reglab/statecodes huggingface dataset:
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 18 - INVESTMENT AND SECURITY POWERS (§§ 45-2-1801 — 45-2-1808) › Section 45-2-1808 - Insured and noninsured deposits and investments - Disclosures to customers

(a)
Any state bank, or securities broker-dealer that offers both insured deposit accounts, including, but not limited to, insured management accounts or insured certificates of deposit, and noninsured investments shall in any advertisement, brochure, prospectus or other advertising statement and in documents opening a customer account provide the disclosures provided in subsection (b).
(b)
(1)
The disclosure required in subsection (a) shall, with regard to the account or investment offering, indicate:
(A)
In the case of a noninsured investment, the fact that the investment is not insured; and
(B)
In the case of an insured deposit account or insured certificate of deposit, the fact that the deposit is insured. In addition, prior to the acceptance of a deposit or sale of a certificate of deposit, the bank or securities broker-dealer shall disclose the name of the insured institution where the deposit is or will be located if other than the institution accepting or selling the deposit.
(2)
Compliance with the disclosure requirements of the federal deposit insurance corporation under
12 C.F.R. 337.4
(repealed) or
12 C.F.R. 328.0
et seq., applicable to the investments, insured deposits, or institutions, shall be deemed to comply with this section. This section shall not entitle any bank or securities broker-dealer to advertise that the institution is a federally insured institution in violation of applicable federal rules.
Acts 1989, ch. 168, § 1.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 19 - CREDIT CARD STATE BANKS (§§ 45-2-1901 — 45-2-1908) › Section 45-2-1903 - Part definitions - Credit card accounts

(a)
For purposes of this part, unless the context otherwise requires:
(1)
"Bank" means a credit card state bank established and operated in accordance with §
45-2-1902
or a domestic lender;
(2)
"Credit card account" or "credit card plan" means any account that can be accessed by a credit card, including a debit card with a credit feature, whereby the cardholder may obtain loans from time to time either by credit card cash advance or by the purchase or satisfaction by the bank of obligations of the cardholder incurred pursuant to a credit card. "Cardholder" includes borrowers and other primary obligors on loans. With regard to a state credit card bank electing to make loans pursuant to §
45-2-1902(d)(5)
, and with regard to a domestic lender electing to make loans pursuant to §§
45-2-1901
- 45-2-1908, "credit card account" or "credit card plan" also includes loans; and
(3)
"Loan" means any extension of credit, including, but not limited to, credit extended under plans or in transactions for which no credit card is issued, whether by way of installment, single payment, add-on, discount factoring, or otherwise for personal, consumer, agricultural or commercial purposes.
(b)
A bank may extend credit under this part through a credit card account.
(c)
This part governs the entire credit card account and all transactions thereunder, including transactions made by check or by another access device or instrument not constituting a credit card. Regardless of the cardholder's place of residence, a credit card account authorized by this part shall be governed solely by federal law and the law of this state, except to the extent the agreement relating to the account provides otherwise. Any other law of this state, including any statute, regulation, or common law, that limits the authority provided by this part or the rate or amount of interest, discount, points, finance charges, time-price differential, service charges or other fees and charges that may be charged, taken, collected, received, or reserved, shall not apply to extensions of credit under a credit card plan that is subject to this part.
Acts 1993, ch. 447, § 6; 1999, ch. 168, §§ 3, 4; 2001, ch. 54, § 34.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 19 - CREDIT CARD STATE BANKS (§§ 45-2-1901 — 45-2-1908) › Section 45-2-1905 - Variable interest rates

If the agreement governing the credit card plan so provides, the rate or rates of interest under the plan may vary in accordance with a schedule or formula, and/or upon the happening of any event or circumstance specified in the agreement, including, but not limited to, the failure of the cardholder to perform in accordance with the terms of the agreement. The interest rates, as so varied, may be made applicable to all or any part of the outstanding indebtedness under the plan on or after the effective date of the variation, including the indebtedness arising out of extensions of credit made prior to the variation in the interest rates.
Acts 1993, ch. 447, § 8.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 19 - CREDIT CARD STATE BANKS (§§ 45-2-1901 — 45-2-1908) › Section 45-2-1906 - Computation of interest

