reglab/statecodes huggingface dataset:
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 4 - INTEREST AND BORROWERS (§§ 45-5-401 — 45-5-405) › Section 45-5-401 - Contracts for interest - Computation

(a)
(1)
With respect to loans where the amount financed is less than one hundred dollars ($100), this chapter permits, but does not require, interest to be contracted for by way of discount. Interest may also be contracted for at an effective rate that results in the same amount being paid as if interest had been contracted by way of discount at a nominal rate not in excess of the maximum nominal rate specified in §
45-5-301(2)
for loans of this category, always subject to the maximum effective rate provided in §
45-5-301(2)
for loans of this category.
(2)
With respect to loans where the amount financed is one hundred dollars ($100) or more, this chapter does not limit or restrict the manner or method of contracting for interest, whether by way of add-on, discount, or otherwise, so long as the maximum effective rate of interest for loans of this category does not exceed that authorized by §
45-5-301(2)
for the loans.
(3)
With respect to loans made under open-end credit plans, interest shall be computed on the principal balance unpaid from time to time, always subject to the maximum effective rate provided in §
45-5-301(2)
for loans of this category.
(b)
In any event, the maximum effective rate of interest on a loan shall:
(1)
Be determined in accordance with the actuarial method;
(2)
In the case of precomputed interest, be calculated and determined as of the date of the loan on the assumption that all scheduled payments will be made as contracted; and
(3)
Not be affected by the prepayment of the loan, in whole or in part.
(c)
Interest may be contracted for on the unpaid balance due after the maturity date of the loan:
(1)
Where the amount financed is less than one hundred dollars ($100), at an effective rate not to exceed eighteen percent (18%) per annum;
(2)
Where the amount financed is one hundred dollars ($100) or more, up to five thousand dollars ($5,000), at an effective rate not to exceed thirty percent (30%) per annum;
(3)
Where the amount financed is more than five thousand dollars ($5,000), at an effective rate not to exceed twenty-four percent (24%) per annum; and
(4)
Where the loan is made under an open-end credit plan, at an effective rate not to exceed twenty-four percent (24%) per annum.
(d)
The term of a loan for the purposes of this section commences on the date the loan is made. Differences in the lengths of months are disregarded and, for any period less than a month, each day may be counted as one-thirtieth (1/30) of a month.
Amended by 2018 Tenn. Acts, ch. 600, Secs.s 4, s 5 eff. 3/23/2018.
Acts 1979, ch. 204, § 9; T.C.A., § 45-2009; Acts 1983, ch. 164, § 2.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 4 - INTEREST AND BORROWERS (§§ 45-5-401 — 45-5-405) › Section 45-5-404 - Remedies of borrowers - Defenses - Limitations of actions

The remedies of borrowers, the limitations on actions of borrowers, the defenses available to borrowers and to registrants, and the procedures applicable in the actions with respect to interest and loan charges under this chapter shall be those as prescribed by the general statute pertaining to interest and other charges by lenders or creditors.
Acts 1979, ch. 204, § 21; T.C.A., § 45-2021.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 4 - INTEREST AND BORROWERS (§§ 45-5-401 — 45-5-405) › Section 45-5-405 - Interest on judgments

When a judgment is based on a note or loan contract hereunder fixing a rate of interest within the limits provided herein, that judgment shall bear interest at the rate so fixed.
Acts 1979, ch. 204, § 22; T.C.A., § 45-2022.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-501 - Supervision by commissioner - Powers of commissioner

(a)
Each registrant shall be subject to the supervision of the commissioner.
(b)
The commissioner is authorized to make and enforce reasonable rules and regulations necessary and proper for the administration, enforcement and interpretation of this chapter.
(c)
In adopting the rules and regulations, the commissioner shall follow the procedures set forth in the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. A copy of every rule and regulation shall be mailed to each registrant at least thirty (30) days prior to the date it shall take effect.
(d)
The commissioner, for the purpose of discovering violations of this chapter and for the purpose of determining whether persons are subject to this chapter, is authorized to examine the registrants, including all books, records and papers employed by the registrants in the transaction of their business, and to summon witnesses and examine them under oath, concerning matters relating to the business of the persons or other matters that may be relevant in the discovery of violations of this chapter. The commissioner may employ deputies and assistants who may be necessary for this purpose, and the deputies and assistants shall be vested with the same authority conferred upon the commissioner by this subsection (d).
Acts 1979, ch. 204, § 16; T.C.A., § 45-2016; Acts 1983, ch. 274, § 19; 1985, ch. 107, § 5; 2004, ch. 747, § 12.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-502 - Examination or investigation fees

