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{\title IN THE SUPREME COURT OF GUAM}{\author lroberto}{\operator blake_r}{\creatim\yr2005\mo8\dy12\hr9\min3}{\revtim\yr2006\mo3\dy14\hr7\min45}{\version5}{\edmins2}{\nofpages10}{\nofwords4216}{\nofchars24035}{\*\company Superior Court of Guam}
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Bank of Guam v.  Del Priore}{\fs20\insrsid11152835 , Opinion\tab Page }{\field{\*\fldinst {\fs20\insrsid11152835 PAGE }}{\fldrslt {\fs20\lang1024\langfe1024\noproof\insrsid6960145 10}}}{\fs20\insrsid11152835  of 17
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\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\insrsid11152835\charrsid6960145 IN THE SUPREME COURT OF GUAM}{\insrsid6960145 
\par 
\par }{\b\insrsid11152835\charrsid6960145 BANK OF GUAM}{\insrsid11152835\charrsid6960145 
\par Plaintiff-Appellee/ Cross-Appellant
\par 
\par }{\b\insrsid11152835\charrsid6960145 vs.}{\insrsid11152835\charrsid6960145 
\par 
\par }{\b\insrsid11152835\charrsid6960145 DANIEL R. DEL PRIORE}{\insrsid11152835\charrsid6960145 
\par Defendant-Appellant/ Cross-Appellee}{\insrsid6960145 
\par 
\par }{\b\insrsid11152835\charrsid6960145 OPINION}{\insrsid6960145 
\par 
\par }{\b\insrsid11152835\charrsid6960145 Filed: May 17, 2001}{\b\insrsid6960145 
\par 
\par }{\b\insrsid11152835\charrsid6960145 Cite as: 2001 Guam 10}{\insrsid6960145 
\par 
\par }{\insrsid11152835\charrsid6960145 Supreme Court Case No.: CVA99-043
\par Superior Court No.: CV1022-98}{\insrsid6960145 
\par 
\par }{\insrsid11152835\charrsid6960145 Appeal from the Superior Court of Guam
\par Argued and submitted on October 25, 2000
\par Hag\'e5t\'f1a, Guam
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\par }{\ul\insrsid11152835\charrsid6960145 Appearing for Plaintiff-Appellee/
\par Cross-Appellant:}{\insrsid11152835\charrsid6960145 
\par Michael J. Berman, Esq.
\par Berman, O}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 Connor & Mann
\par Suite 503, Bank of Guam Bldg.
\par 111 Chalan Santo Papa
\par Hag\'e5t\'f1a, Guam 96910\cell 
\par }{\ul\insrsid11152835\charrsid6960145 Appearing for Defendant-Appellant/
\par Cross-Appellee}{\insrsid11152835\charrsid6960145 :
\par Daniel R. Del Priore, }{\i\insrsid11152835\charrsid6960145 Pro Se}{\insrsid11152835\charrsid6960145 
\par Suite A12-115, GCIC Bldg.
\par 414 W. Soledad Ave.
\par Hag\'e5t\'f1a, Guam 96910
\par \cell }\pard \ql \li0\ri0\widctlpar\intbl\aspalpha\aspnum\faauto\adjustright\rin0\lin0 {\insrsid11152835\charrsid6960145 \trowd \irow0\irowband0\lastrow 
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\par }{\insrsid11152835\charrsid6960145 BEFORE: BENJAMIN J. F. CRUZ, Chief Justice, PETER C. SIGUENZA, JR., Associate Justice, and RICHARD H. BENSON, Designated Justice.
\par 
\par }{\b\insrsid11152835\charrsid6960145 CRUZ, C.J.:}{\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [1]}{\insrsid11152835\charrsid6960145 \tab Bank of Guam filed an action in the Superior Court of Guam for judicial foreclosure of a security interest given by Daniel R. Del Priore (hereinafter }{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 Del Priore}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 ) to secure a ship mortgage.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Subsequent to filing the action, Bank of Guam repossessed the collateral and sold it at public sale.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 Because the foreclosure sale did not yield proceeds sufficient to satisfy the outstanding debt, the Superior Court awarded Bank of Guam a deficiency judgment.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 On appeal, Del Priore argues that Bank of Guam}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s failure to plead and prove the notice requirement of 13 GCA }{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3) bars recovery of a deficiency.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
We agree and therefore vacate the deficiency judgment.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [2]}{\insrsid11152835\charrsid6960145 \tab Bank of Guam filed a Counter-Appeal, arguing that the trial court erred in awarding attorney fees less than the amount it requested without providing reason
s for its reduction.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Because we vacate the deficiency judgment, we hold that Bank of Guam is not entitled to attorney fees.