(a)
A bank may charge and collect the interest charges authorized by §
45-2-1904(a)
on each credit extension under the credit card plan from the date the cardholder makes a purchase or obtains a cash advance through the date payment is credited to the account in accordance with applicable federal law.
(b)
Subject to the terms of the written agreement between a bank and a cardholder, outstanding balances may be computed at the beginning or end of any period or on an average basis for the period. Outstanding balances may include any interest charges and other fees and charges posted to the account. Accordingly, a bank may compound interest charges on extension of credit under this part, on a daily or other basis.
(c)
For purposes of determining the daily, weekly, monthly or quarterly rate of interest equivalent to an annual rate, the annual rate shall be divided by: three hundred sixty (360), if the written agreement so provides, or three hundred sixty-five (365), fifty-two (52), twelve (12), or four (4), as the case may be, without regard to the effect of leap years, periods of varying lengths, compounding of interest charges or other factors. A billing period shall be deemed to be a month or monthly if the last day of each billing period is on the same day of each month or does not vary by more than four (4) days from the same day.
(d)
Payments received by a bank under a credit card account may be applied by the bank to purchases, cash advances and/or fees and charges imposed by the bank, in any order, and a bank shall not be required to set forth its payment allocation method in the account agreement or give notice of a change in its payment allocation method, except as required by federal law.
Acts 1993, ch. 447, § 9; 2001, ch. 54, § 33.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 19 - CREDIT CARD STATE BANKS (§§ 45-2-1901 — 45-2-1908) › Section 45-2-1907 - Amendment of credit card agreement

(a)
Except as otherwise provided in subsection (b), a bank may amend its credit card agreement with a cardholder by any method permitted therein upon complying with applicable federal disclosure laws, including, but not limited to, by sending a written change-in-terms notice prior to the effective date of the change, if the change-in-terms notice is required by federal law. The agreement, as so amended, may be made applicable to all or any part of the outstanding indebtedness under the plan on or after the effective date of the amendment, including indebtedness arising out of extensions of credit made prior to the amendment.
(b)
An amendment that materially increases applicable interest rates or other charges or is otherwise materially adverse to the cardholder shall take effect only if the cardholder consents. If the cardholder does give any required consent, the amendment may be made applicable to all or any part of the outstanding indebtedness under the plan on or after the effective date of the amendment, including indebtedness arising out of extensions of credit made prior to the amendment. If the cardholder does not give any required consent, the cardholder shall be permitted to pay the outstanding unpaid indebtedness in accordance with the terms of the agreement, without giving effect to the amendment, and the bank may terminate any further credit extensions under the plan, unless the credit card agreement provides otherwise.
(c)
The cardholder's consent, for purposes of subsection (b), may be expressed by any affirmative act, including, but not limited to, continued usage of the account after a date specified in a change-in-terms or amendment notice sent by the bank. As an alternative, the change-in-terms or amendment notice may require that the cardholder take specified action, such as returning all credit cards and other access devices to the account by a specified date, in which case the cardholder's failure to take action shall be deemed consent by the cardholder to the changed or amended terms.
Acts 1993, ch. 447, § 10.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 19 - CREDIT CARD STATE BANKS (§§ 45-2-1901 — 45-2-1908) › Section 45-2-1908 - Security for cardholders' obligations

A bank may take security of any type, including, but not limited to, a mortgage or deed of trust on residential property or a deposit account or certificate of deposit, for a cardholder's obligations under a credit card account.
Acts 1993, ch. 447, § 11.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 20 - PRIVATE TRUST COMPANIES (§§ 45-2-2001 — 45-2-2005) › Section 45-2-2003 - Remedies

(a)
If a private trust company violates any provisions of this chapter, the commissioner may:
(1)
Institute any action or remedy prescribed by this chapter and chapter 1 of this title, or any applicable rule; or
(2)
Refer the private trust company to the attorney general and reporter for institution of a quo warranto proceeding to revoke the charter.
(b)
After notice and an opportunity for a hearing pursuant to the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, the commissioner shall have authority to revoke the exempt status of a private trust company in the following circumstances:
(1)
The exempt private trust company makes a false statement under oath on any document required to be filed by the department;
(2)
The exempt private trust company fails to submit to an examination as required by this chapter;
(3)
The exempt private trust company withholds requested information from the commissioner; or
(4)
The exempt private trust company violates any provision applicable to exempt private trust companies.
(c)
After taking effect, the revocation is final and nonappealable as to that private trust company. The private trust company shall then be subject to all of the requirements and provisions applicable to non-exempt state trust companies within the period of time that the commissioner determines reasonable and circumstances warrant.
Acts 1999, ch. 112, § 18.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 20 - PRIVATE TRUST COMPANIES (§§ 45-2-2001 — 45-2-2005) › Section 45-2-2004 - Conversion to public trust company

