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Creditors' Self-Help Remedies Under Ucc Section 9-503: Violative Of Due Process In Texas., David Hughes
Creditors' Self-Help Remedies Under Ucc Section 9-503: Violative Of Due Process In Texas., David Hughes
St. Mary's Law Journal
In Sniadach v. Family Fiance Corp. and Fuentes v. Shevin, the Supreme Court stated that the due process clause of the 14th Amendment requires notice and an opportunity to be heard before seizing property under color of state law. Accordingly, creditor self-help repossession under Section 9.503 of the Uniform Commercial Code, and its Texas counterpart, are now constitutionally suspect, which can be seen in the numerous constitutional attacks in federal courts. Because deprivation of due process requires some form of state action, numerous cases have litigated the scope of state action. To find state action, there must be conduct of …