The costs for an examination or investigation of registrants shall be assessed pursuant to §
45-1-118(i)
. An unregistered person subject to the certificate of registration requirements of this chapter, that is examined or investigated in accordance with this chapter, shall pay to the commissioner the reasonable and actual expenses of the investigation or examination.
Amended by 2014 Tenn. Acts, ch. 736,s 6, eff. 7/1/2015.
Acts 1979, ch. 204, § 17; T.C.A., § 45-2017; Acts 1981, ch. 416, § 3; 1984, ch. 698, § 1; 1986, ch. 576, § 4; 2004, ch. 747, § 13.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-503 - Annual reports of registrants - Reports by commissioner to governor and general assembly

(a)
Each registrant shall file an annual report with the commissioner by July 31 of each year, containing the following information:
(1)
The names and addresses of persons owning controlling interest in the registrant;
(2)
The location of all places of business operated by the registrant and the nature of the business conducted at each location;
(3)
The names and addresses of all affiliated lenders and affiliated insurance companies doing business in this state;
(4)
Balance sheets, statements of income and expense, summaries of the types of loans made, and other statistical information that may reasonably be required by the commissioner, consistent with generally accepted accounting practices, for the purpose of determining the general results of operations under this chapter; and
(5)
If the registrant is a corporation, the names and addresses of its officers and directors, or if the registrant is a partnership, the names and addresses of the partners.
(b)
If the registrant holds two (2) or more certificates of registration or is affiliated with other registrants, a composite report may be filed, but may not be required.
(c)
The reports shall be filed in a form that may reasonably be required by the commissioner and shall be sworn to by a responsible officer of the registrant. The commissioner is encouraged to adopt forms for the reports consistent with any system uniform with other states.
(d)
The commissioner shall prepare and submit to the governor and the general assembly, annually, an analysis and recapitulation of the reports for the preceding calendar year for the purpose of reflecting the general results of operations under this chapter.
Acts 1979, ch. 204, § 18; T.C.A., § 45-2018.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-504 - Violations - Cease and Desist Orders - Penalties

If, after notice and opportunity for a hearing, the commissioner finds that a person has violated this chapter, or any administrative rule issued pursuant to this chapter, the commissioner may take any or all of the following actions:
(1)
Order the person to cease and desist violating this chapter or any administrative rule issued pursuant to this chapter;
(2)
Require the refund of any interest, fees, or charges collected by the person in violation of this chapter or any administrative rule issued pursuant to this chapter; and
(3)
Order the person to pay the commissioner a civil monetary penalty of not more than ten thousand dollars ($10,000) for each violation of this chapter or administrative rule issued pursuant to this chapter.
Acts 1979, ch. 204, § 20; T.C.A., § 45-2020; Acts 2004, ch. 747, § 14.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-505 - Change of control

(a)
A change in control of a registrant shall require thirty (30) days prior notice in writing to the commissioner. However, in the case of a publicly traded corporation, notification shall be made in writing within thirty (30) days of a change or acquisition of control of a registrant.
(b)
Upon notification, the commissioner may require information deemed necessary to determine whether an application for registration is required. 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 interests of the public.
(c)
Whenever control of a registrant is acquired or exercised in violation of this section, the registration of the registrant shall be deemed revoked as of the date of the unlawful acquisition of control. The registrant, or its controlling person, shall surrender the registration to the commissioner on demand.
Acts 2001, ch. 165, § 9.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-506 - Bar from industry

