N.Y. UCC Law § 9-338

Section 9--338. Priority of Security Interest or Agricultural Lien\n Perfected by Filed Financing Statement Providing\n Certain Incorrect Information.\n If a security interest or agricultural lien is perfected by a filed\nfinancing statement providing information described in Section\n9--516(b)(5) which is incorrect at the time the financing statement is\nfiled:\n (1) the security interest or agricultural lien is subordinate to a\nconflicting perfected security interest in the collateral to the extent\nthat the holder of the conflicting security interest gives value in\nreasonable reliance upon the incorrect information; and\n (2) a purchaser, other than a secured party, of the collateral takes\nfree of the security interest or agricultural lien to the extent that,\nin reasonable reliance upon the incorrect information, the purchaser\ngives value and, in the case of tangible chattel paper, tangible\ndocuments, goods, instruments, or a security certificate, receives\ndelivery of the collateral.\n