Utah Code 70A-9a-625. Remedies for secured party’s failure to comply with chapter
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(1) If it is established that a secured party is not proceeding in accordance with this chapter, a court may order or restrain collection, enforcement, or disposition of collateral on appropriate terms and conditions.
Terms Used In Utah Code 70A-9a-625
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Lien: A claim against real or personal property in satisfaction of a debt.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Person: means :(24)(a) an individual;(24)(b) an association;(24)(c) an institution;(24)(d) a corporation;(24)(e) a company;(24)(f) a trust;(24)(g) a limited liability company;(24)(h) a partnership;(24)(i) a political subdivision;(24)(j) a government office, department, division, bureau, or other body of government; and(24)(k) any other organization or entity. See Utah Code 68-3-12.5(2) Subject to Subsections
(3) ,(4) , and(5) , a person is liable for damages in the amount of any loss caused by a failure to comply with this chapter. Loss caused by a failure to comply may include loss resulting from the debtor’s inability to obtain, or increased costs of, alternative financing.(3) Except as otherwise provided in Section70A-9a-628 :(3)(a) a person that, at the time of the failure, was a debtor, was an obligor, or held a security interest in or other lien on the collateral may recover damages under Subsection(2) for its loss; and(3)(b) if the collateral is consumer goods, a person that was a debtor or a secondary obligor at the time a secured party failed to comply with this part may recover for that failure in any event an amount not less than the credit service charge plus 10% of the principal amount of the obligation or the time-price differential plus 10% of the cash price.(4) A debtor whose deficiency is eliminated under Section70A-9a-626 may recover damages for the loss of any surplus. However, a debtor or secondary obligor whose deficiency is eliminated or reduced under Section70A-9a-626 may not otherwise recover under Subsection(2) for noncompliance with the provisions of this part relating to collection, enforcement, disposition, or acceptance.(5) In addition to any damages recoverable under Subsection(2) , the debtor, consumer obligor, or person named as a debtor in a filed record, as applicable, may recover $500 in each case from a person that:(5)(a) fails to comply with Section70A-9a-208 ;(5)(b) fails to comply with Section70A-9a-209 ;(5)(c) files a record that the person is not entitled to file under Subsection70A-9a-509(1) ;(5)(d) fails to cause the secured party of record to file or send a termination statement as required by Subsection70A-9a-513(1) or(3) ;(5)(e) fails to comply with Subsection70A-9a-616(2)(a) and whose failure is part of a pattern, or consistent with a practice, of noncompliance; or(5)(f) fails to comply with Subsection70A-9a-616(2)(b) .(6) A debtor or consumer obligor may recover damages under Subsection(2) and, in addition, $500 in each case from a person that, without reasonable cause, fails to comply with a request under Section70A-9a-210 . A recipient of a request under Section70A-9a-210 which never claimed an interest in the collateral or obligations that are the subject of a request under that section has a reasonable excuse for failure to comply with the request within the meaning of this Subsection(6) .(7) If a secured party fails to comply with a request regarding a list of collateral or a statement of account under Section70A-9a-210 , the secured party may claim a security interest only as shown in the list or statement included in the request as against a person that is reasonably misled by the failure.