Section 14: Lender's payment of contractor
78 words·~1 min read·
/ma/part-ii/title-i/chapter-183c/14A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 14. A lender shall not pay a contractor under a home improvement contract from the proceeds of a high cost home mortgage loan other than
(i)by an instrument payable to the borrower or jointly to the borrower and contractor, or
(ii)at the election of the borrower, through a third party escrow agent in accordance with terms established in a written agreement signed by the borrower, the lender and the contractor before the disbursement of funds.