(a)
A private trust company may terminate its status as a private trust company and commence transacting business with the general public. A private trust company desiring to commence transacting business with the general public shall file a notice on a form prescribed by the commissioner, which shall set forth the name of the private trust company and an acknowledgment that any exemption granted or otherwise applicable to the private trust company shall cease to apply on the effective date of the notice, furnish a copy of the resolution adopted by the board authorizing the private trust company to commence transacting business with the general public, and pay the filing fee, if any, prescribed by the commissioner. The commissioner may examine or investigate the private trust company, at the company's expense, in order to act on the notice.
(b)
The notificant may commence transacting business with the general public on the thirty-first day after the date the commissioner receives the notice, unless the commissioner specifies an earlier or later date.
(c)
The thirty-day period of review may be extended by the commissioner on determination that the written notice raises issues that require additional information or additional time for analysis. If the period for review is extended, the notificant may commence transacting business with the public only on prior written approval by the commissioner.
(d)
The commissioner may deny approval of the notice of the private trust company to commence transacting business with the general public if the commissioner finds that the notificant lacks sufficient financial resources to undertake the proposed expansion without adversely affecting its safety or soundness, or that the proposed transacting of business with the general public would be contrary to the public interest, or if the commissioner determines that the notificant will not within a reasonable period be in compliance with any provision from which the notificant had been previously exempted.
(e)
Upon the effective date of conversion, the private trust company shall then be subject to all of this chapter and chapter 1 of this title, and the rules thereof that are applicable to non-exempt state trust companies.
Acts 1999, ch. 112, § 18.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 20 - PRIVATE TRUST COMPANIES (§§ 45-2-2001 — 45-2-2005) › Section 45-2-2005 - Modification or revocation of exemption - Commissioner's authority - Notice - Hearing

(a)
The commissioner shall not modify or revoke any exemption granted to a private trust company under §
45-2-2001
unless:
(1)
The commissioner determines that, based upon the safety and soundness of the private trust company or any action that the private trust company has taken or proposes to take, modification or revocation is necessary to protect the viability of the private trust company; or
(2)
The private trust company fails to comply with any conditions or limitations imposed by the commissioner in connection with granting the exemption.
(b)
The commissioner's authority to modify an exemption under subsection (a) includes the authority to impose conditions or limitations with respect to the exemption.
(c)
(1)
The commissioner must provide notice in writing to the private trust company at least thirty (30) days prior to the effective date of the proposed modification or revocation of an exemption.
(2)
Within thirty (30) days following receipt of the notice provided pursuant to subdivision (c)(1), the private trust company may request in writing that the commissioner hold a hearing for the private trust company to show cause as to why the proposed modification or revocation of an exemption should not become effective.
(3)
If a hearing is requested within the time period set forth in subdivision (c)(2), the commissioner shall schedule and conduct the hearing, and the proposed modification or revocation shall not become effective until the commissioner's final determination following the hearing.
(4)
If a hearing is not requested within the time period set forth in subdivision (c)(2), the proposed modification or revocation shall become effective without further notice or hearing on the date specified in the notice provided pursuant to subdivision (c)(1).
(d)
This section does not modify, limit, or repeal §
45-2-2003
.
Acts 2018, ch. 632, § 2.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2101 - Parts of chapter applicable to trust companies

(a)
Parts 1, 2, 3, 4, 5, 7, 8, and 19 of this chapter do not apply to trust companies, except for §§
45-2-104
,
45-2-105
,
45-2-208
,
45-2-211
,
45-2-215(b)
,
45-2-217
,
45-2-218
,
45-2-219
,
45-2-220
,
45-2-402(d) and (e)
,
45-2-404
and
45-2-405
, and as otherwise provided in this part or as determined by the commissioner.
(b)
Part 14 of this chapter does not apply to trust companies, except for §§
45-2-1408
- 45-2-1411; and, in regards to §
45-2-1409
, for a state trust company, the "application for an interstate merger transaction with the responsible federal bank supervisory agency," means the merger application that is filed with the responsible state agency.
(c)
All provisions referenced in this section are in addition to those other statutes in this chapter that are not applicable to trust companies, as determined by the commissioner under §
45-1-124
.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2102 - Organization of state trust company

