HB382 Alabama 2012 Session

This bill would adopt the Alabama Uniform Residential Mortgage Satisfaction Act

This bill would provide a method for a landowner or other entitled person to request a payoff statement pursuant to a notification that may be transmitted to a secured creditor by first class mail, facsimile, or email

This bill would require a secured creditor, upon notification, to comply with the request for a payoff statement within a certain period of time or be liable for damages

This bill would require secured creditors to record mortgage satisfactions within 30 days of the day the mortgage is paid or be liable for damages

This bill would provide damages in certain circumstances for failing to comply

This bill would provide a self-help title clearing remedy for a person entitled to the recording of a mortgage satisfaction pursuant to the use of an Affidavit of Satisfaction and a Satisfaction Agent

This bill would also provide for the use of a Document of Rescission by a secured creditor to rescind an erroneous recording of a mortgage satisfaction and limit potential liability

To adopt the Alabama Residential Mortgage Satisfaction Act as a new Chapter 10B, Title 35, Code of Alabama 1975, to provide a uniform method for clearing residential land titles for subsequent transactions; to provide a method for a landowner or other entitled person to request a payoff statement pursuant to a notification transmitted to a secured creditor; to require a secured creditor, upon notification, to comply with the request for a payoff statement within a certain period of time; to require secured creditors to record mortgage satisfactions within a certain period of time of the payment date; to provide penalties for violations; to provide a self-help title clearing remedy pursuant to the use of an Affidavit of Satisfaction and a Satisfaction Agent; to provide for the use of a Document of Rescission by a secured creditor to rescind an erroneous recording of a mortgage; and to amend Sections 35-10-26 and 35-10-30, Code of Alabama 1975, to conform those code sections to the new chapter.