Terms Used In California Codes > Health and Safety Code > Division 13 > Part 1 > Chapter 3 - Permits and Fees

• Affiliate: means a person that, directly or indirectly, owns at least 10 but less than 50 percent of the financial guaranty insurance corporation or that is at least 10 percent but less than 50 percent, directly or indirectly, owned by a financial guaranty insurance corporation. See California Insurance Code 12100
• Amortization: Paying off a loan by regular installments.
• Answer: The formal written statement by a defendant responding to a civil complaint and setting forth the grounds for defense.
• Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
• Asset-backed securities: means either of the following:

  California Insurance Code 12100

• Average annual debt service: means the amount of insured unpaid principal and interest on an obligation multiplied by the number of the insured obligations (assuming that each obligation represents a $1,000 par value), divided by the amount equal to the aggregate life of all of those obligations. See California Insurance Code 12100
• Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. ^{Source: OCC}
• Collateral: means any of the following:

  California Insurance Code 12100

• Commercial real estate: means income-producing real property other than residential property consisting of less than five units. See California Insurance Code 12100
• Commissioner: means the Insurance Commissioner of this State. See California Insurance Code 20
• Complaint: A written statement by the plaintiff stating the wrongs allegedly committed by the defendant.
• Contingency reserve: means an additional liability reserve established to protect policyholders against the effects of adverse economic cycles or other unforeseen circumstances. See California Insurance Code 12100
• Continuance: Putting off of a hearing ot trial until a later time.
• Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
• County: includes city and county. See California Health and Safety Code 14
• County: includes "city and county. See California Insurance Code 14
• Credit default swap: means an agreement referencing credit derivative definitions published from time to time by the International Swap and Derivatives Association, Inc. See California Insurance Code 12100
• Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
• Department: as used in this part , means the Department of Housing and Community Development. See California Health and Safety Code 17004
• Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
• Employee: as used in this part , does not include any of the following:

  California Health and Safety Code 17005

• Employee housing: as used in this part , means any portion of any housing accommodation, or property upon which a housing accommodation is located, if all of the following factors exist:

  California Health and Safety Code 17008

• Enforcement agency: as used in this part , means the Department of Housing and Community Development, or any city, county, or city and county which has assumed responsibility for the enforcement of this part, pursuant to Section 17050. See California Health and Safety Code 17007
• Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
• Excess spread: means , with respect to any insured issue of asset-backed securities, the excess of (A) the scheduled cashflow on the underlying assets that is reasonably projected to be available, over the term of the insured securities after payment of the expenses associated with the insured issue, to make debt service payments on the insured securities over (B) the scheduled debt service requirements on the insured securities, provided that this excess is held in the same manner as collateral is required to be held under subdivision (e). See California Insurance Code 12100
• Federal Deposit Insurance Corporation: A government corporation that insures the deposits of all national and state banks that are members of the Federal Reserve System. ^{Source: OCC}
• Financial guaranty insurance: means a surety bond, an insurance policy or, when issued by an insurer, an indemnity contract and any guarantee similar to the foregoing types, under which loss is payable upon proof of occurrence of financial loss to an insured claimant, obligee, or indemnitee as a result of any of the following events:

  California Insurance Code 12100

• Financial guaranty insurance corporation: means an insurer transacting financial guaranty insurance. See California Insurance Code 12100
• Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
• Foreign: means not organized under the laws of this State, whether or not admitted. See California Insurance Code 27
• Fund: as used in this part , means the Employee Housing Regulation Fund established by Section 17036. See California Health and Safety Code 17008.7
• Governmental unit: means a state, territory, or possession of the United States of America, the District of Columbia, the country of Canada, a province of Canada, the United Kingdom, a public authority of the United Kingdom, a member country of the Organization for Economic Co-operation and Development having a sovereign rating in one of the top two generic lettered rating classifications by a securities rating agency acceptable to the commissioner, a municipality, or a political subdivision of any of the foregoing, or any public agency or instrumentality thereof. See California Insurance Code 12100
• Guarantor: A party who agrees to be responsible for the payment of another party's debts should that party default. ^{Source: OCC}
• Insurable risk: means that the obligation on an uninsured basis has been determined to be not less than investment grade. See California Insurance Code 12100
• Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. ^{Source: OCC}
• Investment grade: means that the obligation or parity obligation of the same issuer is rated in one of the top four generic lettered rating classifications by a securities rating agency acceptable to the commissioner, that the obligation or parity obligation of the same issuer, without regard to financial guaranty insurance, has been identified in writing by that rating agency as an insurable risk deemed to be of investment grade quality, or that the obligation or parity obligation of the same issuer has been determined to be investment grade (as indicated by a category 1 or 2 rating) by the Securities Valuation Office of the National Association of Insurance Commissioners. See California Insurance Code 12100
• Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
• Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). ^{Source: OCC}
• Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
• licensee: means an insurer, agent, broker, or any other person who is required to be licensed by the department. See California Insurance Code 38.6
• Mortgage: includes a trust deed, "mortgagor" includes a trustor under such trust deed, "mortgagee" includes a beneficiary under such trust deed, or a trustee exercising powers or performing duties granted to or imposed upon him thereunder, and "lien" in respect to real or personal property includes a charge or incumbrance arising out of a trust deed. See California Insurance Code 29
• Municipal bonds: means municipal obligation bonds and special revenue bonds. See California Insurance Code 12100
• 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.
• Oversight: Committee review of the activities of a Federal agency or program.
• Parent: means a person that, directly or indirectly, owns at least 50 percent of a financial guaranty insurance corporation. See California Insurance Code 12100
• Permanent single-family employee housing: as used in this part , means single-family detached dwellings, mobilehomes, as defined in Section 18008, manufactured homes, as defined in Section 18007, or factory-built housing, as defined in Section 19971, constructed and maintained in accordance with applicable state or federal laws, including required permits and inspections. See California Health and Safety Code 17010
• Person: as used in this part , includes any natural person, firm, association, organization, partnership, business trust, company, joint stock company, corporation, limited liability company, joint venture, or other organizations of persons. See California Health and Safety Code 17009.5
• Person: means any person, association, organization, partnership, business trust, limited liability company, or corporation. See California Insurance Code 19
• Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
• Reinsurance: means cessions qualifying for credit under Section 12121. See California Insurance Code 12100
• secured: means any of the following:

  California Insurance Code 12100

• State: means the State of California, unless applied to the different parts of the United States. See California Insurance Code 28
• Subsidiary: means a person that, directly or indirectly, is at least 50 percent owned by a financial guaranty insurance corporation. See California Insurance Code 12100
• Trial: A hearing that takes place when the defendant pleads "not guilty" and witnesses are required to come to court to give evidence.