Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 197 (2021GS)

Sponsor

Sen. Wilson, C.

Final action

Governor Signed 3/22/2021

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• requires the trustee to send, by certified or registered mail, a cancellation of recorded notice of default under a trust deed to interested parties; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

TRUST DEED AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Chris H. Wilson
House Sponsor: 
Dan N. Johnson
LONG TITLE
General Description:
This bill modifies provisions relating to trust deeds.
Highlighted Provisions:
This bill:
▸ requires the trustee to send, by certified or registered mail, a cancellation of
recorded notice of default under a trust deed to interested parties; and
▸ makes technical and conforming changes. 
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
57-1-31
, as last amended by Laws of Utah 2001, Chapter 236
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
57-1-31
 is amended to read:
57-1-31.
Trust deeds -- Default in performance of obligations secured --
Reinstatement -- Cancellation of recorded notice of default.
(1) 
(a)
 Whenever all or a portion of the principal sum of any obligation secured by a
trust deed has, prior to the maturity date fixed in the obligation, become due or been declared
due by reason of a breach or default in the performance of any obligation secured by the trust
deed, including a default in the payment of interest or of any installment of principal, or by
reason of failure of the trustor to pay, in accordance with the terms of the trust deed, taxes,
assessments, premiums for insurance, or advances made by the beneficiary in accordance with
terms of the obligation or of the trust deed, the trustor or the trustor's successor in interest in
the trust property or any part of the trust property or any other person having a subordinate lien
or encumbrance of record on the trust property or any beneficiary under a subordinate trust
deed, at any time within three months of the filing for record of notice of default under the trust
deed, if the power of sale is to be exercised, may pay to the beneficiary or the beneficiary's
successor in interest the entire amount then due under the terms of the trust deed (including
costs and expenses actually incurred in enforcing the terms of the obligation, or trust deed, and
the trustee's and attorney's fees actually incurred) other than that portion of the principal as
would not then be due had no default occurred, and thereby cure the existing default.
(b)
 After the beneficiary or beneficiary's successor in interest has been paid and the
default cured, the obligation and trust deed shall be reinstated as if no acceleration had
occurred.
(2) 
(a)
 If the default is cured and the trust deed reinstated in the manner provided in
Subsection (1), and a reasonable fee is paid for cancellation, including the cost of recording the
cancellation of notice of default, the trustee shall
:
(i)
 execute, acknowledge, and deliver a cancellation of the recorded notice of default
under the trust deed; and [
any
]
(ii) mail, by certified or registered mail, return receipt requested, with postage prepaid,
within 20 days, a copy of the recorded cancellation of notice of default to each person entitled
to receive a copy of a notice of default and a copy of a notice of sale under Subsection
57-1-26
(3).
(b) A
 trustee who refuses to execute and record this cancellation within 30 days is
liable to the person curing the default for all actual damages resulting from this refusal.
(c)
 A reconveyance given by the trustee or the execution of a trustee's deed constitutes
a cancellation of a notice of default.
(d)
 Otherwise, a cancellation of a recorded notice of default under a trust deed is, when
acknowledged, entitled to be recorded and is sufficient if made and executed by the trustee in
substantially the following form:
Cancellation of Notice of Default
The undersigned hereby cancels the notice of default filed for record
__________(month\day\year), and recorded in Book ____, Page ____, Records of ____
County, (or filed of record __________(month\day\year), with recorder's entry No. ____, ____
County), Utah, which notice of default refers to the trust deed executed by ____ and
___________ as trustors, in which ____ is named as beneficiary and ____ as trustee, and filed
for record __________(month\day\year), and recorded in Book ____, Page ____, Records of
____ County, (or filed of record __________(month\day\year), with recorder's entry No. ____,
____ County), Utah.
(legal description)
Signature of Trustee ______________________________________________________