AB390: Bill Text

AB390,12,13 (c) 1. A notification under par. (b) may be sent by a method authorized by sub. (2); alternatively, a notification under par. (b) may be sent to the electronic or other address provided by the secured creditor on a payoff statement under sub. (3) (d) 3.

AB390,12,15 2. A notification under par. (b) may be sent along with a notification, if any, to terminate a line of credit or future advances as provided in sub. (5) (a).

AB390,12,20 (d) The satisfaction agent is presumed to be acting for, and with authority from, the owner if the satisfaction agent, directly or through an agent, assisted in completing full payment or performance of the secured obligation or payment as provided in a payoff statement under sub. (3) or a corrected payoff statement under sub. (4).

AB390,12,22 (e) Nothing in this section requires a person to agree to serve as a satisfaction agent.

AB390,13,2 (9) Authorization to submit affidavit of satisfaction for recording; fees. (a) Subject to pars. (b) and (c), a satisfaction agent may sign and submit for recording an affidavit of satisfaction of a security instrument against residential real property that complies with sub. (10) if either of the following applies:

AB390,13,5 1. The secured creditor has not, to the knowledge of the satisfaction agent, submitted for recording a satisfaction of a security instrument within 30 days after the effective date of a notification complying with sub. (8) (b).

AB390,13,6 2. The secured creditor authorizes the satisfaction agent to do so.

AB390,13,9 (b) A satisfaction agent may not sign and submit for recording an affidavit of satisfaction of a security instrument if it has received a notification under sub. (8) (b) 4. b. stating that the secured obligation remains unsatisfied.

AB390,13,13 (c) If a satisfaction agent receives a notification under sub. (8) (b) 4. c. stating that the security instrument has been assigned, the satisfaction agent may not submit for recording an affidavit of satisfaction of the security instrument without doing both of the following:

AB390,13,15 1. Giving a notification of intent to submit for recording an affidavit of satisfaction to the identified assignee at the identified address.

AB390,13,16 2. Complying with sub. (8) with respect to the identified assignee.

AB390,13,21 (d) A satisfaction agent may submit for recording an affidavit of satisfaction that complies with this section even if full payment or performance of the secured obligation or payment as provided in a payoff statement under sub. (3) or a corrected payoff statement under sub. (4) was made before the effective date of this paragraph .... [LRB inserts date].

AB390,13,25 (e) The satisfaction agent may charge a reasonable fee for sending the notification under sub. (8) and preparing and executing the affidavit of satisfaction. A fee charged by a satisfaction agent under this paragraph that does exceed $75 is conclusively presumed to be reasonable.

AB390,14,2 (10) Content of affidavit of satisfaction. An affidavit of satisfaction of a security instrument against residential real property must do all of the following:

AB390,14,6 (a) Identify the original parties to the security instrument, the secured creditor, the recording data for the security instrument, and, if necessary for proper indexing of the affidavit, a legal description of the real property identified in the security instrument.

AB390,14,8 (b) State the basis upon which the person signing the affidavit is a satisfaction agent.

AB390,14,11 (c) State that the person signing the affidavit has reasonable grounds to believe that the real property described in the security instrument is residential real property.

AB390,14,14 (d) State that the person signing the affidavit has reasonable grounds to believe that the secured creditor has received full payment or performance of the secured obligation.

AB390,14,18 (e) State that the person signing the affidavit, acting with the authority of the owner of the real property described in the security instrument, gave notification to the secured creditor of its authorization to sign and submit for recording an affidavit of satisfaction.

AB390,14,19 (f) State either of the following:

AB390,14,23 1. That more than 30 days have elapsed since the effective date of that notification, and the person signing the affidavit has no knowledge that the secured creditor has submitted a satisfaction of the security instrument for recording and has not received a notification that the secured obligation remains unsatisfied.

AB390,14,25 2. That the secured creditor authorized the person signing the affidavit to sign and record an affidavit of satisfaction.

