reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-14 - Notice of contemplated action; hearings.

A. When the director contemplates taking any action specified in Paragraphs (1) through (6) of Subsection A or in Subsection D of Section 13 [58-21B-13 NMSA 1978] of the New Mexico Mortgage Loan Originator Licensing Act, the director shall serve upon the licensed mortgage loan originator a written notice containing a statement:
(1) that the director has sufficient evidence that, if not rebutted or explained, will justify the director in taking the contemplated action;
(2) indicating the general nature of the evidence; and
(3) that unless the licensed mortgage loan originator within twenty days after service of the notice deposits in the mail a certified return receipt requested letter addressed to the director containing a request for a hearing, the director will take the contemplated action.
B. If the licensed mortgage loan originator does not mail a request for a hearing within the time and in the manner required by this section, the director may take the action contemplated in the notice, and such action shall be final and not subject to judicial review.
C. If the licensed mortgage loan originator mails a request for a hearing as required by this section, the director shall, within thirty days of receipt of the request, notify the licensed mortgage loan originator of the time and place of the hearing, the name of the person who shall conduct the hearing for the director and the statutes and regulations authorizing the director to take the contemplated action.
History:
Laws 2009, ch. 122, § 14.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 14 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-15 - Power of the court to grant relief.

A. Upon a showing by the director that a person has or is about to violate the New Mexico Mortgage Loan Originator Licensing Act or any rule or order of the director pursuant to that act, the district court of the first judicial district or other appropriate district court in the state may grant or impose one or more of the following appropriate legal or equitable remedies:
(1) a temporary restraining order, permanent or temporary prohibitory or mandatory injunction or a writ of prohibition or mandamus;
(2) a civil penalty up to a maximum of twenty-five thousand dollars ($25,000) for each violation;
(3) disgorgement;
(4) declaratory judgment;
(5) restitution to consumers;
(6) the appointment of a receiver or conservator for the defendant or the defendant's assets;
(7) recovery by the director of all costs and expenses for conducting an investigation or the bringing of any enforcement action under that act; or
(8) other relief as the court deems just.
B. In determining the appropriate relief to grant, the court shall consider enforcement actions taken and sanctions imposed by the director pursuant to Section 13 [58-21B-13 NMSA 1978] of the New Mexico Mortgage Loan Originator Licensing Act in connection with the transactions constituting violations of that act.
C. The court shall not require the director to post bond in an action pursuant to this section.
History:
Laws 2009, ch. 122, § 15.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 15 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-16 - Unlicensed activity.

A. An individual who acts as a mortgage loan originator without being properly licensed pursuant to the New Mexico Mortgage Loan Originator Licensing Act is, for a first offense, guilty of a misdemeanor and upon conviction shall be sentenced in accordance with the provisions of Subsection A of Section 31-19-1 NMSA 1978.
B. In the case of a conviction pursuant to Subsection A of this section, the court may impose a deferred sentence in accordance with Section 31-20-6 NMSA 1978.
C. An individual who violates Subsection A of this section is, for a second or subsequent offense, guilty of a fourth degree felony and upon conviction shall be sentenced in accordance with the provisions of Section 31-18-15 NMSA 1978.
History:
Laws 2009, ch. 122, § 16.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 4 effective July 31, 2010.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-17 - Surety bond required.

