Utah Code § 57-1-21.5 Trustees of Trust Deeds - Duties - Prohibited Conduct - Penalties

• Library: Utah Statutes
• Edition: 2023
• Currency: Current through the 2023 Second Special Session
• Year: 2023
• Citation: Utah Code § 57-1-21.5

(1) Until a beneficiary under a trust deed or the beneficiary's agent provides a trustee of the trust deed written instructions directing the trustee to exercise powers under this chapter, the trustee has no duty or obligation to the beneficiary or to the agent of a beneficiary.

(2) Except as provided in Subsection (3), the following duties of a trustee may not be delegated:

(a) a preparation and execution of:

(i) a notice of default and election to sell;

(ii) a cancellation of notice of default and election to sell;

(iii) a notice of sale; and

(iv) a trustee's deed;

(b) the notification of foreclosure through publication, posting, and certified or registered mail;

(c) the receiving and responding to requests for reinstatement or payoff requirements; and

(d) the handling of reinstatement or payoff funds.

(3) Nothing in this section is intended to prevent:

(a) a trustee from using clerical or office staff:

(i) that is under the trustee's direct and immediate supervision; and

(ii) to assist in the duties described in Subsection (2);

(b) a trustee from using the services of others for publication, posting, marketing, or advertising the sale; or

(c) a beneficiary of a trust deed or the servicing agent of the beneficiary from directly performing the functions described in Subsection (2)(c) or (d).

(4) The amendments in Laws of Utah 2002, Chapter 209, to Subsection (3) do not apply to a foreclosure if the notice of default related to the foreclosure was filed before May 6, 2002.

(5)

(a) Except as provided in Subsection (5)(c), a trustee may not solicit or receive any fee for referring business to a third party.