Utah Code 31A-44-404. Nondisturbance of residents
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(1) A person may not directly or indirectly disturb the rights of a resident or third party beneficiary under a continuing care contract and this chapter if the resident has substantially performed the resident’s obligations under the continuing care contract.
Terms Used In Utah Code 31A-44-404
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Continuing care: means furnishing or providing access to an individual, other than by an individual related to the individual by blood, marriage, or adoption, of lodging together with nursing services, medical services, or other related services pursuant to a contract requiring an entrance fee. See Utah Code 31A-44-102
- Continuing care contract: means a contract under which a provider provides continuing care to a resident. See Utah Code 31A-44-102
- Contract: A legal written agreement that becomes binding when signed.
- Department: means the Insurance Department. See Utah Code 31A-1-301
- Entrance fee: includes a monthly fee, assessed at a rate that is greater than the value of the provider's monthly services, that a resident agrees to pay in exchange for acceptance into a facility or a promise of future monthly fees assessed at a rate that is less than the value of the services rendered. See Utah Code 31A-44-102
- Facility: means a place in which a person provides continuing care pursuant to a continuing care contract. See Utah Code 31A-44-102
- Ground lease: means a lease to a provider of the land and infrastructure improvements to the land on which a facility is located. See Utah Code 31A-44-102
- Ground lessor: means , for a facility subject to a ground lease, the owner and lessor of the land and infrastructure improvements to the land on which the facility is located. See Utah Code 31A-44-102
- Land: includes :(18)(a) land;(18)(b) a tenement;(18)(c) a hereditament;(18)(d) a water right;(18)(e) a possessory right; and(18)(f) a claim. See Utah Code 68-3-12.5
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- 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.
- Order: means an order of the commissioner. See Utah Code 31A-1-301
- Person: includes :
(146)(a) an individual;(146)(b) a partnership;(146)(c) a corporation;(146)(d) an incorporated or unincorporated association;(146)(e) a joint stock company;(146)(f) a trust;(146)(g) a limited liability company;(146)(h) a reciprocal;(146)(i) a syndicate; or(146)(j) another similar entity or combination of entities acting in concert. See Utah Code 31A-1-301- Provider: means :
(9)(a)(i) the owner of a facility;(9)(a)(ii) a person, other than a resident, that claims a possessory interest in a facility; or(9)(a)(iii) a person who enters into a continuing care contract with a resident or potential resident. See Utah Code 31A-44-102- Resident: means an individual entitled to receive continuing care in a facility pursuant to a continuing care contract. See Utah Code 31A-44-102
- Sell: means to exchange a contract of insurance:
(179)(a) by any means;(179)(b) for money or its equivalent; and(179)(c) on behalf of an insurance company. See Utah Code 31A-1-301(2) If the person to whom a resident owes performance under the continuing care contract is contested, and a court has not issued a temporary or permanent order resolving the contest:(2)(a) the department may appoint a temporary receiver to receive the performance of the resident; and(2)(b) a court may appoint a receiver upon the department’s petition, or the department’s motion under an existing action.(3)(3)(a) Except as provided in Subsection (3)(b), a person other than a resident that holds a present right to possess a facility, including a ground lessor but only after the ground lessor acquires a provider‘s possessory interest by termination of a ground lease or otherwise, is bound by every continuing care contract related to the facility, including a continuing care contract that provides for the return of part or all of a resident’s entrance fee.(3)(b) If a ground lessor acquires a provider’s possessory interest by termination of a ground lease or otherwise, the ground lessor’s obligation under the continuing care contracts is limited to the monetary obligations of the provider to which the ground lessor succeeds.(4)(4)(a) The commissioner holds a covenant that:(4)(a)(i) runs with the land on which a facility is located; and(4)(a)(ii) except as provided in Subsection (4)(b), binds a person with a present right to possess the land on which the facility is located, including a ground lessor but only after the ground lessor acquires a provider’s possessory interest by termination of a ground lease or otherwise, to every continuing care contract related to the facility, including a continuing care contract that provides for the return of all or part of a resident’s entrance fee.(4)(b) If a ground lessor acquires a provider’s possessory interest by termination of a ground lease or otherwise, the ground lessor’s obligation under the continuing care contracts under the covenant described in Subsection (4)(a) is limited to the monetary obligations of the provider to which the ground lessor succeeds.(4)(c) A person may not sell the land on which the facility is located free and clear of the interest described in Subsection (4)(a).(5) A person may not sell or transfer the land on which a facility subject to a ground lease is located free and clear of the provider’s possessory interest in the ground lease.