New Mexico Statutes 48-7-4.1. Alternative form of release of mortgage; filing by title insurer
A. If, within ninety days after full satisfaction of a debt or evidence of debt secured by a mortgage or deed of trust upon any real estate, evidence of the full satisfaction has not been recorded pursuant to the provisions of Section 48-7-4 N.M. Stat. Ann., a title insurer may prepare and record a release of the mortgage or deed of trust; provided, however, no release shall be recorded by the title insurer unless the insurer has, no later than ten days prior to the date of recording, mailed notice of the intent to record to the last known address of the mortgagee, the trustee and beneficiary of a deed of trust or the assignee of record of the debt or evidence of debt.
Terms Used In New Mexico Statutes 48-7-4.1
- 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
- Deed: The legal instrument used to transfer title in real property from one person to another.
- 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.
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Mortgagee: The person to whom property is mortgaged and who has loaned the money.
- Mortgagor: The person who pledges property to a creditor as collateral for a loan and who receives the money.
- 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.
- Trustee: A person or institution holding and administering property in trust.
- Trustor: The person who makes or creates a trust. Also known as the grantor or settlor.
B. A release recorded pursuant to this section shall include:
(1) the name of the mortgagee or trustee and beneficiary; (2) the name of the mortgagor or trustor;
(3) the recording reference to the mortgage or deed of trust;
(4) a recital that the obligation secured by the mortgage or deed of trust has been paid in full; and
(5) the date and amount of payment.
C. A release recorded pursuant to this section shall be deemed to be the equivalent of a release recorded pursuant to Section 48-7-4 N.M. Stat. Ann..
D. In addition to any other remedy, a title insurer recording a release pursuant to this section shall be liable to any mortgagee or beneficiary of a deed of trust for
damages, including attorney fees, that the mortgagee or beneficiary of a deed of trust may sustain by reason of the wrongful recording of a release of mortgage or deed of trust.
E. Nothing in this section relieves a person from an obligation to record a full satisfaction or release pursuant to Section 48-7-4 N.M. Stat. Ann. or from the imposition of a penalty for failure to record a full satisfaction or release pursuant to Section 48-7-5 N.M. Stat. Ann..
F. A title insurer may charge a reasonable fee to the mortgagee for the preparation and recording of the release of mortgage.