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A BILL TO BE ENTITLED
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AN ACT
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relating to marketing contracts and agricultural liens. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 70.4045(c), Property Code, is amended to |
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read as follows: |
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(c) Notwithstanding Chapter 9, Business & Commerce |
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Code, a lien created and perfected under this subchapter has |
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priority over a conflicting security interest in or lien on the |
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agricultural crop or the proceeds from the sale of the crop created |
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by the contract purchaser in favor of a third party, [other than
a
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cotton ginner's lien
created under Section 70.003(d),] regardless |
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of the date the security interest or lien created by the contract |
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purchaser attached. This subsection does not: [affect a security
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interest or lien
created and perfected to
secure a loan directly to
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the agricultural producer.] |
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(1) affect the validity or priority of a security interest |
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or lien created and perfected to secure a loan directly to the |
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agricultural producer; |
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(2) affect the validity or priority of a cotton ginner's |
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lien created under Section 70.003(d); |
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(3) apply to a contract purchaser who purchases an |
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agricultural crop from an agricultural producer pursuant to a |
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marketing contract created under Section 52.016, Agriculture Code, |
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or under Title 7, USC (specifically Chapter 35A, Subchapter I, § |
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1421, and Subchapter II, § 1441, and Chapter 106, Subchapter II, §§ |
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7931-7939) and Title 15, Chapter 15, Subchapter II, USC (statutes |
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relating to the Commodity Credit Corporation, and specifically §§ |
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714b, 714c, and 714j). |
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SECTION 2. This Act takes effect September 1, 2017. |