UCC Experts Corner: Court Refuses to Order Expungement of False Financing Statement

The filing of false or fraudulent Uniform Commercial Code (UCC) financing statements has long been a problem. Although the number of such records filed is relatively small, they can have a serious impact on the victim named as debtor. These false financing statements are used to intimidate, harass, or defraud another party. The victims are often government officials or those involved in legal proceedings against the filer, such as prosecutors, judges, and foreclosing creditors.