(a)
If the crime or civil or administrative judgment involved any offense reasonably related to the qualifications, functions, or duties of a person engaged in the business in accordance with this chapter, the commissioner, after notice and opportunity for hearing, may censure, suspend for a period not to exceed twelve (12) months, or bar a person from any position of management, control, employment or providing services for any registrant or other person subject to the commissioner's jurisdiction, if the commissioner finds that the:
(1)
Censure, suspension or bar is in the public interest and that the person has committed or caused a violation of this chapter, a rule or regulation, or an order of the commissioner; or
(2)
Person has been:
(A)
Convicted of or pled guilty to or nolo contendere to any crime; or
(B)
Held liable in any civil action by final judgment, or any administrative judgment by any public agency.
(b)
Persons suspended or barred under this section are prohibited from participating in any business activity of a registrant and from engaging in any business activity on the premises where a registrant is conducting its business. This subsection (b) shall not be construed to prohibit suspended or barred persons from having their personal transactions processed by a registrant.
(c)
This section shall apply to any violation, conviction, plea, or judgment after July 1, 2001.
Acts 2001, ch. 165, § 9; 2004, ch. 747, § 15.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-507 - Filing of written report with commissioner - Events impacting activities of registrant

Within fifteen (15) days of the occurrence of any one (1) of the events listed in this section, a registrant shall file a written report with the commissioner describing the event and its expected impact on the activities of the registrant:
(1)
The filing for bankruptcy or reorganization by the registrant;
(2)
The institution of revocation or suspension proceedings against the registrant by any state or governmental authority;
(3)
The denial of the opportunity to engage in business by any state or governmental authority;
(4)
Any felony indictment of the registrant or any of its officers, directors or principals, or partners;
(5)
Any felony conviction of the registrant or any of its officers, directors, principals, or partners; and
(6)
Other events that the commissioner may determine and identify by rule.
Acts 2001, ch. 165, § 9.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-508 - Preservation of records - Reproduction

All books and records required to be preserved by any regulation of the commissioner or required by any federal statute, regulation, or regulatory guideline, as applicable to each registrant, shall be preserved and made available to the commissioner, as provided in this chapter, for a period of twenty-five (25) months on all rejected applications and for a period of twenty-four (24) months on loans paid in full. The registrant may cause any or all records at any time in its custody to be reproduced or preserved, or both, by itself or by any other person who agrees in writing to submit its operations to the examination of the commissioner to the extent that the operations directly affect recordkeeping by any microphotographic process, electronic or mechanical data storage technique or any other means. A record reproduced or preserved, or both, by those processes, techniques or means shall have the same force and effect as the original record and be admitted into evidence equally with the original.
Acts 2001, ch. 165, § 9.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 5 - SUPERVISION BY COMMISSIONER (§§ 45-5-501 — 45-5-509) › Section 45-5-509 - Consent orders

(a)
The commissioner may enter into consent orders at any time with any person to resolve any matter arising under this chapter. A consent order shall be signed by the person to whom it is issued, or a duly authorized representative, and shall indicate agreement to the terms contained in the consent order. A consent order need not constitute an admission by any person that any provision of this chapter, or any rule, regulation or order promulgated or issued under this chapter has been violated, nor need it constitute a finding by the commissioner that the person has violated any provision of this chapter or any rule, regulation or order promulgated or issued under this chapter.
(b)
Notwithstanding the issuance of a consent order, the commissioner may seek civil or criminal penalties or compromise civil penalties concerning matters encompassed by the consent order.
(c)
In cases involving extraordinary circumstances requiring immediate action, the commissioner may take any enforcement action authorized by this chapter without providing the opportunity for a prior hearing, but shall promptly afford a subsequent hearing upon an application to rescind the action taken that is filed with the commissioner within twenty (20) days after receipt of the notice to the commissioner's emergency action.
Acts 2004, ch. 747, § 16.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-601 - Supervision and examination

In addition to the supervision and examination for compliance with this chapter as herein provided, industrial banks and industrial investment companies shall also be supervised and examined as banks for the protection of holders of investment and thrift certificates. To that end, the commissioner shall have and exercise with respect to industrial banks and industrial investment companies, in addition to the other powers and duties conferred by this title, the powers and duties specified in §
45-1-107
and in chapter 2, part 16 of this title, which part 16 shall be fully applicable to industrial banks and industrial investment companies.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-602 - Liquidation, dissolution, and reorganization of industrial banks

Chapter 2, part 15 of this title, pertaining to the liquidation, dissolution and reorganization of state banks, is fully applicable to industrial banks and industrial investment companies.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-603 - Capital structure

