Proceeds
Whatever the grantor gets when it deals with the collateral, such as money from selling it.
A security interest continues into identifiable proceeds. Ticking 'proceeds' on a registration, together with a trust-over-proceeds clause in the supply terms, lets a supplier claim the money a customer received for goods sold before paying for them.
Related terms
- Collateral — The personal property the security interest is over.
Need this registered, not just defined?
Free check: am I covered?