Question

Stewart grants Julie a security interest in 500 shares of stock in his company in exchange for a loan. Stewart makes his loan payments on time, and his business is growing and successful. When the loan is nearly repaid, Stewart is in a car accident and is unable to work for a few months. He could sell his company were it not encumbered by Julie's security interest. Julie: a. must abide by the original terms; once a financing statement is filed, it is permanent until it is fully paid according to the filing. b. may require Stewart to accelerate his payments because of her insecurity about his ability to pay her. c. may release her interest in the stock by filing an amendment. d. may request an accounting from Stewart.

Answer 1

The answer is C. may release her interest in the stock by filing an amendment.

Step-by-step explanation: