30 KAR 5:060. Search requests and reports.

      RELATES TO: KRS 355.9-519, 355.9-523, 355.9-525

      STATUTORY AUTHORITY: KRS 355.9-526(1)

      NECESSITY, FUNCTION, AND CONFORMITY: KRS 355.9-526(1) requires the Secretary of State to promulgate administrative regulations implementing Article 9 of KRS Chapter 355. This administrative regulation establishes the requirements governing search requests and reports.

      Section 1. General Requirements. The filing officer shall maintain for public inspection a searchable index for all UCC records. The index shall provide for the retrieval of:

      (1) A record by the name of the debtor and by the file number of the initial financing statement; and

      (2) Each filed UCC record relating to the initial financing statement.

      Section 2. Standardized Search Requests. Standardized search requests shall contain the following information:

      (1) Name searched. A search request shall set forth the correct name of the debtor to be searched and shall specify whether the debtor is an individual or an organization. A search request shall be processed using the name in the exact form it is submitted.

      (2) Requesting party. The search request shall include the name and address of the person to whom the search report is to be sent if the request is in writing.

      (3) Fee. The appropriate fee shall be enclosed if the request is in writing.

      (4) Search request with filing. If a filer requests a search at the time a UCC record is filed, the name searched shall be the debtor name as set forth on the record. The requesting party shall be the remitter of the UCC record, and the search request shall be deemed to request a search that would retrieve all financing statements filed on or prior to the certification date and time, which is normally two (2) business days prior to the date of the search. The search shall not include any active financing statements against the designated debtor or debtors filed after that certificate date and time and shall not include the current financing statement.

      Section 3. Rules Applied to Standardized Search Requests. Standardized search results shall be produced by the application of standardized search logic, without application of human judgment, to the name presented to the filing officer. The following rules shall apply to standardized searches:

      (1) There shall not be a limit to the number of matches that may be returned in response to the search criteria.

      (2) Distinction shall not be made between upper and lower case letters.

      (3) Punctuation marks and accents shall be disregarded.

      (4) Words and abbreviations at the end of a name that indicate the existence or nature of an organization shall be disregarded.

      (5) The word "the" at the beginning of the search criteria shall be disregarded.

      (6) All spaces shall be disregarded.

      (7) For first and middle names of individuals, initials shall be treated as the logical equivalent of all names that begin with the initials, and first names and no middle name or initial is equated with all middle names and initials.

      (8) After using the requirements established in subsections (1) to (7) of this section to modify the name to be searched the search, shall reveal only names of debtors that are contained in active financing statements and exactly match the name requested, as modified.

      Section 4. Optional Information. A search request may contain any of the following information:

      (1) The request may limit the records requested by limiting them by the address of the debtor, the city of the debtor, the date of filing or range of filing dates or the identity of the secured party on the financing statement.

      (2) The request may ask for copies of UCC records identified on the primary search response if the search request is tendered in writing.

      (3) Instruction on the mode of delivery desired, if other than by ordinary mail, which request may be honored if the requested mode is available to the filing office.

      Section 5. Standardized Search Responses. Reports created in response to a standardized search request shall include the following:

      (1) Filing officer. Identification of the filing officer and the certification of the filing officer.

      (2) Report date. The date the report was generated.

      (3) Name searched. Identification of the name searched.

      (4) Certification date. The certification date and time for which the search is effective.

      (5) Identification of initial financing statements. Identification of each active initial financing statement filed on or prior to the certification date and time corresponding to the search criteria, by name of debtor, by identification number, and by file date and file time.

      (6) History of financing statement. For each initial financing statement on the report, a listing of all related UCC records filed by the filing officer on or prior to the certification date.

      (7) Copies. Copies of all UCC records revealed by the search and requested by the searcher. Copies of UCC records shall not be available for electronic search requests. (28 Ky.R. 1001; Am. 1348; eff. 12-19-2001.)