On March 1, Borrower leased a unit of inventory to Lessee. The lease described the unit and obligated Lessee to pay $150 per month for three years. On March 5, Borrower sold and delivered the lease to FinCo, an entity in the business of buying commerci

On March 1, Borrower leased a unit of inventory to Lessee. The lease described the unit and obligated Lessee to pay $150 per month for three years. On March 5, Borrower sold and delivered the lease to FinCo, an entity in the business of buying commercial paper (including leases). Before buying the lease, FinCo ordered a UCC search report against Borrower and discovered Lender's financing statement.

) Lender's security interest does not extend to the lease.

) Lender has an unperfected security interest in the lease

Lender has a perfected security interest in the lease, but FinCo's interest in the lease enjoys priority

Lender has a perfected security interest in the lease that enjoys priority over FinCo's interest.

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