(a)
Any number of persons may act as incorporators or organizers of a state trust company.
(b)
Subject to this chapter, a state trust company shall be organized as a corporation under the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27, or a limited liability company under the Tennessee Revised Limited Liability Company Act, compiled in title 48, chapter 249.
(c)
To form a state trust company, the incorporators or organizers shall:
(1)
Submit an application for charter, pursuant to §
45-2-2103
; and
(2)
If the application is approved by the commissioner, submit an application for a certificate of authority, pursuant to §
45-2-2106
.
(d)
For purposes of this part, if the trust company is being formed as a limited liability company, all references to an application for charter shall also mean an application for articles of organization; all references to incorporators shall also mean organizers; and all references to stock or shareholders shall also include membership interests or members, respectively. Any reference to a director shall also mean a manager, if the trust company is being formed as a manager-managed limited liability company. Any reference to applicant shall mean the incorporators or organizers, or the trust company itself, once its corporate existence has begun.
(e)
Prior to submitting an application for charter, each incorporator or organizer shall subscribe and pay in full, in cash, for common stock in a minimum amount representing in aggregate at least ten percent (10%) of the proposed capital of the company. Subscriptions paid by the incorporators for their shares in the proposed trust company may be used to pay organizational expenses, but, in that case, shall not be commingled with funds in any account in which any non-incorporator funds have been or will be deposited.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2104 - Investigation and examination of charter applicants - Determination on application

(a)
Within ninety (90) days after the filing of a complete application for charter, the commissioner shall investigate and examine the application to determine whether:
(1)
The character, reputation and financial standing of the incorporators or organizers is such to establish that the trust company is being formed in good faith for a proper purpose;
(2)
The character, financial responsibility, and business experience and qualifications of the proposed directors and officers justify the belief that the trust company will be operated lawfully and successfully;
(3)
The anticipated volume and nature of business indicates a reasonable probability of success and profitability based on the market sought to be served;
(4)
The proposed capital structure is adequate, considering the factors described in §
45-2-2107
and other information in the application; and
(5)
The incorporators or organizers have complied with all applicable provisions of this chapter.
(b)
The commissioner may extend the ninety-day period if unique or novel issues are presented, or if additional time is needed to complete the investigation and examination.
(c)
The commissioner shall consider the results of the investigation and examination, as well as any additional information that is available to the commissioner, and shall approve the application if satisfied that each requirement in subsection (a) has been met. If approval is granted, the commissioner shall issue the charter or articles of organization, if not yet issued, by filing the charter or articles with the secretary of state at the expense of the applicant and returning the original to the applicant.
(d)
If the commissioner determines that the applicant does not meet the requirements in this chapter, the commissioner may deny the application by providing written notice to the applicant stating the basis for denial.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2105 - Payment of subscriptions - Placement in escrow account - Removal of funds

After the trust company charter or articles of organization have been issued by the commissioner, the incorporators, or, if directors have been initially appointed, the directors of the proposed state trust company, may call for the payment of the subscriptions. The subscriptions shall be placed into an escrow account. The incorporators or directors, as appropriate, may not remove any funds from the escrow account prior to the issuance of the certificate of authority or upon written approval from the commissioner. In the case of an offering to raise capital to form a state trust company by an entity that will control the company, subscriptions shall also be placed into an escrow account and may not be removed prior to the issuance of the certificate of authority or upon written approval from the commissioner.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2106 - Application for certificate of authority - Effect of failure to timely file or full denial - Effect of approval

