held by another secured party.

(d)

A security interest held by a commodity intermediary in a commodity contract or a commodity account maintained with the commodity intermediary has priority over a conflicting security interest held by another secured party.

(e)

A security interest in a certificated security in registered form which is perfected by taking delivery under Section 9--313 (a) and not by control under Section 9--314 has priority over a conflicting security interest perfected by a method other than control.

(f)

Conflicting security interests created by a broker, securities intermediary, or commodity intermediary which are perfected without control under Section 9--106 rank equally.

(g)

In all other cases, priority among conflicting security interests in investment property is governed by Sections 9--322 and 9--323.

(h)

Subsections (a) through (g) do not apply to cooperative interests.

Source: Section 9-328 — Priority of Security Interests in Investment Property, https://www.­nysenate.­gov/legislation/laws/UCC/9-328 (updated Sep. 22, 2014; accessed Dec. 13, 2025).

9–317
Interests That Take Priority over or Take Free of Security Interest or Agricultural Lien 9–318
No Interest Retained in Right to Payment That Is Sold 9–319
Rights and Title of Consignee with Respect to Creditors and Purchasers 9–320
Buyer of Goods 9–321
Licensee of General Intangible and Lessee of Goods in Ordinary Course of Business 9–322
Priorities among Conflicting Security Interests in and Agricultural Liens on Same Collateral 9–323
Future Advances 9–324
Priority of Purchase-money Security Interests 9–325
Priority of Security Interests in Transferred Collateral 9–326
Priority of Security Interests Created by New Debtor 9–326A
Priority of Security Interest in Controllable Account, Controllable Electronic Record, and Controllable Payment Intangible 9–327
Priority of Security Interests in Deposit Account 9–328
Priority of Security Interests in Investment Property 9–329
Priority of Security Interests in Letter-of-credit Right 9–330
Priority of Purchaser of Chattel Paper or Instrument 9–331
Priority of Rights of Purchasers of Instruments, Documents, and Securities under Other Articles 9–332
Transfer of Money 9–333
Priority of Certain Liens Arising by Operation of Law 9–334
Priority of Security Interests in Fixtures and Crops 9–335
Accessions 9–336
Commingled Goods 9–337
Priority of Security Interests in Goods Covered by Certificate of Title 9–338
Priority of Security Interest or Agricultural Lien Perfected by Filed Financing Statement Providing Certain Incorrect Information 9–339
Priority Subject to Subordination
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Verified:
Dec. 13, 2025

Last modified:
Sep. 22, 2014

§ 9-328. Priority of Sec. Interests in Investment Prop.'s source at nysenate​.gov

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