1st Sub.
S.B.
143
MORTGAGE AND FINANCIAL AFFAIRS AMENDMENTS
House Floor
Amendments
Amendment 1 March 14, 2013 10:26 PM
Representative LaVar Christensen
proposes the following amendments:
1. Page
1, Lines 15 through 16
:
15
.
{
limits the requirements described in this bill to beneficiaries that are also financial
16
institutions
}
excludes, under certain circumstances, a beneficiary that is a small business from the
requirements described in this bill
;
2. Page
2, Lines 31 through 32
:
31
(a)
{
"Beneficiary" means a financial institution that is the record owner of the beneficial
32
interest under a trust deed, including successors in interest
}
"Affiliate" is as defined in Section
16-10a-102
.
3. Page
2, Line 37 through Page 3, Line 60
:
37
{
(d) "Financial institution" means:
38
(i) a state or federally chartered:
39
(A) bank;
40
(B) savings and loan association;
41
(C) savings bank;
42
(D) industrial bank; or
43
(E) credit union; or
44
(ii) any other entity under the jurisdiction of the commissioner of financial institutions
45
as provided in Title 7, Financial Institutions Act.
}
46
[(b)]
{
(e)
}
(d)
"Foreclosure relief" means a mortgage modification program or other
47
foreclosure relief option offered by a beneficiary or servicer.
48
[(c)]
{
(f)
}
(e)
"Loan" means an obligation incurred for personal, family, or household
49
purposes, evidenced by a promissory note or other credit agreement for which a trust deed
50
encumbering owner-occupied residential property is given as security.
51
[(d)]
{
(g)
}
(f)
"Owner-occupied residential property" means real property that is occupied by
52
its owner as the owner's primary residence.
53
[(e)]
{
(h)
}
(g)
"Servicer" means an entity, retained by the beneficiary:
54
(i) for the purpose of receiving a scheduled periodic payment from a borrower pursuant
55
to the terms of a loan; or
56
(ii) that meets the definition of servicer under 12 U.S.C. Sec. 2605(i)(2) with respect to
57
residential mortgage loans.
58
{
(f)
}
(h)
"Single point of contact" means [a person] an individual
{
or the individual's
59
replacement
}
who, as the designated representative of the beneficiary or servicer, is authorized
60
to:
4. Page
3, Lines 67 through 68
:
67
[(ii) direct] (iii)
coordinate,
access
,
and be informed of the
status and
procedural details
of all foreclosure
68
proceedings initiated by the beneficiary or servicer relating to the trust property, including:
5. Page
3, Line 72
:
72
(C) the postponement of a trustee's sale under Section
57-1-27
or this section.
(i) (i) "Small business" means an entity that has fewer than 10 employees.
(ii) "Small business" does not include an entity that is a subsidiary or affiliate of another entity
that has 10 or more employees.
6. Page
4, Lines 98 through 101
:
98
(4) A default trustor shall, within the time required by the beneficiary or servicer,
99
provide
{
all
}
the
financial and other information requested by the
{
[
}
single point of
contact
{
]
}
on behalf of the
100
beneficiary or servicer
that is reasonably necessary
to enable the beneficiary or servicer to determine
whether the default
101
trustor qualifies for the foreclosure relief for which the default trustor applies.
7. Page
4, Line 114
:
114
(6) If a default trustor applies for foreclosure relief and provides
{
all
}
the
information
8. Page
5, Lines 142 through 143
:
142
{
[
}
(12) This section does not apply
{
if the beneficiary under
}
to
a trust deed
{
securing a loan
}
that has a beneficiary that
is
:
143
(a)
an individual
; or
(b) a small business, if a principal of the small business is available to communicate with the
default trustor to the same extent as a single point of contact
.
{
]
}
9. Page
6, Lines 151 through 153
:
151
{
[(14)] (13) The failure of a beneficiary or servicer to comply with a requirement of this
152
section does not affect the validity of a trustee's sale of the trust property [to a bona fide
153
purchaser].
}
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