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 I.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [3]}{\insrsid11152835\charrsid6960145 \tab In January of 1990, Del Priore and his wife purchased a boat, the Sunflower (hereinafter }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 vessel}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
), through the Bank of the Orient and brought the vessel to Guam.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 On March 26, 1990, the Del Priores executed and delivered a First Preferred Mortgage to the Bank of the 
Orient to secure the payment of the promissory note executed on June 20, 1990.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The note was a promise to pay to the Bank of the Orient an amount of $228,750.00 in monthly installments.}{\insrsid6960145 
 }{\insrsid11152835\charrsid6960145 Bank of Guam (hereinafter }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 Bank}{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 ) obtained ownership of the financial documents pertaining to this transaction.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [4]}{\insrsid11152835\charrsid6960145 \tab In accordance with the provisions of the promissory note, the Del Priores, as debtors, were required to maintain hull and liability insurance for the vessel.}{\insrsid6960145 
 }{\insrsid11152835\charrsid6960145 The Del Priores obtained insurance from Cassidy}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s Insurance with policy limits of $400,000.00 for physical damage and $1,000,000.00 for liability for a total annual premium amount of $25,012.00.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The policy period began on March of each year.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 The Del Priores fell into arrears in their insurance payments.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Pursuant to the Mortgage Agreement, the Bank renewed the policy on June 13, 1997, after receiving notice of cancellation from Cassidy}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 The total amount of insurance premiums the Bank paid on behalf of the Del Priores prior to foreclosure was $39,019.00.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [5]}{\insrsid11152835\charrsid6960145 \tab The last payment on the note was made on or about August 29, 1997.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
On that date, the amount of outstanding indebtedness was $80,000.00.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 On April 8, 1998, in reaction to the default, the Bank filed a Complaint in the Superior Court of Guam to }{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 Foreclose Security Interest and for Damages}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL
 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  (CV1022-98).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Del Priore filed an Answer and Counter-Claim on May 28, 1998.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 On June 23, 1998, during the pendency of the foreclosure action, the Bank took physical possession of the vessel and moved it from the Agat Marina to a new berthing location.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 The Bank hired security services to protect the vessel while in its possession.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
On September 21, 1998, the Bank sold the vessel, which was appraised at between $35,000.00 and $38,000.00, at a public foreclosure sale for $75,000.00.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 After deducting costs of the sale, i
ncluding insurance costs, security services, moving and appraisal costs, plus interest, the deficiency owed totaled $61,170.54.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
On March 11, 1999, the trial court issued its Findings of Facts and Conclusions of Law, awarding the Bank the claimed deficiency amount of $61,170.54 plus interest and court costs of $70.00, for a total deficiency amount of $61,240.54.}{\insrsid6960145  }
{\insrsid11152835\charrsid6960145 The court issued a Final Judgment on September 9, 1999, awarding the Bank $61,170.54 plus attorney fees of $9,186.08, for a total judgment award of $70,356.62.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
On August 26, 1999, the trial court issued an Order clarifying that the $9,186.08 for attorney fees was reasonable, and re-affirming the prior grant of fees in the same amount.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [6]}{\insrsid11152835\charrsid6960145 \tab Del Priore filed a Notice of Appeal on October 14, 1999.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The Bank filed a Notice of Cross-Appeal on October 20, 1999.

\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 II.}{\insrsid11152835\charrsid6960145 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [7]}{\insrsid11152835\charrsid6960145 \tab This court has jurisdiction over final judgments of the Superior Court pursuant to Title 7 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  3107 and 3108 (1994).
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 III.
\par }\pard \ql \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 A.}{\insrsid11152835\charrsid6960145 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [8]}{\insrsid11152835\charrsid6960145 \tab The determinative issue in this appeal is what effect, if any, the failure to plead and prove the notice requirement of Title 13 GCA }{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3) has on the ability to obtain a deficiency judgment.}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain 
\qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid11152835 \chftn }{\fs20\insrsid11152835 
 Del Priore presents several other issues on appeal.  He argues that the Bank}{\fs20\insrsid12002212 '}{\fs20\insrsid11152835 
s incurrence of costs for insurance, moving, berthing, and security for the vessel prior to and upon repossession were not commercially reasonable.  Beca
use the effect of a failure to provide notice is determinative in this case, we find it unnecessary to resolve and thus decline to address these issues.  We further note that Del Priore does not take issue with the amount received at the foreclosure sale.
  }}}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Because resolution of the issue requires us to interpret relevant provisions of the Uniform Commercial Code of Guam, we conduct a }{\i\insrsid11152835\charrsid6960145 de novo}{
\insrsid11152835\charrsid6960145  review.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Pangelinan v. Gutierrez}{\insrsid11152835\charrsid6960145 , 2000 Guam 11, }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 38 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  7 (recognizing that issues of statutory interpretation are reviewed }{\i\insrsid11152835\charrsid6960145 de novo}{\insrsid11152835\charrsid6960145 ); }{
\i\insrsid11152835\charrsid6960145 Ada v. Guam Telephone Authority}{\insrsid11152835\charrsid6960145 , 1999 Guam 10, }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 38 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid11152835\charrsid6960145  10.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [9]}{\insrsid11152835\charrsid6960145 \tab The Uniform Commercial Code of Guam (hereinafter }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid11152835\charrsid6960145 UCCG}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 ) is found in Title 13 of the Guam Code Annotated.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 Division 9 of the UCCG governs secured transactions.}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain \qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 
\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid11152835 \chftn }{\fs20\insrsid11152835  Division 9 is Guam}{\fs20\insrsid12002212 '}{\fs20\insrsid11152835 s codification of Article 9 of the Uniform Comme
rcial Code (hereinafter }{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835 UCC}{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols"
 \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835 ).  A secured transaction is any transaction that is intended to create a security interest.  }{\i\fs20\insrsid11152835 See }{\fs20\insrsid11152835 Title 13 GCA }{\fs20\insrsid11152835 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835  9102 (1993).  A security interest is an interest in personal property or fixtures that secures the payment or performance of an obligation.  }{
\i\fs20\insrsid11152835 See}{\fs20\insrsid11152835  Title 13 GCA }{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835  1201(37) (1993).}}}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See}{\insrsid11152835\charrsid6960145  Title 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9101 (1993).}
{\insrsid6960145  }{\insrsid11152835\charrsid6960145 As specifically provided for under Division 9, a secured party has a right to sell the collateral upon default, }{\i\insrsid11152835\charrsid6960145 see }{\insrsid11152835\charrsid6960145 Title 13 GCA }
{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(1) (1993), and, unless otherwise agreed, may claim a deficiency.}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See }{\insrsid11152835\charrsid6960145 Title 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
 9504(2) (1993).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Section 9504(3) of the UCCG governs the disposition of collateral upon default and provides:
\par }\pard \qj \li0\ri720\nowidctlpar\faauto\rin720\lin0\itap0\pararsid6960145 {\insrsid6960145 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 Disposition of the collateral may be by public or private proceedings and may be made by one or more contracts.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 Sale or other disposition may be as a unit or in parcels and at any time and place and on any terms, but ever [sic] aspect of the disposition including the method
, manner, time, place and terms must be commercially reasonable.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Unless collateral is perishable and threatens to decline speedily in value or is a type customarily sold on a recognized market,}{
\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 reasonable notification of the time and place of any public s
ale or reasonable notification of the time after which any private sale or other intended disposition is to be made shall be sent by the secured party to the debtor, if he has not signed after default a statement renouncing or modifying his right to notif
ication of sale}{\insrsid11152835\charrsid6960145 .}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 In the case of consumer goods, no other notification need be sent.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
In other cases notification shall be sent to any other secured party from whom the secured party has received (before sending his notification to the debtor or before the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s renunciation of his rights) written notice of a claim of an interest in the collateral.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 
\par Title 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3) (1993) (emphasis added).
