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84-9-506. Effect of errors or omissions. (a) Minor errors and omissions. A financing statement substantially satisfying the requirements of this part is effective, even if it has minor errors or omissions, unless the errors or omissions make the financing statement seriously misleading.

(b) Financing statement seriously misleading. Except as otherwise provided in subsection (c), a financing statement that fails sufficiently to provide the name of the debtor in accordance with K.S.A. 2023 Supp. 84-9-503(a), and amendments thereto, is seriously misleading.

(c) Financing statement not seriously misleading. If a search of the records of the filing office under the debtor's correct name, using the filing office's standard search logic, if any, would disclose a financing statement that fails sufficiently to provide the name of the debtor in accordance with K.S.A. 2023 Supp. 84-9-503(a), and amendments thereto, the name provided does not make the financing statement seriously misleading.

(d) "Debtor's correct name." For purposes of K.S.A. 2023 Supp. 84-9-508(b), and amendments thereto, the "debtor's correct name" in subsection (c) means the correct name of the new debtor.

History: L. 2000, ch. 142, § 77; July 1, 2001.


This section does not vary from the 1995 Official Text and has not been amended in Kansas since 1975. The right of redemption granted by this section is given to the primary obligor, any third party who may be liable such as a guarantor, and any subordinate secured creditor who is aware of the foreclosure. The right of redemption exists until the secured party has disposed or contracted to dispose of the collateral under 84-9-504 or 84-9-505(2). An executory contract to sell the collateral would presumably cut off the debtor's redemption rights. Once the right of redemption is cut off, the debtor no longer has an interest in the collateral. In bankruptcy, this would mean that the automatic stay under 11 U.S.C. § 362 would no longer apply. In order to effect a redemption, the debtor must tender fulfillment of the obligation secured, together with expenses (which can include attorney fees, see Kansas Comment 1996 to 84-9-504). It would not be enough to tender a single missing installment if the note contained an acceleration clause. But see K.S.A. 16a-5-109, 16a-5-110 and 16a-5-111, and compare the right of redemption with respect to real estate under K.S.A. 60-2414. In Kansas, the right to redeem real estate is more jealously guarded than the right to redeem personalty under this section, presumably on the ground that a person's home is the castle. Also compare a bankrupt's right to redeem consumer goods under § 722 of the Bankruptcy Code (11 U.S.C. § 722).

The right of redemption can be a valuable right if the debtor can obtain the needed financing from another source. It could save the parties a considerable amount and avoid litigation regarding the reasonableness of the disposition and the price received for the proceeds.

Revisor's Note:

Former section 84-9-506 was repealed by L. 2000, ch. 142, § 155 and the number reassigned to the current text.

Law Review and Bar Journal References:

"Recovery of Attorney Fees in Kansas," Mark A. Furney, 18 W.L.J. 535, 544 (1979).

"Creditor Beware: From Default Through Deficiency Judgment," Wanda M. Temm, 60 J.K.B.A. No. 8, 17, 20 (1991).

"Revised Article 9 in Kansas," Hon. John K. Pearson, 51 K.L.R. 769, 817, 820, 821 (2003).

"A Brief Overview of Revised Article 9 in Kansas," John K. Pearson and J. Scott Pohl, 72 J.K.B.A. No. 8, 22 (2003).


1. Repossessed household goods in hands of lender/creditor with nonpossessory, nonpurchase money security interest as not exempt examined. In re Ferguson, 67 B.R. 246, 249, 253 (1986).

2. Notification under 84-9-504(3) misrepresenting redemption rights unreasonable as a matter of law. Topeka Datsun Motor Co. v. Stratton, 12 Kan. App. 2d 95, 103, 104, 736 P.2d 82 (1987).

3. Debtor had right at any time to redeem repossessed collateral before disposition by creditor. Clark v. Associates Commercial Corp., 820 F. Supp. 562, 563, 565 (1993).

4. Burden is on filing creditor to correctly list debtor's name; searching creditors not required to conduct multiple searches using variation of name (first name, Rodger, misspelled as Roger). Pankratz Implement Co. v. Citizens Nat'l Bank, 33 K.A.2d 279, 102 P.3d 1165 (2004).

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