78B-21-125. Effect of enforcement by mortgagee.

198 words·~1 min read·/ut/title-78b/chapter-21/78b-21-125

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/9/2017

(1)A request by a mortgagee for appointment of a receiver, the appointment of a receiver, or application by a mortgagee of receivership property or proceeds to the secured obligation does not:

(a)make the mortgagee a mortgagee in possession of the real property;

(b)make the mortgagee an agent of the owner;

(c)constitute an election of remedies that precludes a later action to enforce the secured obligation;

(d)make the secured obligation unenforceable;

(e)limit any right available to the mortgagee with respect to the secured obligation;

(f)constitute an action within the meaning of Section 78B-6-901 ; or

(g)except as otherwise provided in Subsection

(2), bar a deficiency judgment pursuant to law of this state other than this chapter governing or relating to a deficiency judgment.

(2)If a receiver sells receivership property that pursuant to Subsection 78B-21-116(3) is free and clear of a lien, the ability of a creditor to enforce an obligation that had been secured by the lien is subject to law of the state other than this chapter relating to a deficiency judgment.

Enacted by Chapter 431 , 2017 General Session