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [10]}{\insrsid11152835\charrsid6960145 \tab Thus, section 9504(3) imposes two requirements on a secured party when selling the collateral upon default.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
First, the secured party must dispose of the collateral in a commercially reasonable manner, and second, unless waived by the debtor after default, the secured party must give the debtor reasonable notification of the sale.}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See Liberty Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank v. Greiner}{\insrsid11152835\charrsid6960145 
, 405 N.E.2d 317, 323-24 (Ohio Ct. App. 1978) (holding that the requirements of commercial reasonableness and notice are two separate requirements that must be independently satisfied); }{\i\insrsid11152835\charrsid6960145 Ruden
 v. Citizens Bank and Trust Co.}{\insrsid11152835\charrsid6960145 , 638 A.2d 1225, 1229 (Md. Ct. Spec. App. 1994); }{\i\insrsid11152835\charrsid6960145 Thong v. My River Home Harbour, Inc.}{\insrsid11152835\charrsid6960145 
, 3 S.W.3d 373, 377 (Mo. Ct. App. 1999).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The UCCG is silent as to the consequence of a failure to comply with either of these requirements on a secured party}{\insrsid12002212\charrsid6960145 '}{
\insrsid11152835\charrsid6960145 s ability to obtain a deficiency judgment.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Liberty Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank}{
\insrsid11152835\charrsid6960145 ,}{\i\insrsid11152835\charrsid6960145  }{\insrsid11152835\charrsid6960145 405 N.E.2d at 322; }{\i\insrsid11152835\charrsid6960145 see also Holt v. Peoples Bank}{\insrsid11152835\charrsid6960145 
, 814 S.W.2d 568, 570 (Ky. 1991); }{\i\insrsid11152835\charrsid6960145 Hertz Commercial Leasing Corp. v. Dynatron, Inc.}{\insrsid11152835\charrsid6960145 , 427 A.2d 872, 877 (Conn. Super. Ct. 1980) (interpreting New York}{\insrsid12002212\charrsid6960145 
'}{\insrsid11152835\charrsid6960145 s codification of the UCC); }{\i\insrsid11152835\charrsid6960145 Roanoke Indus. Loan and Thrift Corp. v. Bishop (In Re Bishop)}{\insrsid11152835\charrsid6960145 , 482 F.2d 381, 385 (4th Cir. 1973).}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 Further, case law for this jurisdiction does not provide an answer.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 As the question is one of first 
impression for this court, we proceed to announce a rule on the narrow issue of the effect of the failure to comply with the notice requirement of section 9504(3).}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain 
\qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid11152835 \chftn }{\fs20\insrsid11152835 
 We do not express an opinion as to the separate issue of the effect of non-compliance with the commercial reasonableness requirement of section 9504(3).}}}{\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [11]}{\insrsid11152835\charrsid6960145 \tab  There are three lines of authority regarding the effect of a failure to satisfy the notice requirement of UCC 9-504(3), which is mirrored by 13 GCA }{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3), on the recovery of a deficiency.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The three divergent rules include the rebuttable presumption rule, the set-off rule, and the absolute bar rule.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Connecticut Bank and Trust Co. v. Incendy}{\insrsid11152835\charrsid6960145 
, 540 A.2d 32, 37 (Conn. 1988).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [12]}{\insrsid11152835\charrsid6960145 \tab Some jurisdictions have adopted the rebuttable presumption theory.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See e.g. id.}{\insrsid11152835\charrsid6960145 
 at 38;}{\i\insrsid11152835\charrsid6960145  Butte County Bank v. Hobley}{\insrsid11152835\charrsid6960145 , 707 P.2d 513 (Idaho Ct. App. 1985); }{\i\insrsid11152835\charrsid6960145 see also Lindberg v. Williston Indus. Supply Corp.}{
\insrsid11152835\charrsid6960145 , 411 N.W.2d 368 (N.D. 1987);}{\i\insrsid11152835\charrsid6960145  Landmark First Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank v. Gepetto}{\i\insrsid12002212\charrsid6960145 '}{
\i\insrsid11152835\charrsid6960145 s Tale O}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145  the Whale of Fort Lauderdale, Inc.}{\insrsid11152835\charrsid6960145 , 498 So.2d 920 (Fla. 1986).}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 Under this approach, the creditor must show compliance with the notice requirement of 9-504(3).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 If he fails to meet this burden, a presumption 
arises that the fair market value of the collateral at the time of repossession was equal to the outstanding debt.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Butte County}{\insrsid11152835\charrsid6960145 , 707 P.2d}{
\i\insrsid11152835\charrsid6960145  }{\insrsid11152835\charrsid6960145 at 515 (citation omitted); }{\i\insrsid11152835\charrsid6960145 Lindberg}{\insrsid11152835\charrsid6960145 , 411 N.W.2d}{\i\insrsid11152835\charrsid6960145  }{
\insrsid11152835\charrsid6960145 at 374 (citation omitted).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 This presumption works against the creditor and prevents recovery of a deficiency.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
A court will award a deficiency judgment if the creditor rebuts the presumption by providing evidence of the fair market value at the time of repossession.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Butte County}{
\insrsid11152835\charrsid6960145 , 707 P.2d at 515; }{\i\insrsid11152835\charrsid6960145 Roanoke Indus. Loan and Thrift Corp.}{\insrsid11152835\charrsid6960145 , 482 F.2d at 385-86;}{\i\insrsid11152835\charrsid6960145 
 but cf. Connecticut Bank and Trust Co.}{\insrsid11152835\charrsid6960145 , 540 A.2d at 38-39 (holding that under the rebuttable presumption theory, the creditor must rebut the presumption by showing that he sold the collateral in a commercially reasonabl
e manner).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Upon a showing of the fair market value of the collateral, the creditor will be allowed to recover the lesser of: }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 (a) the difference between the indebtedness and the fair market value of the collater
al sold, or (b) the difference between the indebtedness and the actual amount received upon the sale of the collateral.}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Lindberg}{\insrsid11152835\charrsid6960145 , 411 N.W.2d at 374 (citation omitted).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The creditor cannot rely on the value rec
eived upon the sale as evidence of the fair market value, nor may he rely on testimony of his employees regarding their opinions of the fair market value of the collateral.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id.}{
\insrsid11152835\charrsid6960145  
