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This lecture discusses the creation and perfection of secured transactions, essential for mitigating the risk of non-payment for sellers and lenders. It highlights that payments can be secured by personal or real property, serving as a guarantee for repayment. If repayment fails, the property transfers to the lender. The concept is fundamental in modern business and is governed by Article 9 of the UCC. Key points include understanding important definitions related to secured transactions, the creation of secured interests, the meaning of perfecting a security interest, and the purpose of perfection. By the end of the lecture, you will grasp these concepts and their significance in securing transactions.