Also known as: accessions to wealth · accession
Written by attorneys · grounded in primary & secondary sources — see below
Goods that are physically united with other goods in such a manner that the identity of the original goods is not lost. The concept governs continuation and perfection of security interests after integration.
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Angela Acosta purchased a modular sound system from Aether Technologies under a security agreement. Aether filed a financing statement covering the system. Angela then mounted the equipment onto her outreach van, which was already subject to a certificate-of-title lien held by Atlas Ventures. When Angela defaulted, Aether's security interest continued in the sound system as an accession despite the mounting.
Arthur Abrams bought an MRI coil from Argonaut Shipping under a financing agreement and granted Argonaut a security interest in the coil alone. Argonaut filed a financing statement describing only the coil. Arthur bolted the coil into an existing MRI machine already encumbered by a security interest held by Ashford Manufacturing. Because Argonaut's interest was perfected at the moment of integration, the interest remained perfected in the coil after it became an accession.
Goods become accessions when they are physically united with other goods in such a manner that the identity of the original goods is not lost.
A security interest may be created in an accession and continues in collateral that becomes an accession.
If a security interest is perfected when the collateral becomes an accession, the security interest remains perfected in the collateral.