(a)
To be registered as an industrial bank and to be authorized to issue thrift certificates, an industrial bank must have the capital structure required of state banks.
(b)
To be registered as an industrial investment company and to be authorized to issue investment certificates, an industrial investment company must have a capital structure in keeping with the scope of its existing and proposed operations, as determined by the commissioner. In making the determinations, the commissioner shall consider the justification offered by the applicant in support of its existing or proposed capital structure; the amount of outstanding and proposed investment certificates of the applicant; the number and characteristics of any existing holders of the certificates and of the market contemplated for any proposed offering; the terms of any proposed offering; the assets and liabilities of the company; the history of profitability of the company; and any other factors deemed pertinent to the protection of investors in the certificates. In no event shall the commissioner require a capital structure for an industrial investment company less than that required for a comparable industrial loan and thrift company or more than that required for a comparable industrial bank.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-604 - Insurance of thrift certificates

For the purpose of providing for the insurance of thrift certificates, chapter 2, part 8 of this title shall be fully applicable to qualified industrial banks and to thrift certificates issued by them, and for that purpose, the word "bank" as used in that part includes "industrial bank" and the word "deposit" as used in that part includes "thrift certificate."
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-605 - Issuance of thrift certificates

An industrial bank shall not issue thrift certificates until and unless:
(1)
It is qualified for federal deposit insurance and its thrift certificates are insured by the federal deposit insurance corporation;
(2)
It has filed the forms, documents and receipts to be used by it in the offering and sale of the thrift certificates with the commissioner; and
(3)
It has complied with all rules and orders of the commissioner governing the issuance of the thrift certificates by it.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-606 - Rules concerning investment and thrift certificates

In addition to the other rulemaking powers conferred upon the commissioner by this title, the commissioner is authorized and directed to adopt rules governing the issuance, offering and sale of investment certificates by industrial investment companies or thrift certificates by industrial banks and all operations of industrial investment companies and industrial banks in connection therewith, in order to protect the interests of the holders of the certificates, including, but not limited to, the maintenance of appropriate reserves.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-607 - Applicability of laws pertaining to banks

In order to protect the interests of holders of thrift certificates, in addition to the other provisions of chapters 1 and 2 of this title made applicable by this chapter to industrial banks, the following sections are applicable to industrial banks as to state banks generally: §§
45-1-122
; 45-2-101 [repealed]; 45-2-103; 45-2-203; 45-2-207(a), (d) and (e); 45-2-207(c), except the reference to "trust powers"; 45-2-208, except that loan limits for industrial banks shall be controlled by §
45-5-302
, rather than §
45-2-1102
; 45-2-209 [repealed]; 45-2-404; 45-2-607, except that industrial banks may invest in obligations that satisfy the requirements of chapter 5 of this title; and 45-2-616.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-608 - Conversion of industrial loan and thrift companies

Any industrial loan and thrift company holding a certificate of registration under this chapter may convert to an industrial bank or to an industrial investment company by meeting the qualifications for operating as an industrial bank or industrial investment company as provided in this chapter. The commissioner shall provide forms for applications for conversion and may adopt rules governing conversion.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-609 - Merger with state bank

(a)
Any industrial loan and thrift company holding a certificate of registration under this chapter that has converted into an industrial bank may, with the approval of the commissioner, be merged into a state bank in accordance with the procedures contained in §
45-2-1304
if the following conditions are met:
(1)
The industrial loan and thrift company was legally chartered to transact business before 1930, and has, since its original incorporation, and prior to May 16, 1983, maintained branch offices in more than four (4) counties;
(2)
The industrial loan and thrift company has been registered continuously with the state of Tennessee since the first enactment of statutes regulating the industrial loan and thrift industry; and
(3)
The capital of the industrial loan and thrift company is, in the opinion of the commissioner, impaired or the company is, in the opinion of the commissioner, otherwise in an unsound condition as evidenced by a pending petition for corporate reorganization in bankruptcy or other similar legal proceeding.
(b)
The authority of the commissioner to approve the mergers authorized in subsection (a) shall extend only to those transactions for which a merger agreement has been filed with the commissioner on or before December 1, 1983.
(c)
The commissioner shall not approve any merger of an industrial bank into a state bank under this section unless the commissioner determines that the industrial bank will not be owned or controlled, directly or indirectly, by any person who would not be otherwise qualified to own or acquire control in a state bank.
(d)
For a period of three (3) full years following the effective date of the merger of an industrial bank into a state bank, in those counties other than the county in which the principal office of a state bank is located, the state bank into which the industrial bank is merged may continue to operate only those branch offices of the original industrial loan and thrift company that were in existence and operating on January 1, 1983, and those branch offices for which, in the opinion of the commissioner, land acquisition and plans for construction were substantially complete on or before January 1, 1983.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-610 - Conversion of investment certificates to thrift certificates