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [13]}{\insrsid11152835\charrsid6960145 \tab By contrast, a minority of courts has adopted the set-off rule, in which a creditor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s failure to give notice does not preclude recovery of a deficiency; however, the amount recoverable in the deficiency judgment is off set by any damages resulting from such failure.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 
See e.g. Crowder v. Allied Inv. Co.}{\insrsid11152835\charrsid6960145 , 209 N.W.2d 141 (Neb. 1973);}{\i\insrsid11152835\charrsid6960145  Swanson v. May}{\insrsid11152835\charrsid6960145 , 697 P.2d 1013 (Wash. Ct. App. 1985); }{
\i\insrsid11152835\charrsid6960145 see also Connecticut Bank and Trust Co.}{\insrsid11152835\charrsid6960145 , 540 A.2d at 37.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Under this rule, the debtor has the burden to prove damages and must show that he suffered a loss as a result of the creditor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s violation of the notice requirement.}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See Connecticut Bank and Trust Co.}{\insrsid11152835\charrsid6960145 , 540 A.2d at 37.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [14]}{\insrsid11152835\charrsid6960145 \tab Other courts have rejected the above two approaches and instead adopted the absolute bar rule.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 
See e.g. Textron Fin. Corp. v. Trailiner Corp.}{\insrsid11152835\charrsid6960145 , 965 S.W.2d 426 (Mo. Ct. App. 1998); }{\i\insrsid11152835\charrsid6960145 Dependable Ins. Co. v. Landers}{\insrsid11152835\charrsid6960145 
, 421 So.2d 175 (Fla. Dist. Ct. App. 1982); }{\i\insrsid11152835\charrsid6960145 Wilmington Trust Co. v. Conner}{\insrsid11152835\charrsid6960145 , 415 A.2d 773 (Del. 1980); }{\i\insrsid11152835\charrsid6960145 Maryland Nat}{
\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank v. Wathen}{\insrsid11152835\charrsid6960145 , 414 A.2d 1261 (Md. 1980).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Under this rule, compliance with the notice 
requirement is a condition precedent to receiving a deficiency judgment.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Textron Fin. Corp., }{\insrsid11152835\charrsid6960145 965 S.W.2d at 429-30.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 A failure to satisfy this element bars the recovery of a deficiency.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id. }{\insrsid11152835\charrsid6960145 at 432.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [15]}{\insrsid11152835\charrsid6960145 \tab The Bank argues that we should adopt the rule that the failure to plead and prove notice does not completely bar the recovery of a deficiency.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 The Bank relies on }{\i\insrsid11152835\charrsid6960145 Washburn v. Union Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank and Trust Co.}{\insrsid11152835\charrsid6960145 
, 502 N.E.2d 739 (Ill. App. Ct. 1986), for the proposition that the failure to comply with the notice requirement is not fatal to the claim for a deficiency so long as the creditor can show that the sale was commercially reasonable.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 Essentially, the Bank argues in favor of the rebuttable presumption theory in which the creditor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s rights are determined b
y looking primarily to aspects of the foreclosure sale itself.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [16]}{\insrsid11152835\charrsid6960145 \tab In }{\i\insrsid11152835\charrsid6960145 Washburn}{\insrsid11152835\charrsid6960145 , the creditor liquidated the collateral without notifying the debtor of the sale.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 The debtor thereafter }{\i\insrsid11152835\charrsid6960145 sued}{\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 for}{\insrsid11152835\charrsid6960145  }{
\i\insrsid11152835\charrsid6960145 damages}{\insrsid11152835\charrsid6960145 , alleging that the bank-creditor wrongfully sold the collateral without affording the debtor prior notice.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id. }{
\insrsid11152835\charrsid6960145 at 741.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The bank-creditor made a motion for summary judgment on this claim, which was granted.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The debtor appealed.}
{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The debtor argued that a sale without notice rendered the sale commercially unreasonable.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Relying on Article 9-507(2), the court defined commercial 
reasonableness as follows:
\par }\pard \qj \li0\ri720\nowidctlpar\faauto\rin720\lin0\itap0\pararsid6960145 {\insrsid6960145 
\par }\pard \qj \li720\ri720\nowidctlpar\faauto\rin720\lin720\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 
If the secured party either sells the collateral in any recognized market therefor or if he sells at the price current in such market at the time of his sale or if he has otherwise sold in conformity with commercia
l reasonable practices among dealers in the type of property sold he has sold in a commercially reasonable manner.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 
\par }{\i\insrsid11152835\charrsid6960145 See id. }{\insrsid11152835\charrsid6960145 at 742 (quoting Article 9-507(2)).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Upon review of the record, the court held that the creditor followed the usual procedure in arranging the sale, and accepted the highest bid for the collateral.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Moreover, the debtor did not allege that the sale yielded a price below fair market value.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Asserting the rule that }{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 notice is not required where commercial reasonableness is established,}{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\i\insrsid11152835\charrsid6960145  }{\insrsid11152835\charrsid6960145 
the court held that because the sale was conducted in a commercially reasonable manner, the trial court did not err in granting the Bank}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s motion for summary judgment.}{\insrsid6960145 
 }{\i\insrsid11152835\charrsid6960145 Id. }{\insrsid11152835\charrsid6960145 at 742-43.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
In other words, under the facts of the case, the debtor was not allowed to recover damages as a result of the creditor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s failure to afford notice.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [17]}{\insrsid11152835\charrsid6960145 \tab }{\i\insrsid11152835\charrsid6960145 Washburn}{\insrsid11152835\charrsid6960145 , however, is distinguishable from the instant case.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 In }{\i\insrsid11152835\charrsid6960145 Washburn}{\insrsid11152835\charrsid6960145 , the is