A. Each mortgage loan originator shall be covered by a surety bond in accordance with this section. In the event the mortgage loan originator is an employee or exclusive agent of a mortgage loan company subject to the Mortgage Loan Company Act, the surety bond of the mortgage loan company subject to that act may be used in lieu of the mortgage loan originator's surety bond requirement.
B. The surety bond shall provide coverage for each mortgage loan originator in an amount as prescribed in Subsection E of this section.
C. The surety bond shall be in a form as prescribed by the director.
D. The director may promulgate rules with respect to the requirements for such surety bonds as are necessary to accomplish the purposes of the New Mexico Mortgage Loan Originator Licensing Act.
E. The penal sum of the surety bond shall be in an initial amount of fifty thousand dollars ($50,000). Upon renewal of the license, the penal sum of the surety bond shall be in an amount that reflects the total dollar amount of mortgage loans originated annually in New Mexico by the licensed mortgage loan originator, as follows:
(1) zero dollars ($0.00) to three million dollars ($3,000,000), a surety bond of fifty thousand dollars ($50,000);
(2) more than three million dollars ($3,000,000) and less than ten million dollars ($10,000,000), a surety bond of one hundred thousand dollars ($100,000); and
(3) ten million dollars ($10,000,000) or more, a surety bond of one hundred fifty thousand dollars ($150,000).
F. Every bond shall provide for suit thereon by any person who has a cause of action pursuant to the New Mexico Mortgage Loan Originator Licensing Act.
G. When an action is commenced on a licensed mortgage loan originator's bond, the director may require the filing of a new bond.
H. Immediately upon recovery on any action on a bond, the licensed mortgage loan originator shall file a new bond.
History:
Laws 2009, ch. 122, § 17.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 17 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-18 - Confidentiality.

In order to promote more effective regulation and reduce regulatory burden through supervisory information-sharing, except as otherwise provided in Public Law 110-289, Section 1512, the requirements pursuant to any federal law or pursuant to the Inspection of Public Records Act regarding the privacy or confidentiality of any information or material provided to the nationwide multistate licensing system and registry, and any privilege arising pursuant to federal or state law, including the rules of any federal or state court, with respect to such information or material, shall continue to apply to such information or material after the information or material has been disclosed to the nationwide multistate licensing system and registry. Such information and material may be shared with all state and federal regulatory officials with mortgage industry oversight authority without the loss of privilege or the loss of confidentiality protections provided by federal law or the Inspection of Public Records Act, and the director may enter into agreements or sharing arrangements with other governmental agencies, the conference of state bank supervisors, the American association of residential mortgage regulators or other associations representing governmental agencies as established by rule or order of the director.
History:
Laws 2009, ch. 122, § 18; 2019, ch. 144, § 14.
ANNOTATIONS
The 2019 amendment,
effective July 1, 2019, replaced "nationwide mortgage licensing system and registry" with "nationwide multistate licensing system and registry"; and after each occurrence of "nationwide", deleted "mortgage" and added "multistate".
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-20 - Mortgage loan originator duties.

A. A mortgage loan originator shall, enter into a fiduciary relationship with the borrower. For the purposes of this subsection, "fiduciary relationship" is a relationship in which a mortgage loan originator shall:
(1) safeguard and account for any money handled for the borrower;
(2) follow reasonable and lawful instructions from the borrower;
(3) act with reasonable skill, care and diligence;
(4) act in good faith and engage in fair dealing in any transaction, practice or course of business regarding mortgage loans;
(5) direct, recommend and make reasonable efforts to secure a residential mortgage loan that is reasonably advantageous to the borrower, considering all of the circumstances, and has a net tangible benefit to the borrower;
(6) make a full and fair disclosure of all facts within the knowledge of the mortgage loan originator that are or may be material to the borrower's decision, rights or interests;
(7) disclose to the borrower the existence of all loans available to the mortgage loan originator, for which the borrower qualifies, that have terms that are as favorable or more favorable than those loans offered to the borrower by the mortgage loan originator;
(8) not steer the borrower to a loan or loans with terms that are clearly less favorable than those loans offered to the borrower by the mortgage loan originator; and
(9) maintain all information provided by the borrower or obtained regarding the borrower in strict confidence. However, the mortgage loan originator may disclose confidential information if required by law or rule or if the borrower authorizes the disclosure in writing in advance of the disclosure. Any such authorization shall specifically identify the nature of the information to be disclosed.
B. If not provided by the mortgage loan company, a mortgage loan originator shall, in addition to all other disclosures required by statute or common law:
(1) disclose at least two days prior to closing of the loan the total amount of any compensation the mortgage loan company expects to receive specific to the loan being offered, including origination fees, broker fees, yield spread premiums and other fees payable to the mortgage loan company by the lender or other third party at the time the loan is funded to the borrower; and
(2) clearly and conspicuously disclose in writing a mortgage loan summary, as specified by the director by rule.
History:
Laws 2009, ch. 122, § 20.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 20 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-21 - Private right of action; damages; enforcement by attorney general.

