Montana Code 32-7-109. Application for license — bond — issuance
32-7-109. Application for license — bond — issuance. (1) A person must be licensed pursuant to this part before engaging in an escrow business.
Terms Used In Montana Code 32-7-109
- Department: means the department of administration as provided for in Title 2, chapter 15, part 10. See Montana Code 32-7-102
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
- Escrow: means any transaction in which one person, for the purpose of effecting the sale, transfer, encumbrance, or lease of real or personal property to another person or for the purpose of making payments under any encumbrance of the property, delivers any written instrument, money, evidence, title to real or personal property, or other thing of value to a third person to be held by that third person until the happening of a specified event or the performance of a prescribed condition, when the instrument, money, evidence, title, or thing of value is to be delivered by the third person to a grantee, grantor, promisee, promisor, obligee, obligor, bailee, or bailor or to any agents or employees pursuant to the written escrow instructions. See Montana Code 32-7-102
- Escrow business: means a commercial activity characterized by the regular and continuous carrying on of escrow transactions. See Montana Code 32-7-102
- Person: means an individual, cooperative, association, company, firm, partnership, corporation, or other legal entity. See Montana Code 32-7-102
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
(2)An application for a license must be in the form and submitted in the manner prescribed by the department.
(3)At the time of submitting an application for a license, the applicant shall file with the department a bond in an amount to be set by the department by rule. The bond must be issued by a surety company holding a certificate of authority from the Montana state auditor. The bond must be conditioned on the applicant conducting the escrow business in accordance with the requirements of law. All bonds must be renewed annually.
(4)The department shall grant and issue an escrow business license if:
(a)the department has received the bond and application; and
(b)the applicant has complied with all the application requirements of this part, including any protocols of a nationwide licensing system in which the department participates, and any rules promulgated under this part.
(5)An escrow business shall immediately notify the department of any material change in the information contained in the application.