AB390,15,2 (g) Be signed by the satisfaction agent and contain a form of authentication authorized by s. 706.06 or 706.07.

AB390,15,7 (11) Effect of affidavit of satisfaction. (a) An affidavit of satisfaction of a security instrument against residential real property that complies with the requirements of sub. (10) shall be entitled to record in accordance with s. 706.05 in the office of the register of deeds of the county in which the security instrument is recorded.

AB390,15,10 (b) Upon recording, an affidavit substantially complying with the requirements of sub. (10) constitutes a satisfaction of the security instrument described in the affidavit.

AB390,15,13 (c) The recording of an affidavit of satisfaction of a security instrument does not by itself extinguish any liability of a person for payment or performance of the secured obligation.

AB390,15,19 (12) Liability of satisfaction agent; statute of limitations. (a) 1. Except as provided in subd. 2., a satisfaction agent that records an affidavit of satisfaction of a security instrument erroneously is liable to the secured creditor for any actual damages caused by the recording and reasonable attorney fees and costs. An action under this subdivision shall be commenced within 2 years after the cause of action accrues or be barred.

AB390,15,22 2. A satisfaction agent that records an affidavit of satisfaction of a security instrument erroneously is not liable if the satisfaction agent properly complied with this section.

AB390,16,2 (b) A satisfaction agent that records an affidavit of satisfaction of a security instrument with knowledge that the statements contained in the affidavit are false is liable to the secured creditor for any actual damages caused by the recording and reasonable attorney fee and costs.

AB390,16,3 (c) This subsection does not preclude any of the following:

AB390,16,4 1. A court from awarding punitive damages on account of the conduct.

AB390,16,6 2. The secured creditor from proceeding against the satisfaction agent under the law of this state other than this section.

AB390,16,7 3. The enforcement of any criminal statute prohibiting the conduct.

AB390,16,12 (13) Document of rescission: effect; liability for wrongful recording. (a) In this subsection, "document of rescission" means a document stating that an identified satisfaction or affidavit of satisfaction of a security instrument was recorded erroneously, the secured obligation remains unsatisfied, and the security instrument remains in force.

AB390,16,16 (b) If a person records a satisfaction or affidavit of satisfaction of a security instrument in error, the person may execute and record a document of rescission. Upon recording, the document rescinds an erroneously recorded satisfaction or affidavit.

AB390,16,18 (c) A recorded document of rescission has no effect on the rights of any of the following persons:

AB390,16,21 1. A person that acquired an interest in the real property described in a security instrument after the recording of the satisfaction or affidavit of satisfaction of the security instrument and before the recording of the document of rescission.

AB390,16,23 2. A person that would otherwise have priority over or take free of the lien created by the security instrument.

AB390,17,3 (d) A person that erroneously or wrongfully records a document of rescission is liable to any person injured thereby for the actual damages caused by the recording and reasonable attorney fees and costs.

AB390,17,5 (14) Right of action not affected. Nothing in this section affects a person's right to bring an action under s. 847.09.

AB390, s. 3 Section 3. Initial applicability.

AB390,17,8 (1) Notification. The treatment of section 708.15 (2) of the statutes first applies to notifications given on the effective date of this subsection.

AB390,17,11 (2) Payoff statement. The treatment of section 708.15 (3) and (4) of the statutes first applies to notifications requesting payoff statements, and payoff statements that are requested, on the effective date of this subsection.

AB390,17,12 (3) Affidavit of satisfaction.

AB390,17,15 (a) The treatment of section 708.15 (8) of the statutes first applies to notifications regarding affidavits of satisfaction that are given on the effective date of this paragraph.

AB390,17,18 (b) The treatment of section 708.15 (9), (10), (11), and (12) of the statutes first applies to affidavits of satisfaction that are recorded on the effective date of this paragraph.

AB390,17,21 (4) Document of rescission. The treatment of section 708.15 (13) of the statutes first applies to documents of rescission that are recorded on the effective date of this subsection.

AB390,17,22 (End)