Section 9--109. Scope.

(a) General scope of article. Except as otherwise provided in
subsections (c) and (d), this article applies to:

(1) a transaction, regardless of its form, that creates a

security interest in personal property or fixtures by

contract;

(2) an agricultural lien;

(3) a sale of accounts, chattel paper, payment intangibles, or

promissory notes;

(4) a consignment;

(5) a security interest arising under Section 2--401, 2--505,

2--711(3), or 2-A-508(5), as provided in Section 9--110;

(6) a security interest arising under Section 4--210 or 5--118;

and

(7) a security interest in a cooperative interest.

(b) Security interest in secured obligation. The application of this
article to a security interest in a secured obligation is not affected
by the fact that the obligation is itself secured by a transaction or
interest to which this article does not apply.

(c) Extent to which article does not apply. This article does not
apply to the extent that:

(1) a statute, regulation, or treaty of the United States

preempts this article;

(2) another statute of this State expressly governs the creation,

perfection, priority, or enforcement of a security interest

created by this state or a governmental unit of this state;

(3) a statute of another state, a foreign country, or a

governmental unit of another state or a foreign country,

other than a statute generally applicable to security

interests, expressly governs creation, perfection, priority,

or enforcement of a security interest created by the state,

country, or governmental unit; or

(4) the rights of a transferee beneficiary or nominated person

under a letter of credit are independent and superior under

Section 5--114.

(d) Inapplicability of article. This article does not apply to:

(1) a landlord's lien, other than an agricultural lien, or a

security interest in a cooperative interest;

(2) a lien, other than an agricultural lien, given by statute or

other rule of law for services or materials, but Section

9--333 applies with respect to priority of the lien;

(3) an assignment of a claim for wages, salary, or other

compensation of an employee;

(4) a sale of accounts, chattel paper, payment intangibles, or

promissory notes as part of a sale of the business out of

which they arose;

(5) an assignment of accounts, chattel paper, payment

intangibles, or promissory notes which is for the purpose of

collection only;

(6) an assignment of a right to payment under a contract to an

assignee that is also obligated to perform under the

contract;

(7) an assignment of a single account, payment intangible, or

promissory note to an assignee in full or partial

satisfaction of a preexisting indebtedness;

(8) a transfer of an interest in or an assignment of a claim

under a policy of insurance or contract for an annuity

including a variable annuity other than an assignment by or

to a health-care provider of a health-care-insurance

receivable and any subsequent assignment of the right to

payment, but Sections 9--315 and 9--322 apply with respect to

proceeds and priorities in proceeds;

(9) an assignment of a right represented by a judgment, other

than a judgment taken on a right to payment that was

collateral;

(10) a right of recoupment or set-off, but:

(A) Section 9--340 applies with respect to the effectiveness

of rights of recoupment or set-off against deposit

accounts; and

(B) Section 9--404 applies with respect to defenses or claims

of an account debtor;

(11) the creation or transfer of an interest in or lien on real

property, including a lease or rents thereunder, except to

the extent that provision is made for:

(A) liens on real property in Section 9--203 and 9--308;

(B) fixtures in Section 9--334;

(C) fixture filings in Sections 9--501, 9--502, 9--512,

9--516, and 9--519;

(D) security agreements covering personal and real property

in Section 9--604; and

(E) security interests in cooperative interests;

(12) an assignment of a claim arising in tort, other than a

commercial tort claim, but Sections 9--315 and 9--322 apply

with respect to proceeds and priorities in proceeds; or

(13) an assignment of a deposit account in a consumer

transaction, but Sections 9--315 and 9--322 apply with

respect to proceeds and priorities in proceeds.