English to German Bus/Financial Finance (general)

Informationsmemorandum:
Priority as between secured parties (and the buyer of a payment intangible has the same rights as other secured parties under the UCC) is determined in general on the basis of the “first to file or perfect” rule. As a practical matter, at the time the Issuer’s financing statement is filed, there would be no way to determine authoritatively that x or y had not previously sold payment intangibles in the form of tax credit certificates to a third party. However, this risk only applies to tax credit certificates and possibly to applications for tax credits, and not to the eligible investments that would be the basis for a subsequent application for tax credits. Those eligible investments are considered general intangibles, not payment intangibles, and a security interest in them cannot be perfected without the filing of a financing statement. The applications for tax credits, the tax credit certificates that may be issued in respect of those applications, the requests to the State of Alaska to purchase those tax credit certificates, and the funds that are used to effect those purchases are each in turn proceeds of the general intangibles, and the party that holds the first position security interest in those general intangibles will retain that priority as to each form of proceeds