Minnesota Modifies Provisions Regarding Mortgage Foreclosure, Commerce and Notary Public Fees
By Lee Greenberg, J.D.
June 2, 2015 The state of Minnesota recently modified provisions regarding mortgage foreclosure, commerce and notary public fees.
Modified Provisions Regarding Mortgage Foreclosure
Minnesota modified its provisions relating to mortgage foreclosure by amending the definition of a small servicer and clarifying the Foreclosure Curative Act in House Bill 2213. The legislation is effective the day following final enactment.
Under the amended law, “small servicer” means a servicer that is either:
- A small servicer, as defined in Code of Federal Regulations, title 12, section 1026.41, paragraph (e), clause (4);
- A Housing Finance Agency, as defined in Code of Federal Regulations, title 24, section 266.5; or
- A servicer that has conducted 125 or fewer foreclosure sales during the preceding 12 months.
In addition, Minnesota Statues 2013 Supplement, section 582.27, subdivision 1, was amended to read as follows:
- Upon expiration of the periods specified in this section, the provisions of section 582.25 apply to a mortgage foreclosure sale subject to this section: as to all provisions of section 582.25, except clauses (2) and (23), one year after the last day of the redemption period of the mortgagor, the mortgagor’s personal representatives or assigns; as to clause (2), ten years after the date of the foreclosure sale; as to clause (23), the expiration of the mortgagor’s applicable redemption period as specified in section 80.23 or 582.032.
The above time limits apply notwithstanding any common law.
Amended Provisions Regarding Commerce
Minnesota amended provisions regarding commerce by removing and modifying obsolete, unnecessary and redundant laws and rules administered by the Department of Commerce in House Bill 2854. In addition, the new law made several conforming changes which are effective July 1, 2014.
The new legislation authorizes the commissioner to disapprove any contract form at any time.
The law defines “banking institution” as a bank, trust company, bank and trust company, savings bank, or industrial loan and thrift that is organized under the laws of Minnesota, or a holding company which owns or otherwise controls the banking institution.
Under the law, a licensed collection agency must give the commissioner written notice of a change in company name, address or ownership not later than ten days after the change occurs. A registered individual collector must give written notice of a change of address, name, or assumed name no later than ten days after the change occurs. Upon the death of any collection agency licensee, the license of the decedent may be transferred to the executor or administrator of the estate for the unexpired term of the license. The executor or administrator may be authorized to continue or discontinue the collection business of the decedent under the direction of the court having jurisdiction of the probate.
Revised Notary Public Fees
Lastly, Minnesota revised provisions regarding notary public fees in House File 155. These provisions are effective on August 1, 2014 and apply to notary services provided on or after that date.
House File 155 increased the maximum fees permitted to be charged and collected by a notary public. Under the law, the maximum fees are as follows:
- For protest of nonpayment of note or bill of exchange or of non-acceptance of such bill; where protest is legally necessary, and copy thereof, $5;
- For every other protest and copy, $5;
- For making and serving every notice of nonpayment of note or non-acceptance of bill and copy thereof, $5;
- For any affidavit or paper for which provision is not made herein, $5 per folio, and $1 per folio for copies;
- For each oath administered, $5;
- For acknowledgments of deeds and for other services authorized by law, the legal fees allowed other officers for like services;
- For recording each instrument required by law to be recorded by the notary; $5 per folio.
About the Author
Lee Greenberg, J.D. is Vice President and Regulatory Compliance Director at Bankers Advisory. Lee is a graduate of the University of Colorado at Boulder and earned his J.D. at the New England School of Law. He is admitted to the bar in Massachusetts. He can be reached at lee@bankersadvisory.com
Anna DeSimone founded Bankers Advisory in 1986 and is a nationally recognized authority in residential mortgage lending. She has received numerous industry awards and has authored more than 40 best practices guides and hundreds of articles.
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