2006 Utah Code - 70D-1-14 — Enforcement by department -- Rulemaking -- Federal loan.

     70D-1-14.   Enforcement by department -- Rulemaking -- Federal loan.
     (1) The department has the power, within the limitations provided by Title 63, Chapter 46b, Administrative Procedures Act, to:
     (a) (i) receive and act on complaints;
     (ii) take action designed to obtain voluntary compliance with this chapter; or
     (iii) commence proceedings on its own initiative to enforce compliance with this chapter;
     (b) counsel persons and groups on their rights and duties under this chapter;
     (c) adopt, amend, and repeal rules to:
     (i) restrict or prohibit lending or servicing practices which are misleading, unfair, or abusive;
     (ii) promote or assure fair and full disclosure of the terms and conditions of agreements and communications between mortgage lenders or servicers and borrowers; or
     (iii) promote or assure uniform application of or to resolve ambiguities in applicable state or federal laws or federal regulations; and
     (d) employ hearing examiners, clerks, and other employees and agents as necessary to perform its duties under this chapter.
     (2) A rule or any part of a rule adopted by the department pursuant to this chapter may not be determined by any judicial or other authority to be invalid in whole or in part unless the judicial or other authority expressly finds that the rule or a part of it:
     (a) is arbitrary, capricious, constitutes an abuse of discretion;
     (b) exceeds the authority granted to the department by this chapter; or
     (c) is otherwise unlawful.
     (3) (a) A person subject to this chapter violates this chapter if the person violates a federal law:
     (i) that is applicable to the person because of the activities that make the person subject to this chapter; and
     (ii) pursuant to the terms of the federal law in effect on the day the person violates the federal law.
     (b) The department shall by rule, made in accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, and consistent with this chapter, designate which one or more federal laws are applicable to a person described in Subsection (3)(a).
     (c) (i) Notwithstanding the other provisions of this chapter, only the department may enforce or bring an action under this chapter for a violation described in this Subsection (3).
     (ii) The department may bring an action under this Subsection (3) in state court.

Amended by Chapter 165, 2006 General Session