(a)
In order to obtain a certificate of authority to begin acting as a fiduciary in this state, the applicant shall file an application for a certificate of authority, containing:
(1)
Evidence that capital and surplus have been fully paid in;
(2)
The name and address of each investor, and the number of shares or membership units purchased by each;
(3)
Evidence that adequate fidelity bond coverage on all active officers and employees satisfactory to the commissioner is in force;
(4)
Evidence that suitable insurance against burglary, robbery, theft, liability and similar insurable hazards to which the trust company may be exposed has been acquired;
(5)
Evidence that the bylaws or operating agreement, as applicable, have been adopted; and
(6)
Any other information that the commissioner may require to enable the commissioner to determine whether authority to commence business should be issued.
(b)
The commissioner shall approve or deny an application for a certificate of authority within thirty (30) days after it is filed. If no application for a certificate of authority is filed within six (6) months following approval of an application for charter or any additional period allowed by the commissioner, or if a certificate of authority has been finally denied, the charter or articles of organization shall be forfeited and the company shall be liquidated in accordance with the orders of the commissioner.
(c)
If the commissioner approves the application for a certificate of authority, the commissioner shall promptly issue a certificate of authority and deliver the same to the applicant. If the commissioner denies the application, the commissioner shall promptly mail a notice of the denial to the applicant stating the reasons for the denial.
(d)
As of the date indicated on the certificate of authority, the applicant shall be a state trust company and authorized to act as a fiduciary in this state.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2107 - Adequate capital structure - Factors considered

(a)
No state trust company shall be organized with capital of less than five hundred thousand dollars ($500,000), or such greater amount as may be required by the commissioner after considering the factors in this section.
(b)
The commissioner may at any time prescribe a capital structure for a state trust company that the commissioner deems adequate for it to operate in a safe and sound manner. The commissioner shall consider the following factors in determining an adequate capital structure:
(1)
The nature and type of business conducted or to be conducted;
(2)
The nature and liquidity of assets currently held or to be held in the state trust company's own account;
(3)
The amount of fiduciary assets currently or projected to be under management or administration;
(4)
The type of fiduciary assets currently held or proposed to be held, and the depository of such assets;
(5)
The complexity of fiduciary duties and degree of discretion proposed currently or to be undertaken;
(6)
The competence and experience of current or proposed management;
(7)
The extent and adequacy of internal controls;
(8)
The reasonableness of any business plan for retaining or acquiring additional equity capital;
(9)
The existence and adequacy of insurance for protecting the state trust company's fiduciary assets; and
(10)
Any other factors the commissioner may deem relevant.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2108 - Board of directors - Membership - Meetings - Chief executive officer - Fidelity bond and insurance - Audited financial statement

(a)
The business and affairs of a state trust company organized as a corporation shall be managed under a board of directors consisting of a minimum of five (5) and a maximum of twenty-five (25) members, as specified in the charter or bylaws. A trust company organized as a limited liability company shall be managed by a board consisting of a minimum of five (5) and a maximum of twenty-five (25) directors or managers, as specified in the articles of organization or operating agreement.
(b)
A majority of the board shall be citizens of the United States.
(c)
The board of directors shall meet at least quarterly, and a majority shall constitute a quorum. The commissioner may call a special meeting of the board. The board shall keep minutes of each meeting, including a record of attendance and of all votes cast by each director.
(d)
A state trust company shall have only one (1) officer designated as the chief executive officer of the company, who shall also be a member of the board of directors.
(e)
A state trust company shall report to the commissioner within twenty-four (24) hours any change in the position of chief executive officer and shall provide such other information as the commissioner may require.
(f)
As indicated in §
45-2-2101
, §
45-2-402(d) and (e)
shall apply to a state trust company.
(g)
The directors shall at least annually prescribe the amount or penal sum of the fidelity bond and insurance coverage required by §
45-2-2106(a)
and designate the sureties and underwriters of the bond and insurance, after giving due and careful consideration to all known elements and factors constituting a risk or hazard. The action shall be recorded in the minutes of the board of directors and be subject to approval by the commissioner.
(h)
At least once in each calendar year, at intervals of not more than fifteen (15) months, a state trust company shall obtain and provide to the commissioner an audited financial statement prepared by an independent certified public accountant licensed to do business in this state. In the case of a trust company that is a subsidiary of a holding company, the commissioner may, in the commissioner's discretion, alternatively accept audited consolidated financial statements of the holding company, after considering the structure and complexity of the consolidated organization; provided, that the consolidated total assets of the trust company comprise seventy-five percent (75%) or more of the consolidated total assets of the holding company.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 21 - STATE TRUST COMPANIES (§§ 45-2-2101 — 45-2-2109) › Section 45-2-2109 - Change of control in or of controlling person of state trust company