sue was not whether the creditor is allowed to receive a deficiency judgment absent notice, which is the issue presently before this court, but rather, whether the debtor may recover damages as a result of a failure to afford notice.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 The rule the Bank takes from }{\i\insrsid11152835\charrsid6960145 Washburn}{\insrsid11152835\charrsid6960145  is the court}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s holding that }{
\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
[t]he Commercial Code has consistently been construed to mean that notice is not required where commercial reasonableness is established.}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt
\f36\fs24}}}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id.}{\insrsid11152835\charrsid6960145  at 742.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 This rule must be viewed in light of the posture of the }{
\i\insrsid11152835\charrsid6960145 Washburn }{\insrsid11152835\charrsid6960145 case.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Specifically, the rule makes sense when viewing whether the debtor may recover damages for a defect in notice.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 If there is no showing that the creditor sold the collateral in such a way that the sale price of the collateral was compromised to the debtor}{\insrsid12002212\charrsid6960145 '}{
\insrsid11152835\charrsid6960145 s detriment (i.e., sold the collateral in a commercially }{\i\insrsid11152835\charrsid6960145 unreasonable}{\insrsid11152835\charrsid6960145 
 manner), then the debtor was not harmed despite the lack of notice, and therefore there are no resulting damages.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [18]}{\insrsid11152835\charrsid6960145 \tab Moreover, as evident in }{\i\insrsid11152835\charrsid6960145 Washburn, }{\insrsid11152835\charrsid6960145 
commercial reasonableness is often determined by reference to the foreclosure sale price.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See id. }{\insrsid11152835\charrsid6960145 at 742.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
If the sale price was less than the fair market value at the time of repossession, the harm to the debtor is measurable, }{\i\insrsid11152835\charrsid6960145 to wit}{\insrsid11152835\charrsid6960145 
, the harm suffered by the debtor equals the difference between the fair market value of the collateral at the time of repossession and the amount received at the foreclosure sale.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 In the ca
se of a failure to provide notice, the harm is not as easily measurable, and may consist of the preclusion of the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s right of redemption.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 Thus, there is a distinction between a commercially reasonable sale and the notice requirement, and a commercially reasonable sale does not cure the harm caused to the debtor where the creditor fails to provide notice.}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Cf. Dependable Ins. Co.}{\insrsid11152835\charrsid6960145 , 421 So.2d at 178 (recognizing that the right to sue for damages under section 9-507 of the UCC is no protection against th
e foreclosure of the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s opportunity to redeem the collateral).
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [19]}{\insrsid11152835\charrsid6960145 \tab Thus, we reject the Bank}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s argument that a commercially reasonable foreclosure sale cures the failure to comply with the notice requirement of 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid11152835\charrsid6960145  9504(3).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Del Priore argues that we should adopt the absolute bar rule in which the notice requirement is a condition precedent to receiving a deficiency and, therefore, a failure to plead and prove notice forecloses the right to a deficiency.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 We agree.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
We find that the absolute bar rule comports most with the history of deficiency judgments as well as the policy underlying the notice requirement of section 9504(3).
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [20]}{\insrsid11152835\charrsid6960145 \tab The absolute bar theory is supported by the history of deficiency judgments.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See}{\insrsid11152835\charrsid6960145  }{
\i\insrsid11152835\charrsid6960145 Dependable Ins. Co.}{\insrsid11152835\charrsid6960145 , 421 So.2d at 177.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Deficiency judgments were unheard of at common law, thus, because the right to a deficiency is purely a creature of statute, strict compliance with the requirements of the statute is required.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 
See id.; Textron Fin. Corp.}{\insrsid11152835\charrsid6960145 , 965 S.W.2d at 428-29 (citation omitted).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [21]}{\insrsid11152835\charrsid6960145 \tab Moreover, strict compliance with the notice requirement is the better rule because of the important functions notice serves in the context of secured transactions.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
Notice to the debtor that the collateral is about to be disposed of is so fundamental that no remedy less severe than forfeiture of the deficiency amount would be adequate and this remedy is by no means exclusive.}{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\i\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Holt}{\insrsid11152835\charrsid6960145 , 814 S.W.2d at 570.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [22]}{\insrsid11152835\charrsid6960145 \tab At the very least, notice allows the debtor to ensure that the foreclosure sale is commercially reasonable.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 
See Carter v. Wells Fargo Bank (In Re Carter)}{\insrsid11152835\charrsid6960145 , 511 F.2d 1203, 1204 (9th Cir. 1975).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Specifically, notice of the sale provides the debtor the opportunity to participate in the sale, oppose the sale, or to seek out buyers for the collateral.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Wilmington Trust Co., }{
\insrsid11152835\charrsid6960145 415 A.2d at 776.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Further, notice allows the debtor to oversee the disposition to maximize the possibility that a fair price will be obtained at the sale.}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See}{\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 id}{\insrsid11152835\charrsid6960145 . at 776; }{\i\insrsid11152835\charrsid6960145 see also Holt}{
\insrsid11152835\charrsid6960145 , 814 S.W.2d at 570 (citing }{\i\insrsid11152835\charrsid6960145 Bailey v. Navstar Fin. Corp.}{\insrsid11152835\charrsid6960145 , 709 S.W.2d 841, 843 (Ky. Ct. App. 1986)).
