[Kevin Henry-Seacoast]

I don't see this happening because the UCC of the MCA company is subordinated to the bank's UCC. The banks retain first position in case of default.

MCN-That is if the senior lender knows about the MCA and there is a subordination agreement in place. I have seen dozens of case where the senior lender did not know their client took out the MCA and their was no subordination agreement in place.