A. Any person who has suffered injury by reason of any method, act or practice in violation of the New Mexico Mortgage Loan Originator Licensing Act may sue in district court. Upon a showing that that act is being or has been violated and a showing that the plaintiff has suffered injury, the court may award damages, punitive damages and injunctive relief and shall award the cost of the suit, including reasonable attorney fees.
B. Whenever the attorney general has reasonable belief that a person is using, has used or is about to use any method, act or practice in violation of the New Mexico Mortgage Loan Originator Licensing Act and enforcement proceedings would be in the public interest, the attorney general may bring an action in the name of the state alleging violations of that act. An enforcement action by the attorney general may be brought in the district court of the county in which the person that allegedly is using, has used or is about to use a method, act or practice in violation of the New Mexico Mortgage Loan Originator Licensing Act resides or has its principal place of business, or in the district court in any county in which the person allegedly is using, has used or is about to use a method, act or practice in violation of the New Mexico Mortgage Loan Originator Licensing Act. In any action filed by the attorney general pursuant to the New Mexico Mortgage Loan Originator Licensing Act, the attorney general may petition the district court for temporary or permanent injunctive relief and restitution. The attorney general acting on behalf of the state shall not be required to post bond when seeking a temporary or permanent injunction in an action brought pursuant to this section.
C. The relief provided in this section is in addition to remedies otherwise available pursuant to common law or other New Mexico statutes.
History:
Laws 2009, ch. 122, § 21.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 21 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-22 - Mortgage call reports.

A mortgage loan originator shall submit to the nationwide multistate licensing system and registry reports of condition, which shall be in such form and shall contain such information as the nationwide multistate licensing system and registry may require.
History:
Laws 2009, ch. 122, § 22; 2019, ch. 144, § 15.
ANNOTATIONS
The 2019 amendment,
effective July 1, 2019, replaced "nationwide mortgage licensing system and registry" with "nationwide multistate licensing system and registry"; and after each occurrence of "nationwide", deleted "mortgage" and added "multistate".
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-23 - Report to nationwide multistate licensing system and registry.

Subject to state privacy laws, the director shall report regularly violations of the New Mexico Mortgage Loan Originator Licensing Act, as well as enforcement actions and other relevant information, to the nationwide multistate licensing system and registry subject to the provisions set forth in Section 58-21B-18 NMSA 1978.
History:
Laws 2009, ch.122, § 23; 2019, ch. 144, 16.
ANNOTATIONS
The 2019 amendment,
effective July 1, 2019, replaced "nationwide mortgage licensing system and registry" with "nationwide multistate licensing system and registry", and provided the statutory citation for a provision of the New Mexico Mortgage Loan Originator Licensing Act; after each occurrence of "nationwide", deleted "mortgage" and added "multistate"; and after "Section", deleted "18 of the New Mexico Mortgage Loan Originator Licensing Act" and added "58-21B-18 NMSA 1978".
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 21B - New Mexico Mortgage Loan Originator Licensing › Section 58-21B-24 - Unique identifier shown.

The unique identifier of any person originating a residential mortgage loan shall be clearly shown on all residential mortgage loan application forms, solicitations or advertisements, including business cards or web sites, and on any other documents as established by rule or order of the director.
History:
Laws 2009, ch. 122, § 24.
ANNOTATIONS
Effective dates.
— Laws 2009, ch. 122, § 61 made the provisions of Laws 2009, ch. 122, § 24 effective July 31, 2009.
Severability.
— Laws 2009, ch. 122, § 60 provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-1 - Short title.

