§ 5006. Agency Review of Environmental Liability.

Within thirty (30) days of receiving the report prepared by the Department of Financial Institutions, pursuant to section 5003(c), the Agency shall mail to the Corporation a statement ( “Environmental Instructions”) specifying any specific steps which the Corporation must take in obtaining an assignment of the note and Collateral pursuant to section 5003(g), or in pursuing its legal remedies against the Borrower subsequent to assignment.

The purpose of the Environmental Instructions is to identify possible environmental liability which might accrue to the Corporation when it is assigned the Lender's rights, and instruct the Corporation on actions which it shall take, or refrain from taking, to limit the Corporation's trust fund account's exposure to environmental liability.

HISTORY

1. Repealer and new section filed 6-24-91; operative 7-24-91 (Register 91, No. 42).

2. Amendment of section heading and section filed 12-27-2004 as a deemed emergency pursuant to Corporations Code section 14024; operative 12-27-2004 (Register 2004, No. 53). A Certificate of Compliance must be transmitted to OAL by 6-27-2005 or emergency language will be repealed by operation of law on the following day.

3. Editorial correction of History2 (Register 2005, No. 27).

4. Certificate of Compliance as to 12-27-2004 order, including amendment of Note, transmitted to OAL 5-25-2005 and filed 7-7-2005 (Register 2005, No. 27).

Note

Note: Authority cited: Section 14024, Corporations Code. Reference: Section 14064, Corporations Code.