The Arizona Revised Statutes have been updated to include the revised sections from the 54th Legislature, 2nd Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 55th Legislature, 1st Regular Session, which convenes in January 2021.
This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
6-984. Prohibited acts
A. Except for employment verifications and deposit or account verifications, a person shall not induce, require or permit any document in connection with making a commercial mortgage loan to be signed by a party to the transaction if the document contains any blank spaces to be filled in after it has been signed unless the party has specifically authorized the licensee or the escrow agent in writing to complete those blank spaces.
B. A person is not entitled to receive compensation in connection with arranging for or negotiating a commercial mortgage loan if the person is not licensed pursuant to or is not exempt from this article, except that a commercial mortgage banker, mortgage banker or mortgage broker licensed pursuant to this article or article 1 or 2 of this chapter may compensate a person who is a resident of another state and who meets the licensing requirements, if any, of the other state in connection with arranging for or negotiating a commercial mortgage loan.
C. A commercial mortgage banker may not commingle monies of borrowers or monies held for the benefit of borrowers with monies of the commercial mortgage banker.
D. A person engaged in commercial mortgage banking shall not knowingly advertise, display, distribute, broadcast or televise, or cause or permit to be advertised, displayed, distributed, broadcast or televised, in any manner whatever, a false, misleading or deceptive statement or representation with regard to the rates, terms or conditions for a commercial mortgage loan. The charges or rates of charge, if stated, shall be set forth in a clear and concise manner.
E. A commercial mortgage banker shall not, except in good faith, delay or cause delay in the closing of a loan that results in increased costs to a borrower.
F. A commercial mortgage banker shall not record or cause to be recorded a document that would give rise to liability under section 33-420.
G. A person who is employed by a licensee to act in the capacity of a commercial mortgage banker shall not be concurrently employed by any other licensee to act in the capacity of a commercial mortgage banker, except with the prior written approval of all concurrently employing licensees.
H. A commercial mortgage banker shall not collect compensation for rendering services as a real estate broker or real estate salesperson unless both of the following apply:
1. The commercial mortgage banker is licensed pursuant to title 32, chapter 20.
2. The commercial mortgage banker has disclosed to the person from whom the compensation is collected that the commercial mortgage banker is receiving compensation both for commercial mortgage banking and for services as a real estate broker or salesperson.
I. A licensee shall not accept any assignment of the borrower's wages or salary in connection with activities governed by this article.
J. A commercial mortgage banker shall not make or negotiate or offer to make or negotiate, for compensation, either directly or indirectly, a loan of money that is not secured by a mortgage or deed of trust or any other lien interest in real property or if the real estate security is a one to four family residence.
K. A commercial mortgage banker shall not make a false promise or misrepresentation or conceal an essential or material fact in the course of the commercial mortgage banker business.
L. A commercial mortgage banker shall not fail to truthfully account for the monies belonging to a party to a commercial mortgage loan or commercial mortgage banking loan transaction or fail to disburse monies in accordance with the agreements.
M. A commercial mortgage banker shall not record a mortgage or deed of trust if monies are not available for the immediate disbursal to the mortgagor unless, before that recording, the commercial mortgage banker informs the mortgagor in writing of a definite date by which payment shall be made and obtains the mortgagor's written permission for the delay.