Any outstanding investment certificates of an industrial loan and thrift company or of an industrial investment company that converts to operation as an industrial bank or any outstanding investment certificates of an industrial bank may be converted to thrift certificates, if the certificates will be insured by the federal deposit insurance corporation and otherwise meet the requirements for thrift certificates provided in this chapter and of any applicable rules adopted by the commissioner.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-611 - Fees

The commissioner is authorized and directed to adopt a schedule of fees to cover the reasonable costs of examination and supervision and of the processing of conversion applications provided for in this part. Failure to pay any such fee shall be cause for suspension or revocation of authority or denial of any application.
Acts 1983, ch. 274, § 20.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 5 - INDUSTRIAL LOAN AND THRIFT COMPANIES (§§ 45-5-101 — 45-5-612) › Part 6 - INDUSTRIAL BANKS AND INDUSTRIAL INVESTMENT COMPANIES (§§ 45-5-601 — 45-5-612) › Section 45-5-612 - Out-of-state banks restricted - Compliance with section 45-5-609 required for all banks

(a)
(1)
The general assembly finds and declares that the ownership of industrial banks by non-Tennessee bank holding companies or other non-Tennessee corporations is not of benefit to the people and economy of this state and will result in the drain of capital from Tennessee.
(2)
By July 5, 1984, any industrial bank owned by a bank holding company, or other company whose principal place of business is not in Tennessee, shall be divested by the company or liquidated and dissolved under §
45-2-1501(b)
, or shall be recertified by the commissioner as an industrial investment company, as defined in §
45-5-102
, with the rights and powers of an industrial investment company, and shall no longer qualify as an industrial bank nor exercise any of the rights and powers of an industrial bank.
(b)
No industrial bank shall be created nor any industrial loan and thrift company or industrial investment company shall be converted to an industrial bank pursuant to §
45-5-608
, or pursuant to any other provision of law unless the industrial bank, industrial loan and thrift company or industrial investment company satisfies the conditions set forth in §
45-5-609(a)(1) and (2)
.
(c)
If an application for organization as or conversion to an industrial bank is pending or the application has been approved for certification as an industrial bank, then any applicant or industrial bank that does not meet the requirements of this section and §
45-5-609
shall be recertified by May 5, 1984, by the commissioner as an industrial investment company as defined in §
45-5-102
, with the rights and powers of an industrial investment corporation, and shall no longer qualify as an industrial bank nor exercise any of the rights and powers of an industrial bank, or shall be liquidated and dissolved under §
45-2-1501(b)
.
(d)
Subsection (c) applies to any and all industrial banks and applications for organization as or conversion to an industrial bank including, but not limited to, applications filed and approved prior to February 23, 1984; applications filed prior to but approved after February 23, 1984, and prior to April 5, 1984; applications filed before February 23, 1984, and pending on April 5, 1984; and applications filed and pending or filed and approved after February 23, 1984, and before April 5, 1984.
(e)
This section shall not be construed to alter, deny, void or otherwise affect the rights and powers of either an industrial bank meeting the requirements of §
45-5-609
, or a state bank resulting from a merger provided for in §
45-5-609
.
Acts 1984, ch. 513, §§ 1-5.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 1 - PAWNBROKER RESTITUTION (§§ 45-6-101 — 45-6-103) › Section 45-6-101 - Short title

This part shall be known and may be cited as the "Pawnbroker Restitution Act".
Added by 2016 Tenn. Acts, ch. 862,s 1, eff. 7/1/2016.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 1 - PAWNBROKER RESTITUTION (§§ 45-6-101 — 45-6-103) › Section 45-6-102 - Crediting money paid by conveying customer if goods are misappropriated or stolen