Section
45-2-103(a)
, including the requirement to file an application and receive the prior approval of the commissioner, shall apply to a change of control in a state trust company or a controlling person of a state trust company. In the case of a change of control in a controlling person, the commissioner may waive the filing of an application if, in the commissioner's discretion, the change in control does not pose any risk to the public. Along with the change of control application the commissioner may, in the commissioner's discretion, require fingerprints and consent to a criminal history records check, or an international criminal background investigation, as provided in §
45-2-2103(b)
.
Added by 2014 Tenn. Acts, ch. 642,s 3, eff. 7/1/2014.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 22 - SECOND AMENDMENT FINANCIAL PRIVACY ACT (§§ 45-2-2201 — 45-2-2204) › Section 45-2-2201

This part is known and may be cited as the "Second Amendment Financial Privacy Act."
Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 22 - SECOND AMENDMENT FINANCIAL PRIVACY ACT (§§ 45-2-2201 — 45-2-2204) › Section 45-2-2202

As used in this part:
(1)
"Assign" or "assignment" means a financial institution's policy, process, or practice that labels, links, or otherwise associates a firearms code with a merchant or a payment card transaction in a manner that allows the financial institution or another entity facilitating or processing the payment card transaction to identify whether a merchant is a firearms retailer or whether a transaction involves the sale of firearms or ammunition;
(2)
"Customer" means an individual or entity engaged in a payment card transaction facilitated or processed by a financial institution;
(3)
"Financial institution" means an individual or entity other than a merchant, involved in facilitating or processing a payment card transaction, including a bank, savings and loan association, state credit union, state trust company, acquirer, payment card issuer, payment card network, payment gateway, or payment card processor;
(4)
"Firearm":
(A)
Means a deadly weapon capable of expelling or propelling one (1) or more projectiles by the action of an explosive or combustible propellant; and
(B)
Includes a firearm component or accessory;
(5)
"Firearms code" means a merchant category code approved by the International Organization for Standardization or an equivalent successor organization that is specifically assigned to a firearms retailer;
(6)
"Firearms retailer" means an individual or entity that is lawfully engaged, from a physical place of business in this state, in selling or trading firearms, antique firearms, or ammunition to be used in firearms or antique firearms;
(7)
"Government entity" means this state, a political subdivision of this state, or any court, agency, or instrumentality of this state;
(8)
"Payment card" means a credit card, charge card, debit card, or another card that is issued to an authorized card user and a Hows the user to. purchase goods or services from a merchant; and
(9)
"Payment card transaction" means a transaction in which a payment card is accepted as payment.
Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 22 - SECOND AMENDMENT FINANCIAL PRIVACY ACT (§§ 45-2-2201 — 45-2-2204) › Section 45-2-2203

(a)
Except for those records kept during the regular course of a criminal investigation and prosecution, or as otherwise required by law, a government entity, or an official, employee, or agent of a governmental entity, shall not knowingly keep or cause to be kept any list, record, or registry of privately owned firearms or the owners of such firearms.
(b)
A financial institution, including an agent of the financial institution, shall not:
(1)
Require or permit the assignment of a firearms code in a way that distinguishes a firearms retailer from other retailers; or
(2)
Subject to subsections (c) and (d), decline a payment card transaction involving a firearms retailer based solely on the assignment of a firearms code.
(c)
This section does not prohibit a financial institution from declining or otherwise refusing to process a payment card transaction for any of the following reasons:
(1)
If necessary to comply with applicable state or federal law;
(2)
If requested by the customer;
(3)
If necessary due to fraud controls; or
(4)
For the purpose of merchant category exclusions offered by a financial institution for the purpose of expenditure control or corporate card control.
(d)
This section does not limit the authority of a financial institution to negotiate with responsible parties or otherwise impair a financial institution's actions related to any of the following:
(1)
Dispute processing;
(2)
Fraud risk, credit management, or other controls in the ordinary course of business operations;
(3)
Protecting against illegal activities, breach, or cyber risks; or
(4)
Restricting the use or availability of a firearms code in this state.
Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 2 - BANKING INSTITUTIONS (§§ 45-2-101 — 45-2-2204) › Part 22 - SECOND AMENDMENT FINANCIAL PRIVACY ACT (§§ 45-2-2201 — 45-2-2204) › Section 45-2-2204

