Clarifying the Purpose and Professional Use of the UCC-1 Financing Statement

The UCC-1 Financing Statement is a recognized and lawful filing under Article 9 of the Uniform Commercial Code, used to publicly record a security interest between a named debtor and a secured party. This filing is not based on fringe or pseudo-legal theory—it is a legitimate commercial tool used by legal professionals, trustees, and sophisticated financial planners for asset protection and commercial structuring.

This method is routinely employed in advanced estate and wealth planning by elite families, private investors, and financial professionals to:

• Protect intellectual and personal property,

• Secure interests in business assets and contractual rights,

• Provide legal notice to third parties and creditors.

Correct Structuring of Your Filing

• The Debtor should be the legal person whose property or commercial interests are encumbered.

• The Secured Party should be the trust, entity, or individual holding the perfected interest (e.g., your revocable living trust).

Your UCC-1 should be precise and limited to the transaction at hand. Do not include additional individuals, sovereign citizen language, or speculative claims. Doing so can invalidate your filing or raise unnecessary scrutiny.

Best Practices

• File only one UCC-1 per secured relationship or collateral class.

• Maintain accuracy: update your filing every five years using a UCC-3 Continuation Statement to preserve your perfected interest.

• Avoid fringe terminology: Stick to standard, professional legal and financial language to ensure your filing is recognized and respected by financial institutions and legal entities.

This is a tool of legitimate financial strategy, not activism or theory. Used correctly, it provides real legal standing for trusts and secured parties in commercial transactions.