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [23]}{\insrsid11152835\charrsid6960145 \tab More importantly, notice allows the debtor the opportunity to redeem the collateral in accordance with 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL
 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9506.}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain \qj \fi720\li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0 
\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid11152835 \chftn }{\fs20\insrsid11152835  This section provides:
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid11152835  
\par }\pard \qj \li1440\ri1440\nowidctlpar\faauto\rin1440\lin1440\itap0 {\fs20\insrsid11152835 At any time before the secured party has dispos
ed of the collateral or entered into a contract for its disposition under Section 9504 or before the obligation has been discharged under 9505(2) the debtor or any other secured party may unless otherwise agreed in writing after default redeem the collate
r
al by tendering fulfillment of all obligations secured by the collateral as well as expenses reasonably incurred by the secured party in retaking, holding and preparing the collateral for disposition, in arranging for the sale, and to the extent provided 
in the agreement and not prohibited by law, his reasonable attorneys}{\fs20\insrsid12002212 '}{\fs20\insrsid11152835  fees and legal expenses.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid11152835 
\par }\pard \qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 {\fs20\insrsid11152835 Title 13 GCA }{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835  9506 (1993).}}}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Liberty Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank}{\insrsid11152835\charrsid6960145 , 405 N.E.2d at 323;}{\i\insrsid11152835\charrsid6960145  Maryland Nat
}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank}{\insrsid11152835\charrsid6960145 
, 414 A.2d at 1263 (recognizing that a debtor without notice is effectively prevented from exercising his statutory right to redeem the property under 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9506); }{\i\insrsid11152835\charrsid6960145 Wilmington Trust Co.}{\insrsid11152835\charrsid6960145 , 415 A.2d at 776 (determ
ining that one purpose of notice is to give the debtor the opportunity to exercise his redemption rights); }{\i\insrsid11152835\charrsid6960145 Dependable Ins. Co.}{\insrsid11152835\charrsid6960145 , 421 So.2d at 178.}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 If a creditor fails to give the requisite notice, the debtor is prevented from procuring the money needed to satisfy the debt or to obtaining refinancing prior to the foreclosure sale.}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See Maryland Nat}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank}{\insrsid11152835\charrsid6960145 , 414 A.2d at 1263.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Significantly, unlike in the case of foreclosure of a real property mortgage where the debtor may have a twelve-month statutory right to redeem the property }{\i\insrsid11152835\charrsid6960145 after }{\insrsid11152835\charrsid6960145 
a foreclosure sale conducted pursuant to a private power of sale, }{\i\insrsid11152835\charrsid6960145 see Paulino v. Biscoe}{\insrsid11152835\charrsid6960145 , 2000 Guam 13, }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 38 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  22,}{\i\insrsid11152835\charrsid6960145  }{\insrsid11152835\charrsid6960145 in the case of foreclosing on a security interest, the debtor}{
\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s right of redemption may only be exercised }{\i\insrsid11152835\charrsid6960145 prior to}{\insrsid11152835\charrsid6960145  the foreclosure sale.}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 See }{\insrsid11152835\charrsid6960145 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9506.}{
\i\insrsid11152835\charrsid6960145  }{\insrsid11152835\charrsid6960145 Therefore, a failure to give notice is particularly harmful in the context of secured transactions thus requiring a rule of strict compliance.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [24]}{\insrsid11152835\charrsid6960145 \tab 
Finally, we think the absolute bar rule which mandates strict compliance with the statute is necessary because of the clear need to protect debtors in light of the inequality of bargaining power inherent in many debtor-creditor relationships.}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Wilmington Trust Co.}{\insrsid11152835\charrsid6960145 , 415 A.2d at 780.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
It is not unfair to hold the creditor to the notice requirements when we balance the relative ease in providing notice in relation to the harm to the debtor where notice is not given.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Maryland Nat
}{\i\insrsid12002212\charrsid6960145 '}{\i\insrsid11152835\charrsid6960145 l Bank}{\insrsid11152835\charrsid6960145 , 414 A.2d at 1264; }{\i\insrsid11152835\charrsid6960145 see also}{\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 
Wilmington Trust Co.}{\insrsid11152835\charrsid6960145 , 415 A.2d at 780 (}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
We are unable to see any unfairness in protecting the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s rights to the exclusion of those of the creditor when the credit
or has been placed in such a high degree of control of the relationship and carries such a small burden in order to gain the advantages of the Statute.}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 ); }{\i\insrsid11152835\charrsid6960145 Dependable Ins. Co.}{\insrsid11152835\charrsid6960145 , 421 So.2d at 178.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [25]}{\insrsid11152835\charrsid6960145 \tab 
Because of the unquantifiable protections notice affords the debtor and the relative ease in giving notice, we hold that a secured creditor must both plead and prove compliance with the notice requirement of 13 GCA }{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3).}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain 
\qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\fs20\super\insrsid11152835 \chftn }{\fs20\insrsid11152835 
 Compliance with the notice requirement may be pleaded specifically or generally by averring that all conditions precedent have been performed or have occurred.  }{\i\fs20\insrsid11152835 See Twin Bridges Truck City, Inc. v. Halling}{
\fs20\insrsid11152835 , 205 N.W.2d 736, 739 (Iowa 1973);}{\i\fs20\insrsid11152835  cf. Greathouse v. Charter Nat}{\i\fs20\insrsid12002212 '}{\i\fs20\insrsid11152835 l Bank-Southwest}{\fs20\insrsid11152835 
, 851 S.W.2d 173, 177 (Tex. 1992) (determining that a creditor must plead the commercial reasonableness requirement of 9-504(3)).  }}}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Creditors are given the opportunity, under the statute, to be made whole via a recovery of a deficiency, and thus have less incentive to effectuate the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s interest in maximizing the foreclosure sale price, or to give the debtor the opportunity to redeem the collateral or refinance the debt prior to the sale.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 In light of t
