25-13-506. Duty of secured party.
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/mt/title-25/chapter-13/part-5/25-13-506·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
25-13-506 . Duty of secured party.
(1)The secured party under any security agreement of record is required, upon 15 days' notice in writing served upon the party in person by any creditor of the debtor seeking to satisfy a judgment of the creditor against the debtor, to make and file in the office of the county clerk and recorder or other filing officer with whom the financing statement covering the security agreement is filed an affidavit showing the amount of the indebtedness then actually due and owing to the secured party. The affidavit must state the amount of the original obligation for which the security agreement was given as security, all additional advancement of money or property on the principal obligation since the date of the execution of the security agreement, all payments, whether on principal or interest, made by the debtor to the date of the execution of the affidavit by the secured party, and the balance then remaining due and unpaid to the secured party. If within 15 days from the service of any demand in writing on the secured party by any creditor of the debtor the secured party fails, refuses, or neglects to file the affidavit, the security agreement is of no effect as against the creditor upon the seizure of any personal property on execution.
(2)If the amount shown to be due is paid to the county treasurer, to a filing officer, or to the secured party in satisfaction of the security agreement by any execution creditor against the debtor, the secured party is required to surrender to the county treasurer or the filing officer the security agreement and any note or other evidence of indebtedness secured by the agreement, note, or other evidence of indebtedness. The security agreement or other evidence of indebtedness must be delivered by the secured party, county treasurer, or filing officer to the execution creditor.