Notwithstanding §
40-24-105
, all moneys paid by a conveying customer pursuant to §
45-6-213(c)
, §
40-35-301
, or §
40-35-304
, or pursuant to an order by any court of this state, whether civil or criminal in nature, shall be credited as follows:
(1)
If the misappropriated or stolen goods are returned to the claimant of the property, the pawnbroker shall first receive payment until the full amount the conveying customer received from the pawnbroker for the property, plus all applicable pawn service charges, and all fees and costs incurred by the pawnbroker in defending a replevin action or civil matter, are paid. Only after the pawnbroker is repaid in full shall payments be credited toward litigation taxes, costs, fines, or any other payment specified by the court; or
(2)
If the misappropriated or stolen goods are not returned to the claimant of the property, the claimant shall first receive payment in an amount specified by the court. After the claimant receives payment in full, all other payments shall be made in accordance with subdivision (1).
Added by 2016 Tenn. Acts, ch. 862,s 1, eff. 7/1/2016.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 1 - PAWNBROKER RESTITUTION (§§ 45-6-101 — 45-6-103) › Section 45-6-103 - Relinquishment of item believed misappropriated or stolen

A pawnbroker shall not be required to relinquish to a claimant an item believed to be misappropriated or stolen unless a court has ordered the pawnbroker to do so; provided, that the pawnbroker shall be subject to any hold order issued pursuant to §
45-6-213
.
Added by 2016 Tenn. Acts, ch. 862,s 1, eff. 7/1/2016.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-201 - Short title

This part shall be known and may be cited as the "Tennessee Pawnbrokers Act of 1988."
Acts 1988, ch. 724, § 1.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-202 - Purpose

The making of pawn loans and the acquisition and disposition of tangible personal property by and through pawnshops vitally affects the general economy of this state and the public interest and welfare of its citizens. It is the policy of this state and the purpose of this part to:
(1)
Ensure a sound system of making loans and acquiring and disposing of tangible personal property by and through pawnshops and to prevent unlawful property transactions, particularly in stolen property, through licensing and regulating pawnbrokers and certain persons employed by or in pawnshops;
(2)
Provide for licensing fees, investigation fees, and minimum capital requirements of licensees;
(3)
Ensure financial responsibility to the state and the public;
(4)
Ensure compliance with federal and state laws; and
(5)
Assist local governments in the exercise of their police power.
Acts 1988, ch. 724, § 2.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-204 - Authority of licensed pawnbrokers

(a)
A pawnbroker licensed pursuant to this part has the power to:
(1)
Make loans on the security of pledged goods as a pawn or pawn transaction;
(2)
Purchase tangible personal property under a buy-sell agreement from individuals as a pawn or pawn transaction on the condition it may be redeemed or repurchased by the seller at a fixed price within a fixed time not to be less than sixty (60) days;
(3)
Lend money on bottomry and respondentia security, at marine interest;
(4)
Deal in bullion, stocks and public securities;
(5)
Make loans on real estate, stocks and personal property;
(6)
Purchase merchandise for resale from dealers and traders;
(7)
Make over-the-counter purchases of goods that the seller does not intend to buy back. The pawnbroker shall hold the goods for a period of not less than twenty (20) business days before offering the merchandise for resale; and
(8)
Use its capital and funds in any lawful manner within the general scope and purposes of its creation.
(b)
Notwithstanding this section, except for a pawn or pawn transaction authorized by Acts 1995, ch. 186, no pawnbroker shall have the power as enumerated in this section without first complying with the law regulating the particular transactions involved.
Acts 1988, ch. 724, § 4; 1995, ch. 186, § 3; 1997 , ch. 409, § 1.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-205 - License required

It is unlawful for any person, firm, or corporation to establish or conduct a business of pawnbroking unless the person, firm, or corporation has first procured a license to conduct the business in the manner and form as provided in this part.
Acts 1988, ch. 724, § 5.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-206 - Eligibility requirements for license