his disincentive to protect the debtor, the UCC provisions were enacted with the purpose to prevent secret dispositions of the collateral.}{\i\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Maryland Nat}{\i\insrsid12002212\charrsid6960145 '}{
\i\insrsid11152835\charrsid6960145 l Bank}{\insrsid11152835\charrsid6960145 
, 414 A.2d at 1264. Because the only person interested in protecting the debtor is likely to be the debtor himself, allowing a creditor to obtain a deficiency without strictly complying with the notice requirement would fly in the face of the very protect
ion the Code seeks to preserve, that is, the debtor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s ability to protect himself.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
In the absence of legislative intent to the contrary, the need to preserve the protections afforded to the debtor under the UCCG militates against a rule that would permit the recovery of a deficiency in the absence of notice.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [26]}{\insrsid11152835\charrsid6960145 \tab The Bank argues that even if compliance with the notice requirement is a condition precedent to recovering a deficiency, a defect in notice must be raised as an affirm
ative defense, and if not raised, the debtor is deemed to have waived any objection to the defect.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 We do not agree.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The test for whether a defense is affirmative is }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 whether it controverts an element of a plain
tiff's prima facie case or, [instead], raises matters outside the scope of the prima facie case.}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6960145  }{
\i\insrsid11152835\charrsid6960145 Paint Shuttle, Inc. v. Continental Cas. Co.}{\insrsid11152835\charrsid6960145 , 733 N.E.2d 513, 524 (Ind. Ct. App. 2000) (citation omitted).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 A defe
nse that seeks to controvert the establishment of plaintiff}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s prima facie case is not an affirmative defense.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 
See Stanke v. State Farm Mut. Auto. Ins. Co.}{\insrsid11152835\charrsid6960145 , 503 N.W.2d 758, 760 (Mich. Ct. App. 1993).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Rather, }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 an affirmative defense includes any defense that seeks to foreclose a plaintiff from continuing a civil action for reasons unrelated to the plaintiff}{
\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s prima facie case}{\i\insrsid11152835\charrsid6960145 .}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Kelly-Nevils v. Detroit Receiving Hospital}{\insrsid11152835\charrsid6960145 , 526 N.W.2d 15, 20 (Mich. Ct. App. 1995).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
We have already determined that the notice requirement of section 9504(3) is a condition precedent to receiving a deficiency judgment.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 [W]hen a cause of action requir
es proof that a statutorily-created condition precedent was met, the party with the obligation to meet the condition must not only plead compliance, but must prove it affirmatively.}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Textron Fin. Corp.}{\insrsid11152835\charrsid6960145 , 965 S.W.2d at 429}{\i\insrsid11152835\charrsid6960145 .}{\insrsid11152835\charrsid6960145 ; }
{\i\insrsid11152835\charrsid6960145 see also}{\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 Twin Bridges Truck City, Inc. v. Halling}{\insrsid11152835\charrsid6960145 , 205 N.W.2d 736, 738-39 (Iowa 1973).}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 The party with the burden may, in the alternative, plead that the performance of the condition was waived or excused.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Twin Bridges Truck City}{
\insrsid11152835\charrsid6960145 , }{\i\insrsid11152835\charrsid6960145 Inc.}{\insrsid11152835\charrsid6960145 , 205 N.W. at 738.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Because compliance with the notice requirement is a condition to recovery, it is an element of the creditor}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s cause of action for a deficiency, and it is therefore not an affirmative defense.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Textron Fin. Corp.}{\insrsid11152835\charrsid6960145 , 965 S.W.2d at 429; }{\i\insrsid11152835\charrsid6960145 
Twin Bridges Truck City}{\insrsid11152835\charrsid6960145 , }{\i\insrsid11152835\charrsid6960145 Inc.}{\insrsid11152835\charrsid6960145 , 205 N.W. at 738; }{\i\insrsid11152835\charrsid6960145 cf. Cook Composites, Inc. v. Westlake Styrene Corp}{
\insrsid11152835\charrsid6960145  }{\i\insrsid11152835\charrsid6960145 .}{\insrsid11152835\charrsid6960145 
, 15 S.W.3d 124, 137-38 (Tex. App. 2000) (determining that because the commercial reasonableness and pre-sale notice requirements of the Texas version of UCC 2-706 are elements of the seller}{\insrsid12002212\charrsid6960145 '}{
\insrsid11152835\charrsid6960145 s prima facie claim for damages, they are not affirmative defenses).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Accordingly, the creditor has the burden to plead and prove that notice was given and it is not incumbent on the debtor to raise it as an affirmative defense.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Cf.}{\insrsid11152835\charrsid6960145  }{
\i\insrsid11152835\charrsid6960145 Cook Composites, Inc.}{\insrsid11152835\charrsid6960145 , 15 S.W.3d at 138 (holding that because the requirements of UCC 2-706 are elements of the plaintiff}{\insrsid12002212\charrsid6960145 '}{
\insrsid11152835\charrsid6960145 s cause of action }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
[i]t would make no sense to impose the burden on the buyer to prove a negative as an affirmative defense, i.e., to prove the seller}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s failure to satisfy the elements of section [2-706] . . . .}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 ).}{\insrsid11152835 
\par }{\i\insrsid6960145\charrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [27]}{\insrsid11152835\charrsid6960145 \tab The fact remains that Del Priore did not raise the defect at any time in the lower court.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
As a general rule, we will not review an issue raised for the first time on appeal.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See Dumaliang v. Silan}{\insrsid11152835\charrsid6960145 , 2000 Guam 24, }{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 38 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  12.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 However, this rule is discretionary and an appellate court m
ay review an issue raised for the first time if the issue is purely one of law.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See id}{\insrsid11152835\charrsid6960145 . at }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 38 \\f 
"WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  12, n. 1.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
Because the issue presented by Del Priore is purely a question of law, we find that the failure to raise the issue below is not fatal to the appeal.
