Section 9--313. When Possession by or Delivery to Secured Party Perfects Security Interest Without Filing

(a) Perfection by possession or delivery. Except as otherwise provided
  in  subsection  (b),  a secured party may perfect a security interest in
  negotiable documents, goods, instruments,  money,  or  tangible  chattel
  paper  by  taking  possession  of  the  collateral.  A secured party may
  perfect  a  security  interest  in  certificated  securities  by  taking
  delivery of the certificated securities under Section 8--301.
    (b) Goods  covered  by  certificate  of  title.  With respect to goods
  covered by a certificate of title issued by this state, a secured  party
  may perfect a security interest in the goods by taking possession of the
  goods only in the circumstances described in Section 9--316(d).
    (c) Collateral in possession of person other than debtor. With respect
  to  collateral other than certificated securities and goods covered by a
  document,  a  secured  party  takes  possession  of  collateral  in  the
  possession  of  a  person other than the debtor, the secured party, or a
  lessee of the collateral from the debtor in the ordinary course  of  the
  debtor's business, when:
         (1) the person in possession authenticates a record acknowledging
             that  it  holds  possession of the collateral for the secured
             party's benefit; or
         (2) the person takes possession of the  collateral  after  having
             authenticated  a  record  acknowledging  that  it  will  hold
             possession of collateral for the secured party's benefit.
    (d) Time of perfection by possession; continuation of  perfection.  If
  perfection  of  a  security  interest  depends  upon  possession  of the
  collateral by a secured party, perfection occurs  no  earlier  than  the
  time  the  secured  party  takes possession and continues only while the
  secured party retains possession.
    (e) Time of perfection by  delivery;  continuation  of  perfection.  A
  security  interest  in  a  certificated  security  in registered form is
  perfected by delivery when delivery of the certificated security  occurs
  under  Section 8--301 and remains perfected by delivery until the debtor
  obtains possession of the security certificate.
    (f) Acknowledgment not required. A person in possession of  collateral
  is  not  required  to acknowledge that it holds possession for a secured
  party's benefit.
    (g) Effectiveness of acknowledgment; no duties or confirmation.  If  a
  person  acknowledges  that  it  holds possession for the secured party's
  benefit:
         (1) the acknowledgment  is  effective  under  subsection  (c)  or