Anyone can file UCC liens that take long to clear, enabling paper terrorism

Evidence

The tactic is referred to as “paper terrorism” (and Morton himself has jocularly referred to himself as a “paper terrorist”). It takes advantage of the fact that anyone at all can file a lien under the Uniform Commercial Code. Though invalid liens can be cleared up, it can take a very long time. Some states have made it a felony to file fraudulent documents to retaliate against government officials, and some places give secretaries of state more discretion in whether to accept a lien filing, but the system remains pretty piecemeal. — Anna Merlan, Republic of Lies, 674

Categorization

• XREF: Connects to the broader theme of extralegal mechanisms vs fragile institutions from the diamond-trade readings, where private reputation institutions substitute for state enforcement. — connects to: A single fraudulent lien filing waves can impose massive real costs on officials — Anna Merlan, Republic of Lies, 673; The Negotiable Instruments Law achieved near-universal state adoption before the UCC replaced it — Lawrence M. Friedman, A History of American Law, 2367
• SEED: The vulnerability of public record systems to weaponized filings that impose real reputational and financial costs is a strong angle on how cheap legal formalities can be turned into harassment tools.

Broader Connections

• A single fraudulent lien filing waves can impose massive real costs on officials #expands (0.85) — Anna Merlan, Republic of Lies, 673