(a)
The attorney general and reporter shall investigate allegations that an individual or entity, including a government entity, has violated § 45-2-2203 and, upon finding a violation, provide written notice to the individual or entity believed to have committed the violation. The individual or entity shall cease the violation within thirty (30) days after receiving such notice.
(b)
(1)
If an individual or entity does not cease the violation within thirty (30) days after receiving notice pursuant to subsection (a), then the attorney general and reporter shall file an action against that individual or entity to seek an injunction in a court of competent jurisdiction.
(2)
If the court finds that the individual or entity violated § 45-2-2203 and has not ceased the activity constituting the violation, the court shall enjoin the individual or entity from continuing such activity and may award any other relief that the court deems appropriate.
(3)
If an individual or entity knowingly fails to comply with an injunction issued under subdivision (b)(2) after thirty (30) days of being served with the injunction, the attorney general and reporter, upon petition to the court, shall seek to impose on that individual or entity a civil fine in an amount not to exceed ten thousand dollars ($10,000) for each violation committed after the expiration of the thirty-day period. In assessing such fine, the court shall consider as factors the financial resources of the violator, the harm or risk of harm to the rights under the Second Amendment to the United States Constitution and the Constitution of Tennessee, Article I, § 26, resulting from the violation.
(4)
An order assessing a civil fine under subdivision (b)(3) must be stayed pending appeal of the order.
(c)
The remedies set forth in this section are the exclusive remedies for a violation of § 45-2-2203.
(d)
It is a defense to a proceeding initiated pursuant to this section that a firearms code was required to be disclosed or assigned by law.
(e)
A firearms retailer physically located in this state whose business was the subject of a violation of this part, or a customer who has transacted business at such firearms retailer, may petition the attorney general and reporter to investigate an alleged violation of this part. If the attorney general and reporter declines to investigate, then the firearms retailer or customer may pursue an injunction in the chancery court of the judicial district where the alleged violation occurred. If the chancery court finds that an individual or entity is responsible for a violation of this part, then the court shall enjoin the aforementioned individual or entity from continuing the conduct found to be in violation of this part.
Added by 2024 Tenn. Acts, ch. 773,s 1, eff. 7/1/2024.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-101 - Short title

This chapter shall be known and may be cited as the "Tennessee Savings and Loan Act."
Acts 1978, ch. 708, § 1.01; T.C.A., § 45-1301.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-102 - Scope and application

(a)
Effect on Existing Associations.
The charter of every savings and loan association, by whatever name called, heretofore organized under the laws of this state existing and in good standing on July 1, 1978, shall continue in full force and effect, subject to compliance with this chapter, and the same shall be deemed as modified to conform with this chapter without the adoption or approval of a new charter, as to corporate powers and functions, and all associations shall bring themselves into compliance as to corporate powers and functions within twelve (12) months from July 1, 1978. An association existing on July 1, 1978, and that is not then in compliance with minimum capital requirements may continue to operate with its existing capital so long as its accounts are insured as provided in this chapter. Unless otherwise invalid or unenforceable, the contracts, obligations, rights, powers, and liabilities of every such association, and the contracts, notes, mortgages, investments, and other assets of every kind and nature whatsoever held by it, as well as its bylaws and resolutions, shall continue in full force and effect. Every existing association and every association hereafter organized under this chapter shall, except as otherwise provided, be subject to this chapter.
(b)
Effect on Federal Associations.
Unless federal laws or regulations provide otherwise, federal savings and loan associations and their members shall possess all of the rights, powers, privileges, immunities, and exemptions granted by this chapter to associations operating hereunder.
Acts 1978, ch. 708, § 1.02; T.C.A., § 45-1302.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-103 - Application of general corporation law and the Uniform Administration Procedures Act

Unless otherwise specifically provided by this chapter or unless the application would otherwise conflict with the purposes of this chapter, the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27, and of the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, as each of those acts may be amended from time to time, shall apply to all associations governed by this chapter.
Acts 1978, ch. 708, § 1.03; T.C.A., § 45-1303; Acts 1994, ch. 551, § 19.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-106 - Tie-in provision

Notwithstanding anything to the contrary in the laws of this state, every association organized and incorporated pursuant to or operating under this chapter has all the powers granted to savings and loan associations whose home offices are located in this state and that are incorporated or operating under the laws of the United States.
Acts 1978, ch. 708, § 1.06; T.C.A., § 45-1306.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-107 - Corporate form required - Capital stock and mutual associations authorized

