NORTH CAROLINA GENERAL ASSEMBLY
1979 SESSION

CHAPTER 594
HOUSE BILL 456

AN ACT TO DEFINE OBLIGATORY FUTURE ADVANCES. 

The General Assembly of North Carolina enacts:

Section 1.  G.S. 45-70(a) is amended to read as follows:
"§ 45-70.  Priority of security instrument. — (a) Any security instrument which conforms to the requirements of this Article and which on its face shows that the making of future advances is obligatory, shall, from the time and date of registration thereof, have the same priority to the extent of all obligatory future advances secured by it, as if all the advances had been made at the time of the execution of the instrument. An advance shall be deemed obligatory if the secured party has bound himself to make it, whether or not a subsequent event of default or other event not within his control has relieved or may relieve him from his obligation."
Sec. 2.  This act is effective upon ratification.
In the General Assembly read three times and ratified, this the 21st day of May, 1979.