(1) A security holder may, in the event of default in performance of obligation, propose to retain or suspend the
collateral in full or partial satisfaction of the secured obligation.
(2) A proposal shall be made, pursuant to Sub section (1), to the security giver and to any other security holder from whom the security holder has received a written claim of an interest in the collateral.
(3) Where the security holder receives objection in
writing from a person entitled to receive a notice under Sub-section (2) within twenty one days after such notice was sent, the security holder shall sell and dispose of the collateral in accordance with the provisions contained in this
Chapter.
(4) If any objection is not received within the time referred to in sub- section (3), the security holder may retain or suspend the collateral in satisfaction of the security giver’s obligation in accordance with the proposal
referred to in Sub-section (1).