What is a General Intangible? A Comprehensive Legal Overview
Definition & meaning
A "general intangible" refers to a type of personal property as defined by the Uniform Commercial Code (UCC). This category includes various forms of property that are not classified as accounts, chattel paper, commercial tort claims, deposit accounts, documents, goods, instruments, investment property, letter-of-credit rights, letters of credit, money, or oil, gas, and other minerals before extraction. Additionally, general intangibles encompass payment intangibles and software. Essentially, it covers a wide range of non-physical assets that can hold value or rights.
Table of content
Everything you need for legal paperwork
Access 85,000+ trusted legal forms and simple tools to fill, manage, and organize your documents.
General intangibles are commonly encountered in various areas of law, including commercial law and bankruptcy. They are significant in transactions involving secured interests, where creditors may seek to secure loans with these intangible assets. Users can manage related legal processes using templates from US Legal Forms, which can help in drafting necessary documentation for transactions involving general intangibles.
Key Legal Elements
Real-World Examples
Here are a couple of examples of abatement:
Here are a couple of examples of general intangibles:
A software license that allows a business to use a specific program is considered a general intangible.
A company's trademark rights, which provide the exclusive right to use a brand name, also fall under general intangibles. (hypothetical example)
Relevant Laws & Statutes
The primary legal framework governing general intangibles is the Uniform Commercial Code (UCC), particularly Article 9, which deals with secured transactions. This article outlines how general intangibles can be used as collateral for loans and the rights of creditors in such transactions.
Comparison with Related Terms
Term
Definition
Differences
Accounts
Receivables owed to a business for goods or services.
Accounts are a specific type of intangible asset, while general intangibles encompass a broader range.
Chattel Paper
Documents that evidence a monetary obligation and a security interest in specific goods.
Chattel paper is a specific category of general intangibles that involves both a financial obligation and a security interest.
Common Misunderstandings
What to Do If This Term Applies to You
If you believe you have general intangibles that may be relevant in a legal context, consider the following steps:
Review your assets to identify any general intangibles.
Consult legal templates from US Legal Forms to draft necessary documents.
If your situation is complex, seek advice from a legal professional to ensure compliance with relevant laws.
Quick Facts
Attribute
Details
Typical Fees
Varies based on legal services; consult local attorneys for estimates.
Jurisdiction
Applicable across all states under the UCC.
Possible Penalties
Non-compliance with UCC regulations may lead to loss of rights in the intangible.
Key Takeaways
FAQs
Examples include software licenses, trademarks, and patents.
They can be secured through agreements under the UCC, allowing creditors to claim them in case of default.
Yes, general intangibles can often be used as collateral for loans or other financial agreements.