Chapter 58, Article 22 NMSA 1978 may be cited as the "Escrow Company Act".
History:
Laws 1983, ch. 135, § 1; 2015, ch. 135, § 1.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, changed the statutory reference for the Escrow Company Act from "This act" to "Chapter 58, Article 22 NMSA 1978".
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-2 - Purpose.

It is the intent of the legislature that the large and growing escrow industry be supervised and regulated by the financial institutions division of the commerce and industry department [regulation and licensing department] in order to protect the citizens of the state and to provide that the business practices of the escrow industry are fair and orderly among the members of the escrow industry, with due regard to the ultimate consumers in this important area of property protection.
History:
Laws 1983, ch. 135, § 2.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
Laws 1983, ch. 297, § 33 abolishes the commerce and industry department, referred to in this section. Section 31 of that act provides that references to the financial institutions division of the commerce and industry department shall be construed as references to the financial institutions division of the regulation and licensing department. See 9-16-4 NMSA 1978 and notes thereto.
Fidelity bond purchase.
— The language of this section leaves no room for doubt that the purchase of the fidelity bond required by Section 58-22-10 NMSA 1978 inures to the benefit and protection of the public.
Anchor Equities, Ltd. v. Pacific Coast Am.
, 1987-NMSC-041, 105 N.M. 751, 737 P.2d 532.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-3 - Definitions.

As used in the Escrow Company Act:
A. "director" means the director of the division;
B. "division" means the financial institutions division of the regulation and licensing department;
C. "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 of 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 of 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 of that person's agents or employees, pursuant to the written escrow instructions;
D. "escrow company" means any person engaged in the business of receiving escrows for deposit or delivery for compensation who is required to be licensed under the Escrow Company Act;
E. "licensee" means a person holding a valid license as an escrow agent; and
F. "person" means an individual, cooperative, association, company, firm, partnership, corporation or other legal entity.
History:
Laws 1983, ch. 135, § 3; 2015, ch. 135, § 2.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, amended the definition of division to mean the financial institutions division of the regulation and licensing department; in Subsection B, after "division of the", deleted "commerce and industry" and added "regulation and licensing"; and in Subsection C, after "encumbrance of", deleted "such" and added "the", and after "bailor or to any of", deleted "his" and added "that person's".
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-4 - Exempt persons and transactions.

The Escrow Company Act shall not apply to:
A. banks, trust companies, savings banks, savings and loan associations, credit unions, insurance companies not actively engaged in business as escrow companies or mortgage loan companies who have applied for and received an exemption pursuant to the Mortgage Loan Company and Loan Broker Act [Chapter 58, Article 21 NMSA 1978];
B. a person licensed to practice law in this state who is not actively engaged in business as an escrow company;
C. a person who is not actively engaged in business as an escrow company and whose principal business is that of preparing abstracts or making searches of title that are used as a basis for the issuance of any title insurance policy by a company doing business under the laws of this state relating to insurance companies;
D. any broker licensed by the New Mexico real estate commission while performing acts in the course of or incidental to a single real estate transaction and in which the broker is performing an act for which a real estate license is required; provided, however, that any such acts which constitute escrow activity shall not exceed a period of ninety days. Trust accounts of a broker licensed by the New Mexico real estate commission shall not be escrow accounts within the meaning of the Escrow Company Act;
E. a company licensed as a small business investment company pursuant to the Small Business Investment Act of 1958;
F. any person acting under court order; or
G. the United States or the state of New Mexico or any of its branches, agencies, departments, boards, instrumentalities or institutions and all political subdivisions of the state, their agencies, instrumentalities and institutions.
History:
Laws 1983, ch. 135, § 4; 1989, ch. 209, § 15.
ANNOTATIONS
Cross references.
— For the federal Small Business Investment Act of 1958,
see
15 U.S.C. § 661.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-6 - Director; duties and powers.

