Utah Code 61-2c-404. Civil actions
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(1)
Terms Used In Utah Code 61-2c-404
- Business of residential mortgage loans: means for compensation or in the expectation of compensation to:(1)(i)(i)(A) engage in an act that makes an individual a mortgage loan originator;(1)(i)(i)(B) make or originate a residential mortgage loan;(1)(i)(i)(C) directly or indirectly solicit a residential mortgage loan for another;(1)(i)(i)(D) unless exempt under Section
61-2c-105 or excluded under Subsection (1)(i)(ii), render services related to the origination of a residential mortgage loan including:(1)(i)(i)(D)(I) preparing a loan package;(1)(i)(i)(D)(II) communicating with the borrower or lender;(1)(i)(i)(D)(III) advising on a loan term;(1)(i)(i)(D)(IV) receiving, collecting, or distributing information common for the processing or underwriting of a loan in the mortgage industry; or(1)(i)(i)(D)(V) communicating with a consumer to obtain information necessary for the processing or underwriting of a residential mortgage loan; or(1)(i)(i)(E) engage in loan modification assistance. See Utah Code 61-2c-102 - Commission: means the Residential Mortgage Regulatory Commission created in Section
61-2c-104 . See Utah Code 61-2c-102 - Compensation: means anything of economic value that is paid, loaned, granted, given, donated, or transferred to an individual or entity for or in consideration of:(1)(n)(i) services;(1)(n)(ii) personal or real property; or(1)(n)(iii) another thing of value. See Utah Code 61-2c-102
- Entity: means :(1)(x)(i) a corporation;(1)(x)(ii) a limited liability company;(1)(x)(iii) a partnership;(1)(x)(iv) a company;(1)(x)(v) an association;(1)(x)(vi) a joint venture;(1)(x)(vii) a business trust;(1)(x)(viii) a trust; or(1)(x)(ix) another organization. See Utah Code 61-2c-102
- Lending manager: means an individual licensed as a lending manager under Section
61-2c-206 to transact the business of residential mortgage loans. See Utah Code 61-2c-102 - Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Mortgage loan: A loan made by a lender to a borrower for the financing of real property. Source: OCC
- Mortgage loan originator: means an individual who, for compensation or in expectation of compensation:(1)(gg)(i)(A)(1)(gg)(i)(A)(I) takes a residential mortgage loan application;(1)(gg)(i)(A)(II) offers or negotiates terms of a residential mortgage loan for the purpose of:(1)(gg)(i)(A)(II)(Aa) a purchase;(1)(gg)(i)(A)(II)(Bb) a refinance;(1)(gg)(i)(A)(II)(Cc) a loan modification assistance; or(1)(gg)(i)(A)(II)(Dd) a foreclosure rescue; or(1)(gg)(i)(A)(III) directly or indirectly solicits a residential mortgage loan for another person; and(1)(gg)(i)(B) is licensed as a mortgage loan originator in accordance with this chapter. See Utah Code 61-2c-102
- Person: means an individual or entity. See Utah Code 61-2c-102
- Principal lending manager: means an individual:(1)(ll)(i) licensed as a lending manager under Section
61-2c-206 ; and(1)(ll)(ii) identified in the nationwide database by the individual's sponsoring entity as the entity's principal lending manager. See Utah Code 61-2c-102
(1)(a) A person who violates this chapter is liable for an additional penalty, as determined by the court, of at least the amount the person received in consequence of a violation of this chapter as:
(1)(a)(i) commission;
(1)(a)(ii) compensation; or
(1)(a)(iii) profit.
(1)(b) A person aggrieved by a violation of this chapter may:
(1)(b)(i) bring an action for a penalty described in Subsection (1)(a) ; and
(1)(b)(ii) use a penalty obtained under Subsection (1)(a) for the person’s own use and benefit.
(2) A person who is not licensed under this chapter at the time of an act or service that requires a license under this chapter may not bring an action in court for the recovery of a commission, fee, or compensation for that act or service.
(3)
(3)(a) A mortgage loan originator may not bring an action in the mortgage loan originator’s own name for the recovery of a fee, commission, or compensation for transacting the business of residential mortgage loans unless the action is brought against the entity by which the mortgage loan originator is sponsored at the time of the act or service that is the subject of the action.
(3)(b) An action by an entity for the recovery of a fee, commission, or other compensation shall be brought by:
(3)(b)(i) an entity; or
(3)(b)(ii) the principal lending manager of an entity on behalf of the entity.
(4) A principal lending manager who transacts the business of residential mortgage loans on the principal lending manager’s own behalf may sue in the principal lending manager’s own name for the recovery of a fee, commission, or compensation for transacting the business of residential mortgage loans.