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Form a Business

Secured party not obligated on contract of debtor or in tort.

MCL 440.9402
in effect
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440.9402. Secured party not obligated on contract of debtor or in tort. Sec. 9402. The existence of a security interest, agricultural lien, or authority given to a debtor to dispose of or use collateral, without more, does not subject a secured party to liability in contract or tort for the debtor's acts or omissions. 1962, Act 174, Eff. Jan. 1, 1964; Am. 1978, Act 369, Eff. Jan. 1, 1979; Am. 1980, Act 53, Imd. Eff. Mar. 27, 1980; Am. 1988, Act 130, Eff. Sept. 1, 1988; Am. 1989, Act 216, Imd. Eff. Nov. 27, 1989; Am. 1998, Act 489, Imd. Eff. Jan. 4, 1999; Am. 2000, Act 348, Eff. July 1, 2001
Source: Michigan Legislature (legislature.mi.gov)URL: https://legislature.mi.gov/Laws/MCL?objectName=mcl-440-9402Fetched: 10/20/2026

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