The director shall exercise general supervision and control over escrow companies doing business in New Mexico. In addition to the other duties imposed upon him by law, the powers and duties of the director are to:
A. make reasonable rules and regulations as may be necessary to effectuate the purposes of the Escrow Company Act;
B. conduct investigations as may be necessary to determine whether any person has engaged or is about to engage in any act or practice constituting a violation of any provision of the Escrow Company Act; and
C. conduct examinations, investigations and hearings in addition to those specifically provided for by law as may be necessary and proper to the efficient administration of the Escrow Company Act.
History:
Laws 1983, ch. 135, § 6.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-8 - Application for license.

Applications for a license as an escrow company shall be in writing and in such form as is prescribed by the director and shall be accompanied by such information and documentation as is required by law. The application shall set forth:
A. the names and addresses of any incorporators, directors, officers, partners, owners and managers of the escrow company;
B. an itemized statement of the estimated receipts and expenditures of the proposed first year of operations;
C. the experience and qualifications of those persons proposed to act as officers and managers;
D. in the case of a corporation, a certified copy of the articles of incorporation and bylaws; and
E. such additional information as the director may require.
History:
Laws 1983, ch. 135, § 8.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-9 - Annual renewal of license.

A. A licensee shall renew its license for each of its offices annually by filing an application for renewal with the director on or before June 1 of each year, accompanied by the appropriate fees. The application for renewal shall be on a form and shall contain such information as the director by rule shall prescribe, which information shall establish that the licensee has continued to maintain necessary qualifications as an escrow agent. If the application for renewal is timely and properly filed and the necessary qualifications are being maintained, the renewal of the license shall be effective on July 1 following the filing of the application and shall be evidenced by an appropriate license issued as of that date.
B. A licensee shall submit with the renewal application:
(1) a copy of the escrow company's corporate federal and state income tax returns or, if the licensee is a sole proprietor, a copy of the escrow company's federal Schedule C as it relates to the escrow company for the immediate prior fiscal year or the year ending December 31 of the year immediately preceding the licensing year. The information contained in the federal and state income tax returns shall be confidential and shall not be a public record; and
(2) as required by accounting control rules promulgated by the division, a copy of reconciliations and corresponding bank statements for the three months immediately preceding the renewal application.
History:
Laws 1983, ch. 135, § 9; 2015, ch. 135, § 3.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, provided for additional requirements for renewal of an escrow agent's license; deleted "Each" and designated the previously undesignated paragraph as Subsection A; in Subsection A, in the first sentence, added "A", and after "renewal shall be on", deleted "such" and added "a", in the second sentence, after "the director by", deleted "regulation" and added "rule", and after "prescribe, which", added "information", and in the third sentence, after "If", deleted "such" and added "the"; and added a new Subsection B.
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-11 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1986, ch. 21, § 2 repeals former 58-22-11 NMSA 1978, as enacted by Laws 1983, ch. 135, § 11, relating to escrow company insurance coverage for professional liability or errors and omissions, effective February 21, 1986.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-12 - Issuance of license.

Upon receiving and filing the application and bond coverage specified in the Escrow Company Act and upon a showing by the applicant of compliance with all requirements of the Escrow Company Act and any rules and regulations promulgated under that act, the director shall grant and issue a license.
History:
Laws 1983, ch. 135, § 12; 1987, ch. 120, § 2.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-13 - Action on bond; limitation.

No action shall be brought upon any bond required pursuant to Section 10 [58-22-10 NMSA 1978] of the Escrow Company Act or insurance coverage required pursuant to Section 11 [58-22-11 NMSA 1978] of that act after the expiration of three years from the accrual of the cause of action.
History:
Laws 1983, ch. 135, § 13.
ANNOTATIONS
Compiler's notes.
— Section 11 of the Escrow Company Act, referred to in this section, was compiled as 58-22-11 NMSA 1978, before being repealed by Laws 1986, ch. 21, § 2.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-14 - New bond required; effect of failure to file new bond.

