6-831. Records All escrow agents shall keep and maintain at all times in their principal places of business complete and suitable records of all escrow transactions made by them, together with books, papers and data clearly reflecting the financial condition of the business of such agents.
6-832. Annual audit; report A. The records of each escrow agent shall be audited at least once each fiscal year by a certified public accountant. The audit shall include an audit of the escrow, account servicing and subdivision trust activities of the escrow agent and shall follow generally accepted accounting principles. A copy of the […]
6-833. Seizure of property of impaired escrow agent A. When the deputy director ascertains by examination or otherwise that the assets or capital of any agent are impaired, or that the agent’s affairs are in an unsafe condition, the deputy director may immediately take possession of all the property, business and assets of the agent […]
6-833.01. Priority of distribution during receivership A. In a receivership proceeding filed against an escrow agent, the priority of distribution of claims from the general assets of the escrow agent shall be as provided by this section. Every claim in each class shall be paid in full or adequate monies shall be reserved for the […]
6-834. Deposit of monies; definition A. Unless all of the parties to the escrow otherwise instruct the escrow agent in writing, the escrow agent shall deposit and maintain all monies deposited in escrow to be delivered on the close of the escrow or on any other contingency in a bank, savings bank or savings and […]
6-835. Limit of legal action Nothing in this chapter shall limit any statutory or common law right of any person to bring an action in any court having jurisdiction for any act involved in the transaction of the escrow business or the right of the state to punish any person for any violation of any […]
6-836. Commissions; other considerations prohibited No escrow agent may pay or give a commission or any part of its fees or charges, including fees for escrow services or other consideration, as an inducement or as compensation for any escrow business.
6-837. Duty of escrow agent to produce escrow records for inspection; violation; classification A. Any escrow agent shall produce for inspection any escrow records concerning the assets, existence, condition, management and administration and the names of the parties, including any or all beneficiaries, of any escrow of which the person is the escrow agent to […]
6-838. Surrender of license A licensee that desires to surrender its license shall file with the deputy director a certified copy of the resolution of its board of directors or a verified statement of intent signifying this desire, and thereafter shall not accept additional escrow business. On receipt of the resolution or statement of intent, […]
6-839. Continuing jurisdiction If the license of an escrow agent is surrendered, suspended or revoked, the agent nevertheless continues to be subject to the provisions of this chapter and to the duties previously undertaken for so long as it acts as a fiduciary with respect to any escrow business previously undertaken.
6-840. Prohibitions; definitions A. An escrow agent shall not accept any escrow in which a participant in the escrow is an affiliate of the escrow agent unless: 1. The affiliation is disclosed to all nonaffiliated participants in writing by the escrow agent. 2. Use of the affiliated escrow agent is not required by the affiliate […]
6-841. Internal control structure; definition A. An escrow agent shall adopt a systematic internal control structure to ensure that persons employed by or associated with the escrow agent’s business do not make significant errors or perpetuate significant irregularities or fraud without timely detection. B. For purposes of this section, " internal control structure" means the […]
6-841.01. Fiduciary duty; notice of returned check A. An escrow agent is the trustee of all monies received or collected and held in escrow. An agent shall not knowingly or negligently commingle trust monies with the escrow agent’s own monies or with monies held in any other capacity. Every escrow agent and every officer, director […]
6-841.02. Liability of title insurer; closing protection letter; definition A. A real property escrow agent that is a title insurance agent shall disclose to the buyer and seller of a residential dwelling that the title insurer shall offer on request a closing protection letter that provides protection for the loss of escrow monies due to […]
6-841.03. Notice of uninsured monies; rules When an escrow is established and not later than three business days after an escrow agent receives any escrow monies, the escrow agent shall provide a complete and accurate disclosure to each buyer and seller of a residential dwelling as defined in section 6-841.02 that monies deposited in an […]
6-843. Disbursements; applicability A. Except as provided by subsection B, an escrow agent may only disburse money out of an escrow account if deposits are previously made that are at least equal to the disbursements and the deposits relate directly to the transaction for which the money is being disbursed. The deposits shall be in […]
