Utah Code 7-22-105. Bond required

(1)

Before furnishing any escrow services, each escrow agent shall file with the commissioner a surety bond in accordance with the following schedule:

Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
Commissioner: means the Commissioner of Financial Institutions. See Utah Code 7-1-103
Escrow: means an agreement, express or implied, that provides for one or more parties to deliver or entrust money, a certificate of deposit, a security, a negotiable instrument, a deed, or other property or asset to another person to be held, paid, or delivered in accordance with terms and conditions prescribed in the agreement. See Utah Code 7-22-101
Escrow: Money given to a third party to be held for payment until certain conditions are met.
Escrow agent: means a person that provides or offers to provide escrow services to the public. See Utah Code 7-22-101
Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
Person: means :

(a)	an individual;

(b)	a corporation;

(c)	a limited liability company;

(d)	a partnership;

(e)

a trust;

(f)	an association;

(g)	a joint venture;

(h)

a pool;

(i)	a syndicate;

(j)	a sole proprietorship;

(k)	an unincorporated organization; or

(l)

any form of business entity. See Utah Code 7-1-103

Receivership: means the administration and management of the affairs of an institution subject to the jurisdiction of the department to conserve, preserve, and properly dispose of the assets, liabilities, and revenues of an institution in possession, as provided in Chapter 2, Possession of Depository Institution by Commissioner, and Chapter 19, Acquisition of Failing Depository Institutions or Holding Companies. See Utah Code 7-1-103

State: means , unless the context demands otherwise:

(a)

a state;

(b)	the District of Columbia; or

(c)	the territories of the United States. See Utah Code 7-1-103
		Monthly Average	Minimum
		Escrow Liability	Surety Bond
		Up to $10,000	$10,000
		$10,001 to 20,000	$20,000
		$20,001 to 30,000	$30,000
		$30,001 to 40,000	$40,000
		Above $40,000	$50,000

(2)

The surety bond shall name as beneficiaries:

(a)	this state for payment of any costs incurred and charges made in connection with any escrow agent‘s insolvency or default, including costs and charges relating to an examination and receivership of any escrow agent; and

(b)	when all claims and charges of the state have been paid in full, any person who has a claim against the surety on the bond based on any default or violation of any duty or obligation of the escrow agent.

(3)	The total aggregate liability on the bond from all claims including legal fees and other costs incurred in connection with the bond may not exceed the amount of the bond.

(4)	An applicant for registration as an escrow agent may, in lieu of and subject to the same surety conditions described in Subsection (2), deposit assets with or provide a letter of credit to the commissioner in the amount of the minimum surety bond required in Subsection (1).

Amended by Chapter 182, 1996 General Session