Upon any recovery in an action on a bond required pursuant to Section 10 [58-22-10 NMSA 1978] of the Escrow Company Act, the licensee shall file a new bond. Failure to file a new bond within ten days of the recovery on a bond or within ten days after notification by the director that a new bond is required constitutes sufficient ground for action by the director under Subsection B of Section 27 [58-22-27 NMSA 1978] of the Escrow Company Act.
History:
Laws 1983, ch. 135, § 14.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-15 - Grounds for denying a license.

The director may deny an escrow company's application for initial licensing or renewal if:
A. the applicant has ever had an escrow company license revoked for cause;
B. the applicant was a partner, owner, officer, director, trustee, manager or principal stockholder of any partnership, corporation or unincorporated association whose escrow company license has been revoked for cause;
C. the applicant has any owner, officer, director or principal stockholder who has had an escrow company license revoked for cause;
D. the director has knowledge that the applicant or a partner, owner, officer, director, trustee or principal stockholder of the applicant has been convicted of fraud, embezzlement or any crime involving moral turpitude pursuant to the laws of New Mexico or has been adjudged disqualified for employment as an escrow company pursuant to the provisions of the Escrow Company Act. For the purpose of this subsection, the division shall be considered a law enforcement agency and the director may acquire arrest record information from another law enforcement agency pursuant to Section 29-10-5 NMSA 1978;
E. there is no officer or manager possessing necessary escrow experience to be stationed in the proposed business location;
F. any false statement of a material fact has been made in application for licensure; or
G. the applicant or any officer, owner, partner, director or incorporator of the applicant has violated any provision of the Escrow Company Act or the rules thereunder or any similar regulatory scheme of a foreign jurisdiction.
History:
Laws 1983, ch. 135, § 15; 1987, ch. 120, § 3; 2015, ch. 135, § 5.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, provided that the financial institutions division shall be considered a law enforcement agency and authorized the director of the financial institutions division to acquire arrest record information from other law enforcement agencies for purposes of licensing escrow companies; in Subsection D, added the last sentence; and in Subsection G, deleted "For the purposes of Subsection D of this section, the director is authorized to acquire arrest record information from a law enforcement agency pursuant to Section 29-10-5 NMSA 1978.".
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-16 - Transferability.

An escrow agent license is not transferable or assignable. The provisions of this section apply to the change of ownership of any licensed escrow company, including the change of control over any corporation licensed as an escrow company. For purposes of this section, "change of control" means the transfer of twenty-five percent or more of the outstanding voting stock of the corporation.
History:
Laws 1983, ch. 135, § 16; 1987, ch. 120, § 4.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-17 - Keeping of records; examination.

A. Every licensee shall make and keep such accounts, correspondence, memoranda, papers, books, data and other records as the director by regulation prescribes. All records so required shall be preserved for six years after the termination of the account unless the director by regulation prescribes otherwise for particular types of records.
B. All the records required to be maintained by the Escrow Company Act are subject to annual examinations by the director, within or without the state of New Mexico, together with such special or other examinations as the director deems necessary or appropriate in the public interest or for the protection of investors. The licensee so examined shall pay a fee for the examination at the rate of one hundred fifty dollars ($150) per day, or fraction of a day, for each authorized representative engaged in the examination; provided that the total fee for such examination shall not exceed seven hundred dollars ($700). If it is necessary for the examination to be conducted outside the state, the actual cost of travel for the examiners shall be reimbursed to the state by the licensee so examined.
History:
Laws 1983, ch. 135, § 17; 1987, ch. 292, § 11.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-18 - Statement of account.

