Article 47 - Acceptance rights of Secured Party

(1) Subject to Article 48, in the event of Default under a Security Agreement, a Secured Party may accept Collateral in full or partial satisfaction of the obligation secured by it if either
(A) the Debtor consents in writing;
or
(B) the Secured Party sends to the Debtor after Default a proposal to accept Collateral in full or partial satisfaction of the obligation it secures; and
(C) the proposal is unconditional or subject only to a condition that Collateral not in possession of the Secured Party be preserved or maintained; and
(D) the Secured Party does not receive written notice of objection from the Debtor within 10 Business Days after the proposal is sent
(2) Acceptance by a Secured Party of Collateral in full or partial satisfaction of the obligation it secures:
(A) discharges the obligation to the extent consented to or not objected to by the Debtor;
(B) transfers to the Secured Party all of the Debtor's rights in the Collateral;
(C) discharges the Security Interest which is the subject of the Debtor's consent and any subordinate Security Interest to the extent that it relates to that Collateral; and
(D) terminates any other subordinate interest in that Collateral,
and all obligations secured by the Security Interest and any subordinate Security Interest to the extent that it relates to that Collateral are deemed to be performed.