X-Nico

unusual facts about After-acquired property


After-acquired property

An example would be Colonel Sanders pretends to sell "My Old Kentucky Home" to Daniel Boone for $1000 (US) but does not own the property at the time and then uses the money to actually buy that same property from the true owner.



see also

Floating charge

As it had become clear that creditors and debtors were going to find ways to create enforceable de facto security interests in after-acquired property and general intangibles whether courts liked it or not, the UCC drafters in the 1940s (particularly Grant Gilmore) successfully argued that such interests should be legitimized and simplified in the form of the floating lien.