Section 9--513. Termination Statement.

(a) Consumer goods. A secured party shall cause the secured party of
record for a financing statement to file a termination statement for the
financing statement if the financing statement covers consumer goods
and:

(1) there is no obligation secured by the collateral covered by

the financing statement and no commitment to make an advance,

incur an obligation, or otherwise give value; or

(2) the debtor did not authorize the filing of the initial

financing statement.

(b) Time for compliance with subsection (a). To comply with subsection
(a), a secured party shall cause the secured party of record to file the
termination statement:

(1) within one month after there is no obligation secured by the

collateral covered by the financing statement and no

commitment to make an advance, incur an obligation, or

otherwise give value; or

(2) if earlier, within 20 days after the secured party receives

an authenticated demand from a debtor.

(c) Other collateral. In cases not governed by subsection (a), within
20 days after a secured party receives an authenticated demand from a
debtor, the secured party shall cause the secured party of record for a
financing statement to send to the debtor a termination statement for
the financing statement or file the termination statement in the filing
office if:

(1) except in the case of a financing statement covering accounts

or chattel paper that has been sold or goods that are the

subject of a consignment, there is no obligation secured by

the collateral covered by the financing statement and no

commitment to make an advance, incur an obligation, or

otherwise give value;

(2) the financing statement covers accounts or chattel paper that

has been sold but as to which the account debtor or other

person obligated has discharged its obligation;

(3) the financing statement covers goods that were the subject of

a consignment to the debtor but are not in the debtor's

possession; or

(4) the debtor did not authorize the filing of the initial

financing statement.

(d) Effect of filing termination statement. Except as otherwise
provided in Section 9--510, upon the filing of a termination statement
with the filing office, the financing statement to which the termination
statement relates ceases to be effective. Except as otherwise provided
in Section 9--510, for purposes of Section 9--519(g), 9--522(a), and
9--523(c), the filing with the filing office of a termination statement
relating to a financing statement that indicates that the debtor is a
transmitting utility also causes the effectiveness of the financing
statement to lapse.

(e) Cooperative Interests.

(1) "Cooperative Interest Settlement" means the time and place at

which an owner of a cooperative interest transfers the

cooperative interest, or refinances or pays off the debt

secured by the cooperative interest.

(2) Upon an authenticated demand with sufficient notice by a

debtor, the secured party shall deliver to a cooperative

interest settlement a termination statement or partial

release and any component of the cooperative record of which

it took possession, which shall be released to the debtor

upon payment of the debt secured by the cooperative interest

and the discharge of any obligation of the secured party to

make further advances. Unless the secured party has agreed

otherwise or the cooperative interest settlement takes place

at the offices of the secured party, the secured party or its

agent shall be entitled to a reasonable fee for attendance at

the cooperative interest settlement.

(3) Upon payment of the debt secured by a cooperative interest

other than at a cooperative interest settlement and the

discharge of any obligation of the secured party to make

further advances, the secured party shall arrange for a

termination statement or partial release to be filed within

one month of receipt of the payment or discharge of the

obligation to make further advances, whichever is later, and

shall send to the debtor any component of the cooperative

record of which it took possession.