A. Within fourteen days of a written request made by a party to the escrow agreement, a licensee shall provide a full statement of the escrow account, setting forth credits to principal and interest for the period and other information requested.
B. Within the ten-day period following a buyer depositing the final payment on an account, the licensee shall send a notice to the seller and the buyer of property, containing a final statement of account, which statement shall disclose at a minimum the following information:
(1) the names of the seller and the buyer on the account;
(2) the address or legal description of real property or a definitive description of the property if it is not real property;
(3) a statement that the account was paid in full;
(4) the amount of the final payment;
(5) the date that the final payment was deposited with the licensee; and
(6) the date that the final payment was or is expected to be disbursed by the licensee. Money shall be disbursed within five days of the money becoming available to the licensee.
C. A copy of the notice required by this section shall be retained by the licensee and shall be available for examination by the director pursuant to Section 58-22-17 NMSA 1978.
History:
Laws 1983, ch. 135, § 18; 2015, ch. 135, § 6.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, provided additional requirements for escrow agents in providing notices of final statements on an account; designated the previously undesignated language in the section as Subsection A; in Subsection A, after "escrow agreement", deleted "each" and added "a"; and added new Subsections B and C.
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-19 - Division documents exception to Inspection of Public Records Act.

Division examination reports, financial information contained in licensee applications and renewal applications and information on investigations relating to violations of the Escrow Company Act that do not result or have not yet resulted in administrative, civil or criminal action:
A. are not public records subject to the Inspection of Public Records Act [Chapter 14, Article 2 NMSA 1978];
B. may be disclosed only with the consent of the director; and
C. are not subject to subpoena.
History:
Laws 1983, ch. 135, § 19; 2015, ch. 135, § 7.
ANNOTATIONS
The 2015 amendment,
effective July 1, 2015, provided that certain financial institutions division documents are not public records subject to the Inspection of Public Records Act; deleted the former catchline "Public inspection of applications" and added the new language; deleted the language in the section in its entirety, which related to certain escrow documents open to public inspection, and added a new introductory sentence and new Subsections A through C.
Temporary provisions.
— Laws 2015, ch. 135, § 9 provided that an escrow company licensed pursuant to the Escrow Company Act that, prior to the effective date of Laws 2015, ch. 135, §§ 1 to 8 (July 1, 2015), was not required to file a surety or other bond with the director of the financial institutions division of the regulation and licensing department shall have until January 1, 2016 to comply with the provisions of Section 58-22-10 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-20 - Bank deposit required; maintenance of trust accounts.

All money received in escrow prior to disbursement shall be deposited in a trust account maintained in a bank, savings and loan association or credit union located in New Mexico. Such trust accounts shall be maintained separately from those required for operation of the licensee and funds belonging to the licensee. All such money received in escrow may be commingled in one or more trust accounts, provided such funds are separately identifiable to the respective recipients under the escrow agreements.
History:
Laws 1983, ch. 135, § 20.
ANNOTATIONS
Cross references.
— For the Low-Income Housing Trust Act,
see
58-18B-1 NMSA 1978.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-21.1 - Suit to recover trust funds; attorney's fees authorized.

An escrow agent, in any action brought against a party to the escrow to recover trust funds disbursed by the escrow agent to or for the benefit of the party, or in reliance upon a check or draft issued by the party which is subsequently dishonored by the drawee, may recover, in addition to the amount so disbursed, a reasonable amount as attorney's fees and costs. Pending litigation, an escrow agent may retain possession of all escrowed documents until directed otherwise by a court of competent jurisdiction.
History:
1978 Comp., § 58-22-21.1, enacted by Laws 1985, ch. 219, § 1.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-23 - Additional business office locations.

Licensees under the Escrow Company Act shall be entitled to establish additional business office locations by compliance with all of the following:
A. filing with the director notice of the intended address; and
B. a showing that there will be an officer or manager possessing necessary escrow experience stationed in the proposed additional business location; and
C. payment of a branch fee to the director.
History:
Laws 1983, ch. 135, § 23; 1989, ch. 209, § 16.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-24 - Fees.