(a)
No person, except a corporation chartered by the state of Tennessee or a federally chartered association, shall engage in the business of a savings and loan association in this state.
(b)
The charter of an association may provide for the issuance of capital stock or for the organization of the association as a mutual association.
Acts 1978, ch. 708, § 1.07; T.C.A., § 45-1307.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-108 - Ownership of associations - Changes affecting control

(a)
The rights and incidents of ownership in a capital stock association shall be vested in the holders of capital stock as shown on the books of the association and in no other persons. Depositors in capital stock associations shall not be vested with any rights or incidents of ownership in the association. The rights and incidents of ownership in a mutual association shall be vested in the depositors of the association.
(b)
Section
45-2-103
is applicable to state-chartered savings and loan associations. Unless the context requires other meaning, references to bank in §
45-2-103
include state-chartered savings and loan associations for the purposes of this subsection (b) only, and shall not be construed to give the associations any rights or powers not set forth in this chapter.
Acts 1978, ch. 708, § 1.08; T.C.A., § 45-1308; Acts 1984, ch. 697, §§ 1, 2.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-109 - Capital stock - Nature

(a)
Capital stock shall constitute a reserve out of which losses shall be paid after all other available reserves have been exhausted, and shall have a par value, or if the capital stock has no par value, then a stated value, of one dollar ($1.00) per share or another amount that the charter may prescribe.
(b)
(1)
Nonwithdrawability.
Capital stock shall be nonwithdrawable, except as otherwise specifically provided by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27.
(2)
Dividends.
Capital stock shall be entitled to dividends, unless limited by this chapter, or by the Tennessee Business Corporation Act, compiled in title 48, chapters 11-27.
Acts 1978, ch. 708, § 1.09; T.C.A., § 45-1309; Acts 1994, ch. 551, § 19.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-111 - Capital stock and mutual associations - Minimum capital requirements

(a)
(1)
The minimum capital with which an association shall commence business shall be determined by reference to, in the case of a capital stock association, the sum of the par or stated value of all issued and outstanding shares of voting common capital stock, and, in the case of a mutual association, the total of all subscribed and paid-in deposit accounts. The minimum capital of an association shall be prescribed by the commissioner; provided, that the minimum capital shall not be less than:
(A)
One hundred thousand dollars ($100,000) if the home office of the association is to be located in a county having less than ten thousand (10,000) inhabitants;
(B)
Two hundred fifty thousand dollars ($250,000) if the home office is to be located in a county having between ten thousand (10,000) and one hundred thousand (100,000) inhabitants; and
(C)
Five hundred thousand dollars ($500,000) if the home office is to be located in a county having one hundred thousand (100,000) inhabitants or more.
(2)
The population of each county shall be based upon the latest federal census.
(b)
Notwithstanding the above requirements, if the home office of an association is to be located in a county that is contiguous to a county the population of which would require higher minimum capital requirements, and if the commissioner determines that the association will draw a substantial amount of its depositors from the contiguous county, the commissioner shall require that the association meet the higher capital requirements of the contiguous county.
Acts 1978, ch. 708, § 1.11; T.C.A., § 45-1311.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 3 - SAVINGS AND LOAN ASSOCIATIONS (§§ 45-3-101 — 45-3-1508) › Part 1 - GENERAL PROVISIONS (§§ 45-3-101 — 45-3-120) › Section 45-3-112 - Capital stock associations - Paid-in surplus

(a)
In addition to the minimum capital required by this chapter for a capital stock association to commence business, the subscribers to the capital stock of the association shall pay an additional amount for their stock equal to not less than fifty percent (50%) of the par or stated value of the stock subscribed, which additional amount shall be credited to the paid-in surplus account and may be used for organization and operating expenses, including interest to the holders of deposit accounts. The minimum capital and surplus may be used for the reserves required by this chapter and as permitted by the commissioner.
(b)
The capital, paid-in surplus, retained earnings, and other net worth accounts of an association, or any combination of the net worth accounts, may, by action of the association and subject to approval of the commissioner, be specifically earmarked as an insurance reserve account to be used solely for absorbing losses.
Acts 1978, ch. 708, § 1.12; T.C.A., § 45-1312.