(a)
To be eligible for a pawnbroker's license, an applicant must:
(1)
Be of good moral character;
(2)
Have net assets, as defined herein, of at least seventy-five thousand dollars ($75,000), readily available for use exclusively in conducting the business of each licensed pawnbroker;
(3)
Show that the business will be operated lawfully and fairly within the purpose of this part; and
(4)
Each licensed pawnbroker shall conform to the requirements set forth in §
45-6-221
.
(b)
Despite a person's eligibility for a pawnbroker's license under subsection (a), the county clerk shall find ineligible an applicant who has a prior felony conviction within ten (10) years next preceding that:
(1)
Directly relates to the duties and responsibilities of the occupation of a pawnbroker; or
(2)
Otherwise makes the applicant presently unfit for a pawnbroker's license.
(c)
If an applicant for a pawnbroker's license is a business entity, the eligibility requirements of subsections (a) and (b) apply to each operator or beneficial owner, and as to a corporation, to each officer, shareholder, and director.
Acts 1988, ch. 724, § 6; 1994, ch. 935, § 1; 1995, ch. 186, § 4; 1997, ch. 409, § 4; 2012, ch. 778, § 2.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-207 - Petition for license - Fee for investigation

(a)
Every person, firm or corporation desiring to engage in the business of pawnbroker shall petition the county clerk in the county in which the pawnbroker establishment is to be operated for a license to conduct the business.
(b)
The petitions shall provide:
(1)
The name of the person, and in case of a firm or corporation, the names of the persons composing the firm or of the officers and stockholders of the corporation;
(2)
The place, street, and number where business is to be carried on;
(3)
Specify the amount of net assets or capital proposed to be used by the petitioner in the business;
(4)
The signature of at least ten (10) freeholders, citizens of the county in which petitioner resides, of good reputation, certifying to the good reputation and moral character of the applicant or applicants;
(5)
The statement required in subdivision (b)(3) shall be accompanied by an unaudited statement from a certified public accountant and shall contain the following statement:
According to the information provided to me, the net assets, as defined in Tennessee Code Annotated, §
45-6-203
, or proposed capital to be used by the applicant, ______________ (name) in the pawnbroker business, are valued at not less than seventy-five thousand dollars ($75,000);
(6)
An affidavit by petitioner that petitioner has not been convicted of a felony within the past ten (10) years, that directly affects the petitioner's ability to lawfully and fairly operate pursuant to this part;
(7)
A certificate from the chief of police and/or sheriff and/or the Tennessee bureau of investigation that petitioner is of good moral character and has not been convicted of a felony within the past ten (10) years; and
(8)
Certified funds in the amount of fifty dollars ($50.00) payable to the county clerk to defray the costs of investigation of the petition, plus to pay directly for the costs of the city, sheriff, and Tennessee bureau of investigation investigating the petitioner.
Acts 1988, ch, 724, § 7; 1993, ch. 229, § 1.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-208 - Granting of license - Transfer - Fee

Every person, firm, or corporation having satisfied the provisions of §
45-6-206
and having paid the business tax and any other taxes as provided by law, and having produced to the county clerk satisfactory evidence of good character as to being a suitable person or persons to carry on the business of pawnbroker, shall be granted a license as herein provided. The license issued hereunder shall state the name of the person, firm, or corporation to whom issued, the place of business and street number where the business is located and the amount of capital employed, and shall entitle the person receiving the same to do business at the place designated in the license. The license shall not be transferable from one (1) person to another, but may be transferred from one (1) place to another, by consent of the county clerk, on payment to the county clerk of a transfer fee of ten dollars ($10.00).
Acts 1988, ch. 724, § 8.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-210 - Rate of interest - Other charges permitted

In connection with and for a pawn or pawn transaction, no pawnbroker shall demand and receive a rate of interest greater than two percent (2%) per month of the amount of the loan advance under the pawn or pawn transaction, and no other charge of any description, for any purpose whatsoever, shall be made by the pawnbroker; except that the pawnbroker may charge, contract for and receive a fee not to exceed one-fifth (1/5) of the amount of the loan advance under the pawn or pawn transaction for investigating the title, storage, insuring the pledged goods, closing the loan, making daily reports to local law enforcement officers and for other expenses, losses of every nature whatsoever and for all other services. The fee when made and collected shall not be deemed interest for any purpose of law. The interest and fee shall be deemed to be earned, due and owing as of the date of the pawn transaction and a like sum shall be deemed earned, due and owing on the same day of each subsequent month.
Acts 1988, ch. 724, § 10; 1995, ch. 186, § 7.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-211 - Failure to redeem - Notice to pledgor

