After securing a hefty line of credit from her hotelier father, Paris Hilton was finally able to realize her dream of opening a motorcycle boutique – That’s Hot, LLC, organized under California law. Wanting to set herself apart from all other stores, however, Paris decided to only have pink, glittery motorcycles available for short or long term rental by serious road warriors – bikers who want to hit the road for days, weeks, or even months at a time. Her father, Rick, plans to take a security interest in all of the presently-owned and after-acquired motorcycles in the business. However, he knows how flighty Paris can be and wants to make sure his security interest is perfected in all of the motorcycles. Rick should:
1. Convince Paris to give up on this dream, as it will only end up as unsuccessful as her singing and DJ careers.
2. Perfect his security interest in each motorcycle by complying with California’s certificate of title act.
3. Perfect his security interest in the motorcycles by filing a UCC-1 in the local recorder of deeds office in the county in which That's Hot, LLC operates the boutique.
4. Perfect his security interest in the motorcycles by filing a UCC-1 in California’s central filing office.