The director shall charge and collect the following fees:
A. an original license fee for an escrow company of four hundred dollars ($400) for the first office or location;
B. an annual license renewal fee for an escrow company of two hundred dollars ($200) and a delinquency fee of ten dollars ($10.00) per day for each day of delinquency beyond the date required for payment of the licensee's renewal fee;
C. a fee of fifty dollars ($50.00) for each person claiming an exemption from the Escrow Company Act pursuant to Section 58-22-4 NMSA 1978;
D. an original branch license fee for an escrow company branch of two hundred dollars ($200) for each office or location in addition to the first office or location; and
E. an annual license renewal fee for an escrow company branch of two hundred dollars ($200) for each office or location in addition to the first office or location.
History:
Laws 1983, ch. 135, § 24; 1987, ch. 292, § 12; 1989, ch. 209, § 17.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-25 - Limit on fees for servicing loans or contracts of sale.

For servicing loans or contracts of sale, a licensee may charge fees based on the amount of the outstanding loan balance, provided that a licensee shall not charge, collect or receive in excess of one percent per year on the outstanding loan balance as that balance exists as of the date of the loan or sales contract or, for subsequent yearly periods, as that balance exists on the respective annual anniversary dates of the loan or sales contract. In the alternative, a licensee may charge, collect and receive fees based on the number and amount of disbursements made pursuant to the escrow instructions and may charge set-up, close-out and other fees, so long as any such fees are reasonable.
History:
Laws 1983, ch. 135, § 25.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-26 - Unauthorized business practices.

A. Unauthorized business practices of escrow agents include but are not limited to the following:
(1) issuing, circulating or publishing any advertisement by any means of communication or making use of or circulating any written materials indicating that a person is in the escrow business when that person is not a licensed escrow company;
(2) soliciting or accepting an escrow instruction or amended or supplemental escrow instruction containing any blank to be filled in after the signing or initialing of the escrow instruction or amended or supplemental escrow instruction, or permitting any person to make any addition to, deletion from or alteration of an escrow instruction or amended or supplemental escrow instruction unless the addition, deletion or alteration is signed or initialed by all persons who signed or initialed the escrow instruction or amended or supplemental escrow instruction prior to the addition, deletion or alteration;
(3) failing to faithfully carry out the escrow services pursuant to the written escrow instructions, unless amended by the written agreement of all parties to the escrow agreement;
(4) accepting any escrow transaction that requires or has required the prepayment, deduction or withholding of any sum to cover payments on the indebtedness or any prior encumbrance if such payments are not due and payable to the mortgagee or obligee at the time the escrow is established, except for payments to be made on property taxes for the current year or for the next annual premium on hazard insurance;
(5) refusing to allow parties to an escrow transaction or designated agents of those parties access to the records of the escrow transaction; and
(6) failing to distribute funds pursuant to escrow instructions promptly, but in no event later than five days from the final payment as defined in Section 55-4-213 NMSA 1978.
B. Any licensee who commits an unauthorized business practice is subject to the revocation or suspension of his license or to other sanctions imposed by the director as provided in the Escrow Company Act.
History:
Laws 1983, ch. 135, § 26.
2023 New Mexico Statutes › Chapter 58 - Financial Institutions and Regulations › Article 22 - Escrow Companies › Section 58-22-26.1 - Right to rely upon written instructions; conflicting demands upon escrow agent; right to interplead; custody of documents; attorney's fees authorized.

If two or more parties to an escrow make conflicting demands upon the escrow agent regarding the performance of its duties, then the escrow agent may, at its election, hold any money or documents which are the subject of the conflicting demands until it receives mutual instructions resolving the conflict in writing and signed by all parties to the escrow, or until a civil action has been finally concluded in a court of competent jurisdiction determining the rights of all parties to the escrow. In any civil action commenced to resolve the conflicting demands of the parties to the escrow, the escrow agent may recover a reasonable amount as attorney's fees and costs.
History:
1978 Comp., § 58-22-26.1, enacted by Laws 1985, ch. 219, § 2.