(a)
In every pawn transaction made under a loan of money pawn transaction as defined in this part, the pawnbroker shall retain in the pawnbroker's possession the pledged goods for thirty (30) days after the maturity date of the pawn transaction. Pledged goods not redeemed by the pledgor on or before the maturity date of the pawn transaction set out in the pawn ticket issued in connection with any pawn transaction may be redeemed by the pledgor within the period of thirty (30) days after the maturity date of the pawn transaction by the payment of the originally agreed redemption price (interest, fee and loan amount), and the payment of the additional interest and fee for the period following the original maturity date due on the pawn transaction.
(b)
If the pledgor fails to redeem the pledged goods within thirty (30) days after the maturity date of the pawn transaction, the pledgor shall thereby forfeit all right, title and interest of, in and to the pledged goods to the pawnbroker, who shall thereby acquire an absolute title to the pledged goods and the debt becomes satisfied, and the pawnbroker shall have the authority to sell or dispose of the unredeemed pledged goods as the pawnbroker's own and may sell the unredeemed pledged goods.
(c)
If the pledgor loses the pawn ticket, the pledgor shall not thereby forfeit the right to redeem the pledged goods, but may promptly, before the lapse of the final redemption date, make affidavit for the loss, describing the pledged goods, which affidavit shall take the place of the pawn ticket, unless the pledged goods have already been redeemed under this part.
(d)
The following information shall be printed on all pawn tickets or buy-sell tickets:
(1)
ANY PERSONAL PROPERTY PLEDGED TO A PAWNBROKER WITHIN THIS STATE IS SUBJECT TO SALE OR DISPOSAL WHEN THERE HAS BEEN NO PAYMENT MADE ON THE ACCOUNT FOR A PERIOD OF THIRTY (30) DAYS AFTER THE MATURITY DATE OF THE PAWN TRANSACTION AND NO FURTHER NOTICE IS NECESSARY;
(2)
THE PLEDGOR OF THIS ITEM ATTESTS THAT IT IS NOT STOLEN, IT HAS NO LIENS OR ENCUMBRANCES AGAINST IT AND THE PLEDGOR HAS THE RIGHT TO SELL OR PAWN THE ITEM;
(3)
THE ITEM PAWNED IS REDEEMABLE ONLY BY THE BEARER OF THIS TICKET; and
(4)
A blank line for the pledgor's signature.
Acts 1988, ch. 724, § 11; 1995, ch. 186, § 8.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-214 - Right to redeem

Except as otherwise provided by this part, any person presenting a pawn ticket to the pawnbroker may be presumed to be entitled to redeem the pledged goods described in the pawn ticket.
Acts 1988, ch. 724, § 14.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-215 - Safekeeping of pledges - Insurance coverage

Every pawnbroker licensed under this part shall provide a safe place for the keeping of the pledges provided by the pawnbroker, and shall have sufficient insurance coverage on the property held on the pledge for the benefit of the pledgor, to pay the stated value as recited on the pawn stub of the pawned article, in case of destruction by fire or other catastrophe, and the policy shall be made payable, in the case of loss, to the city or county clerk for the benefit of the pledgor, as the pledgor's interest may appear, which policy shall be deposited with the city or county clerk. "Pawn value," for the purposes of this section, means the amount of money loaned on the particular article, as stated on the pawn ticket and in the stub book, as recited under §
45-6-209(b)(3)
.
Acts 1988, ch. 724, § 15.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-216 - Information concerning suppliers

Upon request from any law enforcement agency, whether city, county, or state, a pawnbroker shall furnish the names of all suppliers from whom the pawnbroker has purchased merchandise for resale. This information is not to be recorded nor sent to any law enforcement agency but shall be maintained at the pawnshop for a period of at least one (1) year from the date of purchase.
Acts 1988, ch. 724, § 16.
2023 Tennessee Code › Title 45 - BANKS AND FINANCIAL INSTITUTIONS (§§ 45-1-101 — 45-20-111) › Chapter 6 - PAWNBROKERS (§§ 45-6-101 — 45-6-224) › Part 2 - PAWNBROKERS ACT OF 1988 (§§ 45-6-201 — 45-6-224) › Section 45-6-217 - Sign over entrance

Every licensee under this part shall cause the name of the pawnbroker, firm or corporation, with the words, "Licensed Pawnbroker" to be printed or painted, in large, legible characters, and placed over the outside of the door or entrance of the shop, office, or place of business.
Acts 1988, ch, 724, § 17.