\par }{\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [28]}{\insrsid11152835\charrsid6960145 \tab Based on a review of the record, we find that the lower court erred in awarding the Bank a deficiency judgment.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The parties agree that the Bank sold the collateral at a public sale.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Therefore, the Bank was required to give }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols"
 \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 reasonable notice of the time and place of the sale}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{
\insrsid11152835\charrsid6960145  because the type of collateral, here, a used vessel, does not fall under the exceptions to the notice requirement.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 13 GCA }{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 The vessel was not perishable, subject to a speedy decline in value, or }
{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 of a type customarily sold in a recognized market}{\insrsid11152835\charrsid6960145 
{\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 .}{\cs15\super\insrsid11152835\charrsid6960145 \chftn {\footnote \pard\plain 
\qj \fi720\li0\ri0\sa240\nowidctlpar\faauto\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\cs15\super\insrsid11152835 \chftn }{\fs20\insrsid11152835  A recognized market is a }{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL
 65 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835 stock market or a commodity market, where sales involve many items so similar that indiv
idual differences are nonexistent or immaterial, where haggling or competitive bidding are not primary factors in each sale and where the prices paid in actual sales of comparative property are currently available by quotation.}{\fs20\insrsid11152835 
{\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\i\fs20\insrsid11152835  Maryland Nat}{\i\fs20\insrsid12002212 '}{\i\fs20\insrsid11152835 l Bank}{\fs20\insrsid11152835 
, 414 A.2d at 1263 (citation omitted) (determining that there is no recognized market for used cars because }{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835 
the price of the same model used car will vary according to its condition or the whim of the purchaser}{\fs20\insrsid11152835 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 10}{\fldrslt\f36\fs20}}}{\fs20\insrsid11152835 ); }{
\i\fs20\insrsid11152835 see also}{\fs20\insrsid11152835  }{\i\fs20\insrsid11152835 Hertz Commercial Leasing}{\fs20\insrsid11152835 
, 427 A.2d at 876 (determining that goods customarily sold in a recognized market are limited to widely traded stocks and bonds).  }}}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 Id.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 F
urther, there is no indication in the record, and the parties do not assert, that Del Priore waived the notice requirement after default.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See id.}{\i\insrsid6960145  }{
\insrsid11152835\charrsid6960145 We find that the Bank neither pled nor proved that it complied with the notice requirement of section 9504(3).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The Bank did not allege compliance with the notice requirement in its Complaint to Foreclose Security Interest and for Damages filed on April 8, 1998.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
This failure to allege compliance is not surprising as the complaint requests a }{\i\insrsid11152835\charrsid6960145 judicial foreclosure}{\insrsid11152835\charrsid6960145 .}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
At the time of filing the complaint, the Bank had not yet exercised its self-help remedy of repossession and sale.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The record reveals that the Bank did not amend its pleadings to pray for a deficiency judgment after foreclosure.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Accordingly, the Bank failed to plead compliance with the notice requirement.}{
\insrsid6960145  }{\insrsid11152835\charrsid6960145 Further, the Bank failed to prove compliance.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The Bank provided testimonial evidence at trial that on June 22, 1998, the Bank notified Del Priore of the repossession.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See }{\insrsid11152835\charrsid6960145 Transcript, vol. --, pp. 7
4-75 (Bench Trial, Feb. 26, 1999).}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 There was also evidence that the Bank heeded Del Priore}{\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 
s request for 30 days to find a buyer for the vessel.}{\insrsid6960145  }{\i\insrsid11152835\charrsid6960145 See}{\insrsid11152835\charrsid6960145  Transcript, vol. --, pp. 75-76 (Bench Trial, Feb. 26, 1999).}{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 However, this evidence falls short of proving compliance with the requirement that the debtor be notified of the }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 65 \\f "WP TypographicSymbols" \\s 12}{\fldrslt
\f36\fs24}}}{\insrsid11152835\charrsid6960145 time and place of any public sale}{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 64 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145 
 as required under 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3).
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 B.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [29]}{\insrsid11152835\charrsid6960145 \tab Finally, because the lower court erred in awarding a deficiency judgment, we find that the award of attorney fees to the Bank was improper, rendering moot the Bank}{
\insrsid12002212\charrsid6960145 '}{\insrsid11152835\charrsid6960145 s argument on cross-appeal that the trial court erred in arbitrarily reducing the amount of attorney fees the Bank requested.
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid11152835\charrsid6960145 IV.
\par }\pard \qj \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\b\insrsid6960145 
\par }{\b\insrsid11152835\charrsid6960145 [30]}{\insrsid11152835\charrsid6960145 \tab We hold that compliance with the notice requirement of 13 GCA }{\insrsid11152835\charrsid6960145 {\field{\*\fldinst SYMBOL 39 \\f "WP TypographicSymbols" \\s 12}{\fldrslt
\f36\fs24}}}{\insrsid11152835\charrsid6960145  9504(3) is a condition precedent to receiving a deficiency judgment.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 
The creditor has the burden to show compliance, and a failure to meet this burden bars the creditor from recovering a deficiency.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Because the Bank failed to both plead and prove comp
liance with the notice requirement, the Bank was precluded from recovering a deficiency and was not entitled to attorney fees.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Accordingly, we }{\b\insrsid11152835\charrsid6960145 VACATE}{
\insrsid11152835\charrsid6960145  the judgment entered by the trial court and }{\b\insrsid11152835\charrsid6960145 REMAND}{\insrsid11152835\charrsid6960145  for proceedings consistent with this opinion.}{\insrsid6960145 
\par 
\par }\pard \qc \li0\ri0\nowidctlpar\tx-1440\faauto\rin0\lin0\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 PETER C.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 SIGUENZA, JR.\tab \tab \tab }{\insrsid6960145  }{
\insrsid11152835\charrsid6960145 RICHARD H.}{\insrsid6960145  }{\insrsid11152835\charrsid6960145 BENSON
\par Associate Justice\tab \tab \tab \tab }{\insrsid6960145  }{\insrsid11152835\charrsid6960145 Designated Justice}{\insrsid6960145 
\par }\pard \qj \li0\ri0\nowidctlpar\tx-1440\faauto\rin0\lin0\itap0\pararsid6960145 {\insrsid6960145 
\par }\pard \qc \li0\ri0\nowidctlpar\faauto\rin0\lin0\itap0\pararsid6960145 {\insrsid11152835\charrsid6960145 BENJAMIN J.F. CRUZ
\par Chief Justice
\par }}