Form CCC-297, Severance Agreement, is a USDA Commodity Credit Corporation (CCC) form that severs loan collateral affixed to real estate from the real estate law that would otherwise attach it to the land. Lienholders, and anyone with a security interest in the real estate underlying Sugar Storage Facility Loan collateral, complete it, and a Notary Public completes the acknowledgement. On this page you can fill out the form online on FillingPDF and download or print the completed PDF; the original form and its instructions are published by the agency, and the signed original goes to the FSA servicing office in hard copy.
Last updated
What is CCC-297?
Form CCC-297, Severance Agreement, is the USDA Commodity Credit Corporation (CCC) form used to sever collateral that is affixed to real estate from the applicable real estate law, so that CCC can remove the collateral if it forecloses.
According to the CCC-297 instructions, the severance lets CCC remove the collateral without interference from real estate lien holders and owners. The collateral in question is the equipment or structure that secures a Farm Storage Facility Loan and has become attached to land.
The form identifies the borrower and any co-borrower, the town or city, county and State where the borrower is located, a description of the collateral affixed to the real estate and the legal description of the real estate. It records the day, month and year the agreement is executed.
The agreement is signed by the party holding an interest in the land: a duly authorized officer of a corporation, or an individual mortgagee or owner. A corporate seal is added when a corporation holds an interest. A Notary Public then completes an acknowledgement, items (p) through (w), with the notary's State, county, date, the names of the people who appeared, a seal or stamp and the commission expiration date. "Mortgagee" includes the holder of any type of real estate lien.
Who needs to file CCC-297?
Lienholders, and anyone with a security interest in the real estate underlying Sugar Storage Facility Loan collateral, complete Form CCC-297. The CCC-297 instructions tell them to obtain any information they do not know from the FSA County Office.
- Corporations: if a corporation holds an interest in the real estate, a duly authorized officer enters the corporation's name, signs, gives a title and the corporate seal is affixed.
- Individuals: an individual who holds an interest signs as mortgagee or as owner, crossing out the term that does not apply.
- Subordinating lender: this party signs the completed form.
- Notary Public: completes items (p) through (w) after the signers appear; the lienholders do not fill in those items.
The form is for the real estate lien holders and owners whose interests could stand in the way of CCC removing collateral. The instructions describe no role for the borrower in signing the agreement.
When to file CCC-297
Form CCC-297 is completed when a lienholder or other holder of a security interest in the real estate underlying Sugar Storage Facility Loan collateral needs to sever that collateral from the real estate, so that CCC can remove it in the event of foreclosure. The instructions set no separate due date. The form must be signed, and notarized, before the original is submitted in hard copy to the appropriate FSA servicing office. Because the agreement is dated with the day, month and year of execution (items (h) through (j)), enter the date the signers actually execute it.
How to fill out CCC-297
Enter borrower and co-borrower names
Item (a): the name of the borrower. Item (b): the name of the co-borrower, if applicable.
Enter where the borrower is located
Item (c): the town or city, item (d): the county and item (e): the State where the borrower(s) are located.
Describe the collateral
Item (f): describe the Farm Storage Facility Loan collateral that is affixed to real estate.
Enter the legal description
Item (g): the legal description of the real estate the collateral is affixed to. Obtain any information you do not have from the FSA County Office.
Enter the date of execution
Item (h): the numeric day of the month the agreement is executed. Item (i): the month. Item (j): the year.
Complete the corporate block
If a corporation holds an interest in the real estate, enter its name in item (k) and cross out Mortgagee or Owner, as applicable. A duly authorized officer signs item (l) and enters a title in item (m); affix the corporate seal.
Complete the individual signature blocks
Items (n) and (o): for each individual, cross out either Mortgagee or Owner, as applicable, and sign. The subordinating lender signs the completed form.
Have a Notary Public complete the acknowledgement
The notary enters the State where licensed (p), the county (q), the day, month and year of notarization (r)–(t), the name(s) of the person(s) who appeared (u), the seal or stamp (v) and the commission expiration date (w).
Review, print, sign and download the PDF
Check every item (a) through (o) and confirm the notary section is complete. Download or print the completed PDF from FillingPDF, sign the original by hand and submit it as described under How to submit.
How to submit CCC-297
Form CCC-297 is submitted in hard copy only: send or deliver the original of the completed, signed and notarized form to the appropriate FSA servicing office.
- Hard copy original: the instructions require the original, not a copy, to go to the FSA servicing office. If you are mailing the form, print it and enter the signature by hand.
- Fax: do not fax. The instructions say DO NOT FAX.
- Missing information: the instructions say to get information you do not have, such as details about the borrower or the real estate, from the FSA County Office.
The instructions do not print a mailing address, so confirm the appropriate servicing office with the FSA County Office. FillingPDF lets you fill out and download the PDF; submission follows the channels above.
Common mistakes to avoid
- Faxing the form; the instructions say DO NOT FAX and require the original of the completed form in hard copy.
- Mailing a photocopy or an unsigned print-out; when you mail the form you must print it and enter your signature by hand.
- Skipping the notary: items (p) through (w) must be completed by a Notary Public, so the form is not finished with signatures alone.
- Leaving both "Mortgagee" and "Owner" uncrossed in items (k), (n) or (o) instead of crossing out the one that does not apply.
- Signing item (l) with someone who is not a duly authorized officer of the corporation, or omitting the officer's title in item (m).
- Omitting the corporate seal when a corporation holds an interest in the real estate.
- Guessing at the legal description in item (g) or other unknown details instead of getting them from the FSA County Office.
- Naming only the borrower and leaving item (b) blank when there is a co-borrower.
Frequently asked questions
What is the severance agreement on Form CCC-297?
It is the USDA Commodity Credit Corporation form used to sever collateral affixed to real estate from applicable real estate law. The severance allows CCC to remove the collateral in the event of foreclosure without interference from real estate lien holders and owners.
Who completes Form CCC-297?
Lienholders and anyone with a security interest in the real estate underlying Sugar Storage Facility Loan collateral complete items (a) through (o). The subordinating lender signs the completed form, and a Notary Public completes items (p) through (w).
Can I fax Form CCC-297 to the FSA office?
No. The instructions say DO NOT FAX. Submit the original of the completed form in hard copy to the appropriate FSA servicing office. If you mail it, print the form and sign it by hand.
Does Form CCC-297 have to be notarized?
Yes. The instructions say to have the form notarized by a Notary Public, who enters the State, county, date, names of the people who appeared, seal or stamp and commission expiration date in items (p) through (w).
What do I cross out in the Mortgagee/Owner lines?
For the individual signature items (n) and (o), and the corporate name item (k), cross out either Mortgagee or Owner, as applicable. The instructions note that Mortgagee includes the holder of any type of real estate lien.
Where do I get the legal description or borrower details?
Obtain any information you do not know from the FSA County Office, according to the instructions. That includes details the form asks for, such as the borrower's location and the legal description of the real estate in item (g).
Is a corporate seal required on Form CCC-297?
Only when a corporation holds an interest in the real estate. In that case the instructions say to affix the corporate seal, and a duly authorized officer signs and gives a title in items (l) and (m).
Can I fill out Form CCC-297 online on FillingPDF?
You can fill out the PDF online on FillingPDF and download or print it. FillingPDF is independent of USDA, CCC and FSA and does not file the form: you sign and notarize it, then submit the original in hard copy to the FSA servicing office.
Ready to fill out CCC-297?
Fill out CCC-297 now